Rubrik (NYSE:RBRK) Releases Earnings Results, Beats Estimates By $0.19 EPS

Key Points

• Rubrik beat earnings expectations, reporting $0.16 EPS versus the consensus estimate of a $0.03 loss, while revenue came in at $387.07 million, above the $366.31 million forecast.
• The company raised guidance, updating FY 2027 EPS outlook to 0.25-0.35 and Q2 2027 EPS guidance to 0.03-0.05.
• Despite the strong results, shares fell in trading and recent insider selling by several executives and directors has added a near-term sentiment overhang.

Rubrik (NYSE:RBRK - Get Free Report) released its earnings results on Thursday. The company reported $0.16 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of ($0.03) by $0.19, FiscalAI reports. The business had revenue of $387.07 million during the quarter, compared to the consensus estimate of $366.31 million. Rubrik updated its FY 2027 guidance to 0.250-0.350 EPS and its Q2 2027 guidance to 0.030-0.050 EPS.

Rubrik Stock Performance

Shares of NYSE:RBRK traded down $2.44 during midday trading on Thursday, hitting $77.02. 8,072,861 shares of the stock were exchanged, compared to its average volume of 3,877,922. The stock has a market capitalization of $15.58 billion, a price-to-earnings ratio of -43.52 and a beta of 1.10. The business's 50-day moving average price is $57.70 and its 200 day moving average price is $62.50. Rubrik has a 12 month low of $42.25 and a 12 month high of $103.00.

Key Headlines Impacting Rubrik

Here are the key news stories impacting Rubrik this week:

• Negative Sentiment: CTO Arvind Nithrakashyap disclosed two large share sales totaling more than 212,000 shares in early June, which can weigh on sentiment even though both trades were made under a pre-arranged 10b5-1 plan. SEC filing for Arvind Nithrakashyap sale
• Negative Sentiment: Director John Wendell Thompson also sold shares, adding to the perception that insiders may be taking profits after Rubrik’s strong run. SEC filing for John Wendell Thompson sale
• Negative Sentiment: Director Yvonne Wassenaar disclosed another sale, reinforcing the near-term insider-selling overhang on RBRK. SEC filing for Yvonne Wassenaar sale

Insider Transactions at Rubrik

In other news, CFO Kiran Kumar Choudary sold 20,000 shares of the business's stock in a transaction dated Tuesday, April 7th. The stock was sold at an average price of $51.69, for a total transaction of $1,033,800.00. Following the sale, the chief financial officer directly owned 549,901 shares in the company, valued at approximately $28,424,382.69. The trade was a 3.51% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CTO Arvind Nithrakashyap sold 12,820 shares of the business's stock in a transaction dated Tuesday, June 2nd. The stock was sold at an average price of $82.16, for a total value of $1,053,291.20. Following the sale, the chief technology officer owned 314,048 shares in the company, valued at approximately $25,802,183.68. This trade represents a 3.92% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last three months, insiders have sold 398,939 shares of company stock valued at $27,628,167. 13.66% of the stock is currently owned by company insiders.

Institutional Trading of Rubrik

Several hedge funds and other institutional investors have recently made changes to their positions in the company. First Trust Advisors LP grew its holdings in shares of Rubrik by 42.8% during the fourth quarter. First Trust Advisors LP now owns 7,064,057 shares of the company's stock worth $540,259,000 after purchasing an additional 2,116,272 shares during the last quarter. Federated Hermes Inc. lifted its stake in shares of Rubrik by 0.5% in the fourth quarter. Federated Hermes Inc. now owns 2,449,646 shares of the company's stock worth $187,349,000 after acquiring an additional 11,878 shares during the period. State Street Corp lifted its stake in shares of Rubrik by 13.2% in the fourth quarter. State Street Corp now owns 2,356,918 shares of the company's stock worth $180,257,000 after acquiring an additional 274,132 shares during the period. PointState Capital LP lifted its stake in shares of Rubrik by 23.4% in the fourth quarter. PointState Capital LP now owns 2,100,000 shares of the company's stock worth $160,608,000 after acquiring an additional 397,653 shares during the period. Finally, Bank of America Corp DE lifted its stake in shares of Rubrik by 7.0% in the second quarter. Bank of America Corp DE now owns 2,073,044 shares of the company's stock worth $185,724,000 after acquiring an additional 136,262 shares during the period. 49.54% of the stock is currently owned by institutional investors.

Analyst Ratings Changes

A number of research analysts have issued reports on the company. Wells Fargo & Company decreased their target price on Rubrik from $125.00 to $90.00 and set an "overweight" rating on the stock in a research report on Friday, March 13th. Wedbush decreased their target price on Rubrik from $120.00 to $90.00 and set an "outperform" rating on the stock in a research report on Friday, March 13th. Canadian Imperial Bank of Commerce reiterated an "outperform" rating and issued a $110.00 target price on shares of Rubrik in a research report on Monday, March 16th. Guggenheim reiterated a "buy" rating and issued a $110.00 target price on shares of Rubrik in a research report on Friday, March 13th. Finally, BMO Capital Markets lifted their target price on Rubrik from $58.00 to $64.00 and gave the company an "outperform" rating in a research report on Thursday, April 23rd. One analyst has rated the stock with a Strong Buy rating, twenty-seven have assigned a Buy rating and one has assigned a Sell rating to the company's stock. According to MarketBeat.com, the stock currently has a consensus rating of "Moderate Buy" and an average target price of $85.12.

Rubrik Company Profile

Rubrik, Inc is a cloud data management and security company that delivers a unified platform for data protection, disaster recovery, compliance and intelligent data governance. Its flagship offering, the Rubrik Security Cloud, enables organizations to automate backup and recovery workflows across on-premises, edge and multi-cloud environments. By combining policy-driven orchestration with real-time threat detection, Rubrik helps clients guard against ransomware, ensure business continuity and enforce data retention requirements.

The company's platform supports a range of services including backup and restore, long-term data archiving, replication, and disaster recovery as a service (DRaaS).

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