We got here throughout a bullish thesis on Rubrik, Inc. on Wolf of Harcourt Avenue’s Substack. On this article, we’ll summarize the bulls’ thesis on RBRK. Rubrik, Inc.’s share was buying and selling at $88.77 as of August 22nd. RBRK’s trailing P/E had been 25.58 based on Yahoo Finance.
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Rubrik, based in 2014 and public since April 2024, is a SaaS-based cyber resilience firm constructed round its Rubrik Safety Cloud platform, enabling safe backup, restoration, and safety towards ransomware and operational disruptions. Acknowledged as a Gartner Magic Quadrant chief for six years, it has developed past conventional backup to offer a zero-trust, machine studying–pushed mannequin that safeguards enterprise knowledge throughout hybrid and multicloud environments. Its choices span backup, ransomware restoration, immutable knowledge storage, automation, and compliance, positioning it as each a digital vault and an “undo button” for cyberattacks.
Rubrik’s moat remains to be growing however exhibits traction: switching prices rise with platform integration, community results strengthen by way of accomplice ecosystems and menace intelligence, and enterprises notice vital TCO financial savings, particularly in advanced environments. Scale stays a piece in progress as incumbents and hyperscalers preserve robust positions, however Rubrik’s development trajectory indicators long-term potential. Financially, Rubrik reported Q1 FY26 income of $278 million, up 49% YoY, with 95% subscription-based gross sales. Massive enterprise adoption is accelerating, with 2,391 prospects contributing over $100K in ARR, up 29% YoY, whereas NRR above 120% displays world-class retention and growth.
Regardless of a -33% working margin, gross margins are strong at 78%, and the corporate has turned free money move constructive at $33 million, aided by effectivity positive aspects. With a $16 billion market cap and shares at $83.97, valuation displays excessive development expectations, however its positioning in a $50 billion TAM, coupled with founder-led management, Microsoft’s backing, and rising enterprise demand for resilience, creates a compelling long-term funding case.
Beforehand we lined a bullish thesis on Rubrik, Inc. (RBRK) by ElectSamsepi0l in December 2024, which highlighted fast ARR development, robust partnerships, and management strikes that strengthened its market place. The corporate’s inventory has appreciated about 65% since our protection as execution boosted confidence. The thesis nonetheless stands. Wolf of Harcourt Avenue shares an identical view however emphasizes monetary traction and moat improvement.
Rubrik, Inc. is just not on our listing of the 30 Most Popular Stocks Among Hedge Funds. As per our database, 45 hedge fund portfolios held RBRK on the finish of the primary quarter which was 41 within the earlier quarter. Whereas we acknowledge the potential of RBRK as an funding, we consider sure AI shares provide better upside potential and carry much less draw back threat. In the event you’re in search of an especially undervalued AI inventory that additionally stands to learn considerably from Trump-era tariffs and the onshoring pattern, see our free report on the best short-term AI stock.
