Rubrik Inc Reports Record Q1 Performance with 32% Subscription ARR Growth
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 1 hour ago
0mins
Source: Yahoo Finance
- Subscription Revenue Growth: Rubrik Inc's subscription ARR reached $1.57 billion, growing 32% year-over-year, indicating strong market performance that is expected to further enhance its market share.
- Strong Cash Flow: The company generated $74 million in free cash flow this quarter, reflecting robust financial health that supports future investments and expansion plans, thereby boosting investor confidence.
- Product Expansion Potential: Rubrik is launching new products like Rubrik Agent Cloud and identity resilience, showcasing significant growth potential that is expected to drive future revenue growth and enhance customer loyalty.
- Market Competition Pressure: Despite strong performance, the company faces intense competition in the AI control plane market from vendors like ServiceNow, which may impact its market positioning and future growth rates.
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Analyst Views on RBRK
Wall Street analysts forecast RBRK stock price to rise
20 Analyst Rating
19 Buy
1 Hold
0 Sell
Strong Buy
Current: 79.460
Low
95.00
Averages
111.22
High
130.00
Current: 79.460
Low
95.00
Averages
111.22
High
130.00
About RBRK
Rubrik, Inc. is a cloud data management company. The Company has developed Zero Trust Data Security platform. It helps organizations achieve business resilience against cyberattacks, malicious insiders, and operational disruptions. Its Rubrik Security Cloud (RSC) secures data across enterprise, cloud, and software-as-a-service (SaaS) application. RSC detects, analyzes, and remediates data security risks and unauthorized user activities. It has developed a proprietary machine learning and artificial intelligence-based data threat monitoring and management engine to surface anomalous activities and indicators of data breaches. In addition, the Company offers Ruby for artificial intelligence (AI) data defense and recovery. Ruby is designed to help customers scale their data security operations with automation, boosting productivity, and bridging the users’ skills gap.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
Rubrik Reports Record Q1, Raises Full-Year Guidance
- Subscription Revenue Surge: Rubrik's subscription ARR reached $1.57 billion in Q1 FY2027, marking a 32% year-over-year increase, which underscores the strong demand for its cybersecurity solutions and solidifies its market position.
- Momentum in Identity Solutions: The identity business grew 38% quarter-over-quarter to over $50 million in subscription ARR, indicating ongoing innovation and market acceptance in identity management, which is expected to drive future revenue growth.
- Optimistic Financial Outlook: The company expects FY2027 subscription ARR to range between $1.854 billion and $1.862 billion, with total revenue projected at $1.638 billion to $1.648 billion, and non-GAAP EPS anticipated between $0.25 and $0.35, reflecting management's confidence in future performance.
- Strong Cash Flow: Free cash flow for Q1 was $74 million, with cash reserves totaling $1.7 billion, demonstrating Rubrik's robust financial health while continuing to invest and expand its business.
See More
Rubrik (RBRK) Q1 2027 Earnings Transcript
See More
Rubrik Inc Reports Record Q1 Performance with 32% Subscription ARR Growth
- Subscription Revenue Growth: Rubrik Inc's subscription ARR reached $1.57 billion, growing 32% year-over-year, indicating strong market performance that is expected to further enhance its market share.
- Strong Cash Flow: The company generated $74 million in free cash flow this quarter, reflecting robust financial health that supports future investments and expansion plans, thereby boosting investor confidence.
- Product Expansion Potential: Rubrik is launching new products like Rubrik Agent Cloud and identity resilience, showcasing significant growth potential that is expected to drive future revenue growth and enhance customer loyalty.
- Market Competition Pressure: Despite strong performance, the company faces intense competition in the AI control plane market from vendors like ServiceNow, which may impact its market positioning and future growth rates.
See More
Rubrik Shares Surge 47.9% Amid Snowflake's Strong Q1 Results
- Significant Stock Surge: Rubrik's shares rose 47.9% in May 2026, with a notable 19.5% increase in the last two days, reflecting market optimism about its growth prospects despite ongoing uncertainties in the broader market.
- Revenue Growth: In its recently released Q1 2027 report, Rubrik reported a 39% year-over-year revenue increase to $387 million, surpassing analyst expectations of a substantial loss, indicating strong execution and demand in the data security sector.
- Improved Gross Margins: Rubrik's gross margins widened, and the adjusted net income swung from a loss to a modest profit, showcasing advancements in cost control and operational efficiency, which further solidifies its position in the competitive cybersecurity market.
- Market Dependency Risks: While Rubrik benefits from Snowflake's strong performance, the close relationship also poses risks; a poor earnings report from Snowflake could lead to a rapid decline in Rubrik's stock price, presenting potential risks for investors due to this market dependency.
See More
Rubrik Stock Rises 47.9% Following Snowflake's Strong Q1 Report
- Significant Stock Surge: Rubrik's stock rose 47.9% in May 2026, primarily driven by Snowflake's strong Q1 earnings report, highlighting the direct security integration between the two companies that feeds Rubrik's sales pipeline.
- Strong Financial Performance: In its Q1 2027 report, Rubrik achieved a 39% year-over-year revenue increase to $387 million, with the adjusted bottom line swinging from a net loss to a modest profit, showcasing the company's leadership in AI-assisted cybersecurity.
- Positive Market Reaction: Although Rubrik's stock showed little movement in after-hours trading, it has surged approximately 40% over the past three months, indicating market optimism about the health of the data management industry, especially following Snowflake's robust performance.
- Risks and Opportunities: The close relationship with Snowflake means that while Rubrik benefits from its strong quarterly results, a weak report from Snowflake could lead to a rapid decline in Rubrik's stock price, necessitating caution from investors regarding this high-valuation stock.
See More
Lululemon Lowers Full-Year Earnings Guidance, Shares Drop 10%
- Lululemon Earnings Decline: Lululemon Athletica lowered its full-year earnings and revenue guidance, citing market headwinds, which led to a 10% drop in shares, reflecting challenges in the competitive athleisure market.
- Docusign's Lackluster Outlook: Docusign's stock fell 4% as its second-quarter revenue forecast of $865 million to $869 million, while in line with consensus, failed to impress analysts, raising concerns about its growth potential.
- Cooper Companies Beats Expectations: Cooper Companies reported adjusted second-quarter earnings of $1.21 per share, exceeding the $1.10 consensus estimate, with revenue of $1.08 billion surpassing the $1.05 billion forecast, resulting in a 1% increase in shares.
- ServiceTitan Performance Boost: ServiceTitan shares surged 12% after raising its full-year guidance, now expecting adjusted operating income between $142 million and $147 million, exceeding its previous forecast of $128 million to $133 million, indicating strong performance in the contractor market.
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Rubrik Reports Record Q1, Raises Full-Year Guidance
- Subscription Revenue Surge: Rubrik's subscription ARR reached $1.57 billion in Q1 FY2027, marking a 32% year-over-year increase, which underscores the strong demand for its cybersecurity solutions and solidifies its market position.
- Momentum in Identity Solutions: The identity business grew 38% quarter-over-quarter to over $50 million in subscription ARR, indicating ongoing innovation and market acceptance in identity management, which is expected to drive future revenue growth.
- Optimistic Financial Outlook: The company expects FY2027 subscription ARR to range between $1.854 billion and $1.862 billion, with total revenue projected at $1.638 billion to $1.648 billion, and non-GAAP EPS anticipated between $0.25 and $0.35, reflecting management's confidence in future performance.
- Strong Cash Flow: Free cash flow for Q1 was $74 million, with cash reserves totaling $1.7 billion, demonstrating Rubrik's robust financial health while continuing to invest and expand its business.
See More
Rubrik (RBRK) Q1 2027 Earnings Transcript
See More
Rubrik Inc Reports Record Q1 Performance with 32% Subscription ARR Growth
- Subscription Revenue Growth: Rubrik Inc's subscription ARR reached $1.57 billion, growing 32% year-over-year, indicating strong market performance that is expected to further enhance its market share.
- Strong Cash Flow: The company generated $74 million in free cash flow this quarter, reflecting robust financial health that supports future investments and expansion plans, thereby boosting investor confidence.
- Product Expansion Potential: Rubrik is launching new products like Rubrik Agent Cloud and identity resilience, showcasing significant growth potential that is expected to drive future revenue growth and enhance customer loyalty.
- Market Competition Pressure: Despite strong performance, the company faces intense competition in the AI control plane market from vendors like ServiceNow, which may impact its market positioning and future growth rates.
See More
Rubrik Shares Surge 47.9% Amid Snowflake's Strong Q1 Results
- Significant Stock Surge: Rubrik's shares rose 47.9% in May 2026, with a notable 19.5% increase in the last two days, reflecting market optimism about its growth prospects despite ongoing uncertainties in the broader market.
- Revenue Growth: In its recently released Q1 2027 report, Rubrik reported a 39% year-over-year revenue increase to $387 million, surpassing analyst expectations of a substantial loss, indicating strong execution and demand in the data security sector.
- Improved Gross Margins: Rubrik's gross margins widened, and the adjusted net income swung from a loss to a modest profit, showcasing advancements in cost control and operational efficiency, which further solidifies its position in the competitive cybersecurity market.
- Market Dependency Risks: While Rubrik benefits from Snowflake's strong performance, the close relationship also poses risks; a poor earnings report from Snowflake could lead to a rapid decline in Rubrik's stock price, presenting potential risks for investors due to this market dependency.
See More
Rubrik Stock Rises 47.9% Following Snowflake's Strong Q1 Report
- Significant Stock Surge: Rubrik's stock rose 47.9% in May 2026, primarily driven by Snowflake's strong Q1 earnings report, highlighting the direct security integration between the two companies that feeds Rubrik's sales pipeline.
- Strong Financial Performance: In its Q1 2027 report, Rubrik achieved a 39% year-over-year revenue increase to $387 million, with the adjusted bottom line swinging from a net loss to a modest profit, showcasing the company's leadership in AI-assisted cybersecurity.
- Positive Market Reaction: Although Rubrik's stock showed little movement in after-hours trading, it has surged approximately 40% over the past three months, indicating market optimism about the health of the data management industry, especially following Snowflake's robust performance.
- Risks and Opportunities: The close relationship with Snowflake means that while Rubrik benefits from its strong quarterly results, a weak report from Snowflake could lead to a rapid decline in Rubrik's stock price, necessitating caution from investors regarding this high-valuation stock.
See More
Lululemon Lowers Full-Year Earnings Guidance, Shares Drop 10%
- Lululemon Earnings Decline: Lululemon Athletica lowered its full-year earnings and revenue guidance, citing market headwinds, which led to a 10% drop in shares, reflecting challenges in the competitive athleisure market.
- Docusign's Lackluster Outlook: Docusign's stock fell 4% as its second-quarter revenue forecast of $865 million to $869 million, while in line with consensus, failed to impress analysts, raising concerns about its growth potential.
- Cooper Companies Beats Expectations: Cooper Companies reported adjusted second-quarter earnings of $1.21 per share, exceeding the $1.10 consensus estimate, with revenue of $1.08 billion surpassing the $1.05 billion forecast, resulting in a 1% increase in shares.
- ServiceTitan Performance Boost: ServiceTitan shares surged 12% after raising its full-year guidance, now expecting adjusted operating income between $142 million and $147 million, exceeding its previous forecast of $128 million to $133 million, indicating strong performance in the contractor market.
See More
