Rubrik, Inc. (RBRK) Down 7.0% — Should I Abandon the Position?
Key Points
Rubrik, Inc. (RBRK) retreated sharply, down 6.98% to $50.38, losing $3.78 from the prior close of $54.16. The move kept the stock under pressure and near the lower end of its 52-week range, which spans $47.35 to $103.00. After sliding in this session, RBRK is now roughly 51% below its 52-week high of $103.00 set on 06/06/2025, underscoring how much ground it has surrendered since last year’s peak.
Trading activity was active but not elevated relative to recent norms. Volume totaled 2,406,205 shares, running below the 90-day average of 3,479,601. That lighter-than-usual participation alongside a steep drop can reflect cautious positioning as the stock pulls back toward support levels, rather than a broad, high-conviction rush in either direction.
Rubrik’s decline leaves it lagging other NYSE Information technology names such as CrowdStrike (CRWD), Cloudflare (NET), and Snowflake (SNOW), which have all been prone to sharp swings recently. For RBRK, the latest slide reinforces a negative near-term tone: the stock is losing ground quickly, remaining far from its prior highs, and continuing to face headwinds as sellers maintain the upper hand.
Why Rubrik, Inc. Price is Moving Lower
Rubrik, Inc. (RBRK) has come under sharp pressure after a 16.6% slide over the past week, and the tone of the recent flow has leaned bearish. A key headwind is persistent insider selling, highlighted by CFO Kiran Kumar Choudary’s 20,000-share sale worth about $1.08 million under a 10b5-1 plan. That trade adds to roughly $19.28 million of insider sales over the past 90 days, a pattern that can weigh on sentiment even when it’s pre-scheduled. At the same time, short interest climbed 9.27% to about 13 million shares (8.72% of float), above the peer average of 6.87%, signaling growing conviction among traders positioning for additional downside.
The weakness also reflects investor concerns that strong top-line momentum isn’t translating into near-term profitability. Revenue growth remains eye-catching—up 48.3% year over year to $350.17 million—with the latest quarter showing 13% sequential growth. But the business is still running with a -31.48% profit margin, and guidance pointing to negative FY2026 EPS (-0.20 to -0.16) reinforces the view that losses may persist longer than the market wants. Even with analysts holding a Moderate Buy consensus and a $106.94 average price target, the stock’s elevated 8.09x price-to-sales multiple leaves less room for execution missteps, especially in a cautious tape for Software and Services names.
What is the Rubrik, Inc. Rating - Should I Sell?
Weiss Ratings assigns RBRK a D rating. Current recommendation is Sell. Rubrik, Inc. was downgraded on 11/5/2025, and the lower grade matters because the Weiss Rating is the overall, risk-adjusted view of what shareholders have actually been paid for the risks they’re taking.
Rubrik posts rapid top-line expansion — revenue growth is 48.26% — but that strength hasn’t translated into shareholder-friendly results. The Weak Total Return Index signals that, despite the growth narrative, performance has lagged once risk is accounted for. At the same time, profitability remains a major obstacle: a -31.48% profit margin and a negative forward P/E of -27.66 highlight how far the business still is from producing consistent earnings power.
Under the hood, the mix is uneven. The Good Growth Index and the Good Solvency Index indicate the company has been expanding and has avoided the most severe balance-sheet stress. However, the Very Weak Efficiency Index is a red flag, pointing to poor returns on capital and execution that hasn’t kept pace with growth. Add in the Weak Volatility Index, and investors are left with an unfavorable tradeoff: meaningful downside risk without a reliable record of reward.
Within Information Technology, Rubrik’s D (Sell) looks uncomfortably familiar. CrowdStrike Holdings, Inc. (CRWD, D), Cloudflare, Inc. (NET, D-), and Snowflake Inc. (SNOW, D-) also sit in the lower-rated tier, reinforcing how unforgiving the market can be toward high-growth names that haven’t converted scale into durable profitability and efficient capital use.
About Rubrik, Inc.
Rubrik, Inc. (RBRK) is an Information Technology company in the Software and Services industry focused on data security for organizations that need to protect critical information across mixed environments. Headquartered in Palo Alto, California, Rubrik was incorporated in 2013 and operates globally. The company, formerly known as Scaledata, Inc., adopted the Rubrik name in October 2014. Its platform is positioned around safeguarding data and restoring operations after disruption, a crowded segment where vendors often overlap across backup, security, and recovery use cases.
Rubrik’s product set centers on enterprise data protection and cyber recovery, with coverage spanning cloud data protection, SaaS data protection, and unstructured data protection. The company also offers identity provider services protection, reflecting a push to secure access layers alongside stored information. Beyond protection and recovery, Rubrik provides data threat analytics and data security posture capabilities intended to help customers detect risk and assess exposure before an incident escalates. These offerings are designed to address common enterprise requirements such as ransomware resilience, retention management, and restoring systems and datasets under pressure.
Rubrik sells into a wide range of end markets, including financial services, healthcare and life science, education, energy, industrial, retail, transportation, technology, media and communications, professional services, and the public sector. That breadth can diversify customer demand, but it also places Rubrik up against many established IT and security providers competing for the same budgets and platform footprint.
Investor Outlook
Rubrik, Inc. (RBRK) carries a Weiss Rating of D (Sell), signaling an unfavorable risk/reward profile, so investors may want to exercise caution and watch whether momentum can hold key near-term support levels. In the Information Technology space, monitor broader risk appetite for high-growth software names, any shifts in competitive pressure, and whether fundamentals can improve enough to offset the factors weighing on the D rating. See full rankings of all D-rated Information Technology stocks inside the Weiss Stock Screener.
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