Rubrik, Inc. (NYSE: RBRK)

Sector: Technology Industry: Software - Infrastructure CIK: 0001943896
P/B -36.11
P/E -50.26
P/S 15.83
Market Cap 18.94 Bn
ROIC (Qtr) -67.92
Div Yield % 0.00
Rev 1y % (Qtr) 48.26
Total Debt (Qtr) 1.13 Bn
Debt/Equity (Qtr) -2.15

About

Stock Price Chart

Analysis

Pros

  • Operating cash flow of 273.46M provides exceptional 10.43x coverage of interest expenses 26.21M, showing strong debt service capability.
  • Robust free cash flow of 242.97M exceeds capital expenditure of 30.49M by 7.97x, indicating strong organic growth funding capability.
  • Free cash flow of 242.97M provides exceptional 9.27x coverage of interest expense 26.21M, showing strong debt service ability.
  • Retained earnings of (3.10B) represent substantial 5.91x of equity (524.41M), indicating strong internal capital generation.
  • Robust R&D investment of 351.46M at 0.36x of SG&A 973.66M demonstrates strong commitment to innovation and future growth.

Cons

  • Operating cash flow of 273.46M barely covers its investment activities of (807.31M), with a coverage ratio of -0.34, indicating heavy reliance on external financing for growth which may not be sustainable in a tighter credit environment.
  • Investment activities of (807.31M) provide weak support for R&D spending of 351.46M, which is -2.30x, suggesting potentially insufficient investment in innovation relative to other capital deployment.
  • Cash reserves of 307.10M provide limited coverage of acquisition spending of (20.90M), which is -14.69x, suggesting aggressive expansion might strain liquidity if market conditions deteriorate.
  • Operating cash flow of 273.46M provides insufficient coverage of deferred revenue obligations of 1.69B, which is 0.16x, raising concerns about future service delivery capabilities.
  • Short-term investments of 1.30B significantly exceed cash reserves of 307.10M, which is 4.22x, indicating potentially excessive yield-seeking behavior at the expense of liquidity.

Peer Comparison

Companies in the Software - Infrastructure
S.No. Ticker Company Market Cap P/E P/S Total Debt (Qtr)
1 MSFT Microsoft Corp 3,542.10 Bn 33.76 12.06 60.56 Bn
2 ORCL Oracle Corp 533.93 Bn 34.61 8.75 124.39 Bn
3 PLTR Palantir Technologies Inc. 437.56 Bn 399.47 112.31 0.24 Bn
4 PANW Palo Alto Networks Inc 125.16 Bn 112.03 13.10 0.35 Bn
5 CRWD CrowdStrike Holdings, Inc. 120.85 Bn -384.67 26.47 0.82 Bn
6 SNPS Synopsys Inc 71.69 Bn 35.89 11.14 15.14 Bn
7 NET Cloudflare, Inc. 67.84 Bn -658.43 33.70 3.50 Bn
8 FTNT Fortinet, Inc. 63.33 Bn 33.80 9.66 1.00 Bn

Industry Comparisons

Current Valuation

Metric Value Industry Percentile
EV to Assets 7.75 2.56
EV to Cash from Ops. 72.20 38.32
EV to Debt 17.48 -11.37
EV to EBIT -57.51 -12.79
EV to EBITDA -57.16 7.72
EV to Free Cash Flow [EV/FCF] 81.26 24.22
EV to Market Cap 1.04 0.58
EV to Revenue 16.50 -35.00
Price to Book Value [P/B] -36.11 3.74
Price to Earnings [P/E] -50.26 -18.61

Dividend Metrics

Metric Value Industry Percentile
Dividend Coverage Ratio 0.00 -0.30
Dividend Payout Ratio % 0.00 2.69
Dividend per Basic Share 0.00 0.10
FCF Dividend Payout Ratio % 0.00 1.67
Interest Coverage -13.10 -13.15

Growth Metrics

Metric Value Industry Percentile
Capex Growth (1y) % -37.01 -404.11
Cash and Equivalents Growth (1y) % 195.58 226.02
Dividend Growth (1y) % 0.00 -0.27
EBIAT Growth (1y) % 68.07 31.15
EBITDA Growth (1y) % 67.81 49.02
EBIT Growth (1y) % 68.34 25.85
EBT Growth (1y) % 67.15 17.82
EPS Growth (1y) % 89.50 70.69
FCF Growth (1y) % 641.69 295.45
Gross Profit Growth (1y) % 70.08 49.96

Liquidity Ratios

Metric Value Industry Percentile
Asset Utilization Ratio 0.47 0.68
Cash Payout Ratio 0.00 0.02
Cash Ratio 0.26 1.21
Current Ratio 1.78 2.57
Debt to Equity Ratio -2.15 -0.93
Interest Cover Ratio -13.10 -13.15
Times Interest Earned -13.10 -13.15

Profitability

Metric Value Industry Percentile
EBITDA Margin % -25.90 -544.82
EBIT Margin % -28.69 -197.78
EBT Margin % -30.88 -602.74
Gross Margin % 79.10 52.06
Net Profit Margin % -31.50 -605.52