In today’s rapidly evolving tech landscape, cybersecurity and identity management are paramount for businesses seeking resilience and growth. This article compares two key players in the Software – Infrastructure sector: Okta, Inc. (OKTA) and Rubrik, Inc. (RBRK). Both companies are leveraging innovative strategies to enhance security solutions, yet they specialize in distinct areas—identity management versus data protection. Join me as we explore which of these companies represents the most compelling investment opportunity for your portfolio.
Table of contents
Company Overview
Okta, Inc. Overview
Okta, Inc. is a leading provider of identity solutions, focusing on secure access for enterprises, educational institutions, and government entities both domestically and internationally. The company’s flagship product, the Okta Identity Cloud, offers a comprehensive suite of services including Single Sign-On, Adaptive Multi-Factor Authentication, and Lifecycle Management. Founded in 2009 and headquartered in San Francisco, California, Okta has carved out a significant position in the software infrastructure industry, catering to various sectors with a strong emphasis on security and user experience. With a market capitalization of approximately $14.5B, Okta continues to innovate to meet the evolving demands of identity and access management.
Rubrik, Inc. Overview
Rubrik, Inc. specializes in data security solutions, providing comprehensive services for data protection across various platforms, including enterprise, cloud, and SaaS environments. Established in 2013 and based in Palo Alto, California, Rubrik’s offerings encompass data threat analytics, cyber recovery solutions, and data security posture management, serving multiple industries such as healthcare, finance, and technology. With a market capitalization of about $17.4B, the company’s focus on data integrity and security positions it as a trusted partner for organizations looking to safeguard their digital assets in an increasingly complex cyber landscape.
Key similarities and differences
Both Okta and Rubrik operate within the software infrastructure industry, emphasizing security and protection in their respective domains. Okta focuses on identity management and secure access, while Rubrik specializes in comprehensive data protection solutions. Although their core offerings differ, both companies address critical security needs in today’s digital environment, reflecting a shared commitment to safeguarding user identities and data integrity.
Income Statement Comparison
In this section, I provide a concise comparison of the latest income statements for Okta, Inc. and Rubrik, Inc., highlighting key financial metrics.
| Metric | Okta, Inc. (OKTA) | Rubrik, Inc. (RBRK) |
|---|---|---|
| Market Cap | 14.49B | 17.42B |
| Revenue | 2.61B | 886.54M |
| EBITDA | 139M | -1.08B |
| EBIT | 51M | -1.11B |
| Net Income | 28M | -1.15B |
| EPS | 0.17 | -7.48 |
| Fiscal Year | 2025 | 2025 |
Interpretation of Income Statement
The income statements reveal a contrasting performance trend between Okta and Rubrik in 2025. Okta experienced a revenue increase to 2.61B, reflecting a robust growth trajectory. However, it still reported a modest net income of 28M, indicating ongoing challenges in improving profitability margins. In contrast, Rubrik’s revenue grew to 886.54M, but it faced significant losses, with a net income of -1.15B, suggesting ongoing difficulties in managing operational costs and achieving positive margins. This disparity highlights the importance of monitoring both revenue growth and profitability metrics for informed investment decisions.
Financial Ratios Comparison
The following table presents a comparative analysis of the most recent financial ratios for Okta, Inc. (OKTA) and Rubrik, Inc. (RBRK).
| Metric | OKTA | RBRK |
|---|---|---|
| ROE | 0.44% | -2.36% |
| ROIC | -0.61% | -2.36% |
| P/E | -36.90 | -9.79 |
| P/B | 2.49 | -20.42 |
| Current Ratio | 1.35 | 1.13 |
| Quick Ratio | 1.35 | 1.13 |
| D/E | 0.15 | -0.60 |
| Debt-to-Assets | 0.10 | 0.23 |
| Interest Coverage | -14.80 | -27.49 |
| Asset Turnover | 0.28 | 0.62 |
| Fixed Asset Turnover | 22.31 | 16.67 |
| Payout ratio | 0 | 0 |
| Dividend yield | 0% | 0% |
Interpretation of Financial Ratios
In comparing the financial ratios, OKTA shows a stronger liquidity position with a current ratio of 1.35, compared to RBRK’s 1.13. However, both companies exhibit significant negative profitability metrics, such as the negative ROE and P/E ratios. Notably, OKTA’s high P/B ratio suggests overvaluation, whereas RBRK’s negative ratios raise concerns about its financial stability. Both companies face substantial risks, and investors should exercise caution when considering these stocks for their portfolios.
Dividend and Shareholder Returns
Neither Okta, Inc. (OKTA) nor Rubrik, Inc. (RBRK) pays dividends, reflecting a focus on reinvestment strategies and potential high growth phases. OKTA reported a dividend payout ratio of 0, while RBRK is similarly positioned. Both companies engage in share buybacks, though RBRK’s cash flow metrics suggest caution due to negative margins. This lack of immediate shareholder returns may align with long-term value creation if growth investments are successful, but it carries inherent risks that investors should consider.
Strategic Positioning
In the competitive landscape of software infrastructure, both Okta, Inc. (OKTA) and Rubrik, Inc. (RBRK) hold significant positions. Okta commands a market cap of approximately $14.5B, focusing on identity solutions with a strong user base across various sectors. Rubrik, with a market cap of about $17.4B, excels in data security solutions, appealing to diverse industries. As technological disruptions continue, both companies face competitive pressure but remain well-positioned to leverage their innovations for growth.
Stock Comparison
In this section, I will analyze the stock price movements and trading dynamics of Okta, Inc. (OKTA) and Rubrik, Inc. (RBRK) over the past year, highlighting key price changes and market behaviors.
Trend Analysis
Okta, Inc. (OKTA) Over the past year, OKTA’s stock has experienced a price change of +2.23%, indicating a bullish trend overall. Despite this positive movement, the trend shows signs of deceleration. The stock reached a notable high of 127.3 and a low of 72.24 during this period. Additionally, the standard deviation of 11.49 suggests moderate volatility in the stock price.
In the recent analysis period from September 21, 2025, to December 7, 2025, the stock has seen a decline of -8.26%, reflecting a short-term bearish trend with a trend slope of -1.1. The volatility in this recent period, with a standard deviation of 4.6, indicates relatively lower price fluctuations compared to the long-term trend.
Rubrik, Inc. (RBRK) RBRK has exhibited a remarkable price change of +131.74% over the past year, confirming a bullish trend. The stock also shows deceleration in its upward momentum. It achieved a high of 97.91 and a low of 28.65. The standard deviation of 21.83 indicates higher volatility in comparison to OKTA.
In the recent trend from September 21, 2025, to December 7, 2025, RBRK’s stock has increased by +9.76%, reinforcing its bullish stance, albeit with a trend slope of -0.74, suggesting a slight slowing in momentum. The standard deviation of 6.04 in this timeframe indicates moderate price fluctuations.
In summary, while both stocks show bullish trends over the year, recent movements indicate different short-term dynamics, with OKTA facing a downturn and RBRK maintaining positive momentum.
Analyst Opinions
Recent analyses have shown a diverse range of recommendations for Okta, Inc. (OKTA) and Rubrik, Inc. (RBRK). Analysts rate OKTA with a B+, highlighting strong discounted cash flow and price-to-book scores, suggesting a consensus buy for 2025. In contrast, RBRK holds a C rating, with concerns raised about its financial metrics, indicating a consensus sell. Analysts emphasize that while OKTA presents growth potential, RBRK’s structural challenges may impede performance.
Stock Grades
In this section, I will present the latest stock ratings for Okta, Inc. (OKTA) and Rubrik, Inc. (RBRK), based on evaluations from reputable grading companies.
Okta, Inc. Grades
| Grading Company | Action | New Grade | Date |
|---|---|---|---|
| BTIG | maintain | Buy | 2025-12-04 |
| BMO Capital | maintain | Market Perform | 2025-12-03 |
| DA Davidson | maintain | Buy | 2025-12-03 |
| Piper Sandler | maintain | Neutral | 2025-12-03 |
| Susquehanna | maintain | Neutral | 2025-12-03 |
| Needham | maintain | Buy | 2025-12-03 |
| Canaccord Genuity | maintain | Buy | 2025-12-03 |
| Scotiabank | maintain | Sector Perform | 2025-12-03 |
| JP Morgan | maintain | Overweight | 2025-12-03 |
| Cantor Fitzgerald | maintain | Overweight | 2025-12-03 |
Rubrik, Inc. Grades
| Grading Company | Action | New Grade | Date |
|---|---|---|---|
| Keybanc | maintain | Overweight | 2025-12-05 |
| Rosenblatt | maintain | Buy | 2025-12-05 |
| Piper Sandler | maintain | Overweight | 2025-12-05 |
| William Blair | upgrade | Outperform | 2025-12-05 |
| BMO Capital | maintain | Outperform | 2025-12-05 |
| Wedbush | maintain | Outperform | 2025-12-05 |
| Baird | maintain | Outperform | 2025-12-05 |
| Cantor Fitzgerald | maintain | Overweight | 2025-12-03 |
| Guggenheim | maintain | Buy | 2025-12-01 |
| Mizuho | upgrade | Outperform | 2025-11-17 |
Overall, the grades for both companies show a trend of stability, with many ratings being maintained across various firms. Notably, Rubrik has recently seen an upgrade from William Blair, indicating a positive shift in sentiment towards its stock.
Target Prices
A consensus on target prices has been established for the following companies.
| Company | Target High | Target Low | Consensus |
|---|---|---|---|
| Okta, Inc. | 140 | 60 | 108.47 |
| Rubrik, Inc. | 113 | 110 | 111.5 |
The analyst expectations for Okta suggest a potential upside from its current price of 85.54, while Rubrik’s consensus of 111.5 indicates a modest growth expectation compared to its current price of 88.20.
Strengths and Weaknesses
The following table outlines the strengths and weaknesses of Okta, Inc. (OKTA) and Rubrik, Inc. (RBRK) based on the most recent data.
| Criterion | Okta, Inc. (OKTA) | Rubrik, Inc. (RBRK) |
|---|---|---|
| Diversification | Moderate | Limited |
| Profitability | Low (Net Margin: 1.07%) | Negative (Net Margin: -130.26%) |
| Innovation | High | Moderate |
| Global presence | Strong | Moderate |
| Market Share | Growing | Emerging |
| Debt level | Low (Debt/Equity: 0.15) | High (Debt/Equity: -0.6) |
Key takeaways indicate that Okta has a more favorable financial position with lower debt and a stronger global presence, while Rubrik faces significant profitability challenges and higher debt levels. Investors should weigh these factors carefully when considering their investments.
Risk Analysis
In the table below, I outline the key risks associated with Okta, Inc. and Rubrik, Inc. to help you make informed investment decisions.
| Metric | Okta, Inc. | Rubrik, Inc. |
|---|---|---|
| Market Risk | Medium | High |
| Regulatory Risk | Medium | Medium |
| Operational Risk | High | High |
| Environmental Risk | Low | Low |
| Geopolitical Risk | Medium | Medium |
Both companies face significant operational risks due to their reliance on technology and data security, with Rubrik experiencing a higher market risk. In recent months, heightened regulatory scrutiny in the tech sector has further complicated their operating environments.
Which one to choose?
In comparing Okta, Inc. (OKTA) and Rubrik, Inc. (RBRK), the fundamentals suggest that OKTA is positioned more favorably for long-term investors. OKTA has a healthier gross profit margin of 76.3% and a B+ rating from analysts, indicating a solid performance relative to its peers. Its stock trend remains bullish despite some recent deceleration. In contrast, RBRK, with a C rating, faces significant challenges, including a negative net profit margin of -1.3% and a higher valuation risk with a price-to-sales ratio of 12.75. While RBRK’s price has seen a notable increase of 131.74%, its fundamental weaknesses and negative cash flow raise concerns.
Investors focused on growth may prefer OKTA, while those prioritizing short-term gains might find RBRK appealing but should be cautious of its inherent risks related to competition and market dependence.
Disclaimer: This article is not financial advice. Each investor is responsible for their own investment decisions.
Go further
I encourage you to read the complete analyses of Okta, Inc. and Rubrik, Inc. to enhance your investment decisions:
