Oracle Corporation and Rubrik, Inc. are two prominent players in the software infrastructure industry, each with distinct market footprints and innovation strategies. Oracle, a well-established giant, offers a comprehensive suite of cloud and enterprise solutions, while Rubrik focuses on cutting-edge data security and protection. This article will analyze both companies to help you decide which presents the most compelling investment opportunity in today’s technology landscape.
Table of contents
Companies Overview
I will begin the comparison between Oracle Corporation and Rubrik, Inc. by providing an overview of these two companies and their main differences.
Oracle Overview
Oracle Corporation, headquartered in Austin, Texas, specializes in enterprise information technology environments worldwide. It offers cloud software applications like Oracle Fusion ERP and NetSuite, alongside infrastructure technologies such as Oracle Database and Java. The company also provides hardware products, consulting, and customer services, targeting businesses, governments, and educational institutions. Oracle is a well-established player in the software infrastructure industry with a market cap of $549B.
Rubrik Overview
Rubrik, Inc., based in Palo Alto, California, delivers data security solutions globally, including enterprise and cloud data protection, threat analytics, and cyber recovery. Serving diverse sectors like finance, healthcare, and technology, Rubrik focuses on safeguarding unstructured and SaaS data. Founded in 2013 and publicly traded since 2024, Rubrik has a market cap of $13.4B and is a smaller but growing participant in the software infrastructure industry.
Key similarities and differences
Both Oracle and Rubrik operate within the software infrastructure industry, providing enterprise IT solutions with a focus on cloud technologies. Oracle offers a broader portfolio including database, middleware, hardware, and consulting services, reflecting its long-established market presence. In contrast, Rubrik concentrates on data security and protection, with specialized solutions for various industry sectors. Their market caps and employee bases differ significantly, highlighting Oracle’s scale versus Rubrik’s focus on niche security offerings.
Income Statement Comparison
The following table compares key income statement metrics for Oracle Corporation and Rubrik, Inc. for their most recent fiscal year, highlighting differences in scale and profitability.
| Metric | Oracle Corporation | Rubrik, Inc. |
|---|---|---|
| Market Cap | 549B | 13.4B |
| Revenue | 57.4B | 887M |
| EBITDA | 23.9B | -1.08B |
| EBIT | 17.7B | -1.11B |
| Net Income | 12.4B | -1.15B |
| EPS | 4.46 | -7.48 |
| Fiscal Year | 2025 | 2025 |
Income Statement Interpretations
Oracle Corporation
Oracle’s revenue showed a steady increase from $40.5B in 2021 to $57.4B in 2025, reflecting a 41.8% growth over five years. Net income fluctuated, peaking at $13.7B in 2021 but declining to $12.4B in 2025. Margins remained generally favorable, with gross margin around 70.5% and net margin at 21.7% in 2025. The latest year showed solid revenue and EBIT growth, alongside improving net margin and EPS.
Rubrik, Inc.
Rubrik’s revenue expanded significantly from $388M in 2021 to $887M in 2025, a 128.6% increase. However, net income remained negative, worsening from -$213M in 2021 to -$1.15B in 2025. Margins were unfavorable with a negative EBIT margin of -124.9% and net margin at -130.3% in 2025. Despite strong top-line growth, profitability and margin contraction marked the most recent fiscal year.
Which one has the stronger fundamentals?
Oracle demonstrates stronger fundamentals with consistent revenue growth, positive net income, and favorable margins, supported by solid EBIT and EPS growth in 2025. Conversely, Rubrik shows rapid revenue expansion but sustained and deepening losses, negative margins, and unfavorable profitability trends. Overall, Oracle’s income statement reflects more stable and favorable financial health within the technology infrastructure sector.
Financial Ratios Comparison
The following table compares key financial ratios for Oracle Corporation and Rubrik, Inc. based on their most recent fiscal year data available (2025 for Oracle, 2025 for Rubrik). These ratios provide insights into profitability, valuation, liquidity, leverage, and operational efficiency.
| Ratios | Oracle Corporation (ORCL) | Rubrik, Inc. (RBRK) |
|---|---|---|
| ROE | 60.8% | 208.6% |
| ROIC | 10.9% | -234.8% |
| P/E | 37.1 | -9.8 |
| P/B | 22.6 | -20.4 |
| Current Ratio | 0.75 | 1.13 |
| Quick Ratio | 0.75 | 1.13 |
| D/E (Debt-to-Equity) | 5.09 | -0.63 |
| Debt-to-Assets | 61.8% | 24.7% |
| Interest Coverage | 4.94 | -27.5 |
| Asset Turnover | 0.34 | 0.62 |
| Fixed Asset Turnover | 1.32 | 16.67 |
| Payout ratio | 38.1% | 0% |
| Dividend yield | 1.03% | 0% |
Interpretation of the Ratios
Oracle Corporation
Oracle shows strong profitability with a net margin of 21.68% and a high return on equity at 60.84%, indicating efficient management of shareholder capital. However, several liquidity and leverage ratios appear weak, such as a current ratio of 0.75 and a debt-to-equity ratio of 5.09, signaling potential short-term and solvency concerns. Oracle pays dividends with a 1.03% yield, supported by a consistent payout, although free cash flow coverage is negative, suggesting caution on sustainability.
Rubrik, Inc.
Rubrik presents mixed signals with a deeply negative net margin of -130.26%, reflecting losses, but an exceptionally high return on equity at 208.55%. The company maintains a favorable capital structure with a low debt-to-assets ratio of 24.65% and a current ratio of 1.13, indicating reasonable liquidity. No dividends are paid, which aligns with its ongoing investment in research and development and its growth phase, prioritizing reinvestment over shareholder payouts.
Which one has the best ratios?
Rubrik holds a favorable overall ratios opinion driven by several positive leverage and turnover metrics, despite poor profitability and negative cash flows. Oracle shows strong profitability and return measures but struggles with liquidity and leverage ratios, leading to an unfavorable global evaluation. The choice depends on weighing profit stability against growth potential and capital structure.
Strategic Positioning
This section compares the strategic positioning of Oracle Corporation and Rubrik, Inc. across market position, key segments, and exposure to technological disruption:
Oracle Corporation
- Large market cap of 549B with significant competitive pressure in enterprise software.
- Diverse revenue streams: cloud and license (49.2B), hardware (2.9B), and services (5.2B).
- Exposed to cloud computing and database tech disruption with autonomous database and blockchain.
Rubrik, Inc.
- Smaller market cap of 13.4B, operating in data security with moderate competition.
- Focused on data protection and security with subscription revenues at 829M.
- Faces disruption risks in cybersecurity and cloud data protection innovation.
Oracle Corporation vs Rubrik, Inc. Positioning
Oracle pursues a diversified strategy across cloud, hardware, and services, leveraging scale but with declining profitability. Rubrik concentrates on data security and cloud protection, smaller in scale but highly specialized, facing intense tech disruption risks.
Which has the best competitive advantage?
Both companies are currently shedding value with declining ROIC trends. Oracle’s slightly unfavorable moat contrasts with Rubrik’s very unfavorable status, indicating Oracle maintains a comparatively stronger competitive advantage despite challenges.
Stock Comparison
The stock prices of Oracle Corporation and Rubrik, Inc. have exhibited significant bullish trends over the past 12 months, followed by a notable recent decline in both, reflecting shifting trading dynamics and investor sentiment.
Trend Analysis
Oracle Corporation’s stock showed a bullish trend over the past year with a 70.69% increase, though this growth decelerated. The price ranged between 111.95 and 308.66, with recent weeks seeing a 27.23% decline, indicating a short-term bearish correction.
Rubrik, Inc. experienced a bullish trend with a 76.58% rise over the last 12 months, also decelerating. Prices fluctuated from 28.65 to 97.91. Recently, the stock declined by 10.85%, pointing to a mild bearish sentiment with low volatility in the short term.
Comparing these stocks, Rubrik, Inc. delivered the highest overall market performance over the year, although both have faced downward pressure recently, reflecting cautious investor behavior.
Target Prices
The consensus target prices from recognized analysts show a positive outlook for both Oracle Corporation and Rubrik, Inc.
| Company | Target High | Target Low | Consensus |
|---|---|---|---|
| Oracle Corporation | 400 | 175 | 314.08 |
| Rubrik, Inc. | 113 | 105 | 109.33 |
Analysts expect Oracle’s stock to trade significantly above its current price of 191.09 USD, indicating strong upside potential. Rubrik’s consensus target price also suggests considerable growth from its current 67.1 USD.
Analyst Opinions Comparison
This section compares analysts’ ratings and grades for Oracle Corporation and Rubrik, Inc.:
Rating Comparison
Oracle Corporation Rating
- Rating: B, indicating a very favorable overall evaluation by analysts.
- Discounted Cash Flow Score: Moderate at 3, suggesting balanced valuation outlook.
- ROE Score: Very favorable at 5, showing strong profit generation on equity.
- ROA Score: Favorable at 4, reflecting effective asset utilization.
- Debt To Equity Score: Very unfavorable at 1, indicating high financial risk.
- Overall Score: Moderate at 3, summarizing mixed financial strengths and weaknesses.
Rubrik, Inc. Rating
- Rating: C, also noted as very favorable despite the lower letter grade.
- Discounted Cash Flow Score: Very unfavorable at 1, indicating poor valuation.
- ROE Score: Very favorable at 5, matching Oracle’s strength in equity returns.
- ROA Score: Very unfavorable at 1, pointing to weak asset earnings efficiency.
- Debt To Equity Score: Very unfavorable at 1, similarly high financial risk.
- Overall Score: Moderate at 2, lower than Oracle, reflecting overall weaker metrics.
Which one is the best rated?
Oracle is better rated overall, with higher scores in discounted cash flow, return on assets, and overall evaluation compared to Rubrik, which shares the strong ROE but falls behind on other key financial metrics.
Scores Comparison
Here is a comparison of the Altman Z-Score and Piotroski Score for Oracle Corporation and Rubrik, Inc.:
Oracle Corporation Scores
- Altman Z-Score: 2.43, placing Oracle in the grey zone, indicating moderate bankruptcy risk.
- Piotroski Score: 5, indicating average financial strength.
Rubrik, Inc. Scores
- Altman Z-Score: 1.41, placing Rubrik in the distress zone, indicating high bankruptcy risk.
- Piotroski Score: 4, indicating average financial strength.
Which company has the best scores?
Oracle has a higher Altman Z-Score, placing it in the grey zone, compared to Rubrik’s distress zone. Both have average Piotroski Scores, but Oracle’s slightly better Altman score suggests stronger financial stability.
Grades Comparison
Here is a detailed comparison of the latest grades assigned to Oracle Corporation and Rubrik, Inc.:
Oracle Corporation Grades
The following table shows recent grades from recognized financial institutions for Oracle Corporation:
| Grading Company | Action | New Grade | Date |
|---|---|---|---|
| UBS | Maintain | Buy | 2026-01-05 |
| RBC Capital | Maintain | Sector Perform | 2026-01-05 |
| Jefferies | Maintain | Buy | 2026-01-05 |
| Goldman Sachs | Maintain | Neutral | 2025-12-12 |
| Keybanc | Maintain | Overweight | 2025-12-11 |
| UBS | Maintain | Buy | 2025-12-11 |
| Citigroup | Maintain | Buy | 2025-12-11 |
| JP Morgan | Maintain | Neutral | 2025-12-11 |
| DA Davidson | Maintain | Neutral | 2025-12-11 |
| Scotiabank | Maintain | Sector Outperform | 2025-12-11 |
Oracle’s grades mostly reflect a stable outlook with a predominance of Buy and Neutral ratings, indicating moderate confidence from analysts.
Rubrik, Inc. Grades
Below is the latest grading data from credible sources for Rubrik, Inc.:
| Grading Company | Action | New Grade | Date |
|---|---|---|---|
| Keybanc | Maintain | Overweight | 2026-01-12 |
| Piper Sandler | Maintain | Overweight | 2026-01-05 |
| Citigroup | Maintain | Buy | 2025-12-08 |
| Piper Sandler | Maintain | Overweight | 2025-12-05 |
| Baird | Maintain | Outperform | 2025-12-05 |
| Keybanc | Maintain | Overweight | 2025-12-05 |
| Rosenblatt | Maintain | Buy | 2025-12-05 |
| William Blair | Upgrade | Outperform | 2025-12-05 |
| BMO Capital | Maintain | Outperform | 2025-12-05 |
| Wedbush | Maintain | Outperform | 2025-12-05 |
Rubrik shows strong analyst support with consistent Overweight, Buy, and Outperform ratings, including an upgrade, signaling positive momentum.
Which company has the best grades?
Rubrik, Inc. has received generally more favorable grades, featuring multiple Outperform and Overweight ratings, compared to Oracle’s more mixed Buy and Neutral evaluations. This suggests Rubrik is viewed with higher growth expectations, potentially influencing investors seeking strong upside potential.
Strengths and Weaknesses
Below is a comparison table summarizing the strengths and weaknesses of Oracle Corporation and Rubrik, Inc. based on the most recent financial and operational data available.
| Criterion | Oracle Corporation (ORCL) | Rubrik, Inc. (RBRK) |
|---|---|---|
| Diversification | Strong product segmentation with Cloud & License ($49.2B), Hardware ($2.9B), and Services ($5.2B) | Limited diversification; mostly Subscription & Circulation ($828M) with smaller Maintenance and Other revenues |
| Profitability | Favorable profitability metrics: net margin 21.7%, ROE 60.8%, ROIC 10.9% | Unfavorable net margin (-130%), negative ROIC (-234.9%), despite high ROE (208.6%) |
| Innovation | Moderate innovation pace; ROIC declining but still positive | Innovation challenges; value destruction with sharply declining ROIC |
| Global presence | Established global footprint with broad market penetration | Smaller global presence, typical for a younger company |
| Market Share | Large market share in enterprise software and cloud services | Emerging player with niche market focus in data management |
Key takeaways: Oracle demonstrates strong diversification and solid profitability despite some declining returns on invested capital, signaling caution. Rubrik shows promising growth potential but currently faces significant profitability and value creation challenges, increasing investment risk.
Risk Analysis
Below is a comparative table summarizing key risks for Oracle Corporation and Rubrik, Inc. in 2025:
| Metric | Oracle Corporation | Rubrik, Inc. |
|---|---|---|
| Market Risk | High beta (1.65) indicating higher volatility | Low beta (0.28) indicating lower volatility |
| Debt level | High leverage (D/E 5.09, 62% debt to assets) | Low leverage (negative D/E, 25% debt to assets) |
| Regulatory Risk | Moderate, US tech sector regulations apply | Moderate, data security regulations impact business |
| Operational Risk | Large scale operations with 159K employees | Smaller scale, 3.2K employees, but rapid growth risks |
| Environmental Risk | Moderate, hardware production impact | Low, mostly software and cloud services |
| Geopolitical Risk | Medium, global operations and supply chain exposure | Medium, global client base but smaller scale |
Oracle’s most impactful risks stem from its high debt levels and elevated market volatility, which could strain financial flexibility. Rubrik’s key risks include negative profitability and distress-level Altman Z-score, indicating financial instability despite low debt. Investors should weigh Oracle’s leverage risk against Rubrik’s operational and financial health uncertainties.
Which Stock to Choose?
Oracle Corporation (ORCL) shows a favorable income evolution with steady revenue growth and strong profitability ratios, including a 21.7% net margin and 60.8% return on equity. However, its high debt level and several unfavorable financial ratios weigh against its overall profile, rated as very favorable.
Rubrik, Inc. (RBRK) exhibits rapid revenue growth but suffers from significant net margin losses and declining profitability, reflected in an unfavorable income statement and very unfavorable moat evaluation. Despite this, its financial ratios are globally favorable, and it has a very favorable rating, though with caution on liquidity and leverage metrics.
For investors prioritizing stable profitability and established financial performance, Oracle may appear more favorable. Conversely, risk-tolerant investors interested in growth potential might find Rubrik’s profile worth monitoring despite its current challenges, as indicated by its rating and ratio trends.
Disclaimer: Investment carries a risk of loss of initial capital. The past performance is not a reliable indicator of future results. Be sure to understand risks before making an investment decision.
Go Further
I encourage you to read the complete analyses of Oracle Corporation and Rubrik, Inc. to enhance your investment decisions:
