Contrasting Rubrik (NYSE:RBRK) & Kingsoft Cloud (NASDAQ:KC)

Rubrik (NYSE:RBRK) and Kingsoft Cloud (NASDAQ:KC) are both computer and technology companies, but which is the better stock? We will contrast the two businesses based on the strength of their analyst recommendations, earnings, dividends, valuation, risk, profitability and institutional ownership.

Institutional and Insider Ownership

49.5% of Rubrik shares are held by institutional investors. Comparatively, 13.4% of Kingsoft Cloud shares are held by institutional investors. 13.7% of Rubrik shares are held by company insiders. Comparatively, 14.2% of Kingsoft Cloud shares are held by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company will outperform the market over the long term.

Risk and Volatility

Rubrik has a beta of 1.1, meaning that its stock price is 10% more volatile than the S&P 500. Comparatively, Kingsoft Cloud has a beta of 1.94, meaning that its stock price is 94% more volatile than the S&P 500.

Analyst Recommendations

This is a summary of recent ratings and target prices for Rubrik and Kingsoft Cloud, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Rubrik	1	0	27	1	2.97
Kingsoft Cloud	1	1	4	0	2.50

Rubrik currently has a consensus target price of $85.12, suggesting a potential upside of 10.51%. Kingsoft Cloud has a consensus target price of $18.53, suggesting a potential upside of 47.91%. Given Kingsoft Cloud’s higher possible upside, analysts plainly believe Kingsoft Cloud is more favorable than Rubrik.

Earnings & Valuation

This table compares Rubrik and Kingsoft Cloud”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Rubrik	$1.32 billion	11.84	-$348.83 million	($1.77)	-43.52
Kingsoft Cloud	$1.37 billion	2.77	-$133.88 million	($0.47)	-26.66

Kingsoft Cloud has higher revenue and earnings than Rubrik. Rubrik is trading at a lower price-to-earnings ratio than Kingsoft Cloud, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares Rubrik and Kingsoft Cloud’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Rubrik	-26.50%	N/A	-14.45%
Kingsoft Cloud	-9.38%	-11.67%	-3.59%

Summary

Kingsoft Cloud beats Rubrik on 9 of the 15 factors compared between the two stocks.

About Rubrik

Rubrik, Inc. provides data security solutions to individuals and businesses worldwide. The company offers enterprise data protection, unstructured data protection, cloud data protection, and SaaS data protection solutions; data threat analytics; data security posture; and cyber recovery solutions. It serves financial, retail, trade, transportation, energy, industrial, healthcare and life science, education, technology, media, communications, and public sectors. Rubrik, Inc. was formerly known as Scaledata, Inc. and changed its name to Rubrik, Inc. in October 2014. The company was incorporated in 2013 and is based in Palo Alto, California.

About Kingsoft Cloud

Kingsoft Cloud Holdings Limited provides cloud services to businesses and organizations primarily in China. The company's products portfolio includes cloud products, including infrastructure as a service (IaaS) infrastructure, platform as a service (PaaS) middleware, and software as a service (SaaS) applications that primarily consist of cloud computing, network, database, big data, security, storage, and delivery solutions. It offers research and development services, as well as enterprise digital solutions and related services. The company also provides public cloud services to customers in various verticals, including video, e-commerce, intelligent mobility, artificial intelligence, and mobile internet; and enterprise cloud services to customers in financial services, public service, and healthcare businesses. Kingsoft Cloud Holdings Limited was incorporated in 2012 and is headquartered in Beijing, the People's Republic of China.