RingCentral (NYSE:RNG) Shares Up 10.5% – Should You Buy?
by Doug Wharley · The Cerbat GemShares of RingCentral, Inc. (NYSE:RNG – Get Free Report) traded up 10.5% during trading on Monday . The company traded as high as $47.49 and last traded at $47.8680. 536,222 shares changed hands during mid-day trading, a decline of 76% from the average session volume of 2,203,177 shares. The stock had previously closed at $43.31.
Analyst Upgrades and Downgrades
A number of analysts have recently commented on the stock. Robert W. Baird set a $45.00 price objective on shares of RingCentral in a research report on Friday, May 8th. Morgan Stanley upped their price target on shares of RingCentral from $33.00 to $40.00 and gave the stock an “equal weight” rating in a research report on Monday, May 11th. Mizuho upped their price target on shares of RingCentral from $27.00 to $32.00 and gave the stock a “neutral” rating in a research report on Friday, February 20th. Zacks Research raised shares of RingCentral from a “strong sell” rating to a “hold” rating in a research report on Wednesday, March 4th. Finally, Piper Sandler upped their price target on shares of RingCentral from $28.00 to $37.00 and gave the stock a “neutral” rating in a research report on Monday, February 23rd. Three research analysts have rated the stock with a Buy rating and ten have issued a Hold rating to the company. According to MarketBeat.com, the stock has a consensus rating of “Hold” and a consensus price target of $43.00.
Check Out Our Latest Stock Analysis on RingCentral
RingCentral Price Performance
The firm has a market capitalization of $4.13 billion, a P/E ratio of 52.41, a price-to-earnings-growth ratio of 1.27 and a beta of 1.14. The business’s 50-day moving average is $40.06 and its 200 day moving average is $33.70.
RingCentral (NYSE:RNG – Get Free Report) last released its quarterly earnings results on Thursday, May 7th. The software maker reported $1.20 EPS for the quarter, topping analysts’ consensus estimates of $1.17 by $0.03. RingCentral had a net margin of 3.31% and a negative return on equity of 33.75%. The business had revenue of $644.20 million for the quarter, compared to analyst estimates of $642.73 million. During the same period last year, the firm earned $1.00 earnings per share. RingCentral’s revenue for the quarter was up 5.3% compared to the same quarter last year. RingCentral has set its FY 2026 guidance at 4.850-5.010 EPS and its Q2 2026 guidance at 1.150-1.170 EPS. Analysts anticipate that RingCentral, Inc. will post 2.79 EPS for the current fiscal year.
RingCentral Dividend Announcement
The company also recently disclosed a quarterly dividend, which will be paid on Thursday, June 11th. Shareholders of record on Tuesday, June 2nd will be paid a dividend of $0.075 per share. This represents a $0.30 dividend on an annualized basis and a yield of 0.6%. The ex-dividend date is Tuesday, June 2nd. RingCentral’s dividend payout ratio is presently 31.91%.
Insiders Place Their Bets
In other RingCentral news, CAO Tarun Arora sold 919 shares of the stock in a transaction dated Tuesday, May 26th. The shares were sold at an average price of $42.66, for a total transaction of $39,204.54. Following the sale, the chief accounting officer directly owned 71,715 shares in the company, valued at $3,059,361.90. This represents a 1.27% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available at the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, COO Kira Makagon sold 16,988 shares of the stock in a transaction dated Wednesday, May 27th. The stock was sold at an average price of $42.54, for a total transaction of $722,669.52. Following the sale, the chief operating officer owned 212,724 shares in the company, valued at $9,049,278.96. The trade was a 7.40% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold 43,557 shares of company stock worth $1,793,754 over the last ninety days. Corporate insiders own 7.30% of the company’s stock.
Institutional Investors Weigh In On RingCentral
A number of large investors have recently bought and sold shares of RNG. WealthCollab LLC boosted its stake in shares of RingCentral by 59.7% in the 1st quarter. WealthCollab LLC now owns 693 shares of the software maker’s stock valued at $26,000 after purchasing an additional 259 shares in the last quarter. Meeder Asset Management Inc. boosted its stake in shares of RingCentral by 127.3% in the 1st quarter. Meeder Asset Management Inc. now owns 732 shares of the software maker’s stock valued at $27,000 after purchasing an additional 410 shares in the last quarter. EverSource Wealth Advisors LLC boosted its stake in shares of RingCentral by 269.3% in the 4th quarter. EverSource Wealth Advisors LLC now owns 1,012 shares of the software maker’s stock valued at $29,000 after purchasing an additional 738 shares in the last quarter. Rockefeller Capital Management L.P. boosted its stake in shares of RingCentral by 70.5% in the 4th quarter. Rockefeller Capital Management L.P. now owns 1,025 shares of the software maker’s stock valued at $30,000 after purchasing an additional 424 shares in the last quarter. Finally, Harvest Fund Management Co. Ltd acquired a new stake in RingCentral during the 3rd quarter worth approximately $30,000. 98.61% of the stock is currently owned by institutional investors and hedge funds.
RingCentral Company Profile
RingCentral, Inc is a leading provider of cloud-based business communications and collaboration solutions. The company’s flagship platform delivers unified communications as a service (UCaaS), integrating voice over IP (VoIP) phone systems, video conferencing, team messaging and SMS into a single, cloud-native application. In addition to its UCaaS offering, RingCentral provides contact center as a service (CCaaS) capabilities, enabling organizations to manage customer interactions across voice, email, chat and social channels from a centralized dashboard.
Founded in 1999 and headquartered in Belmont, California, RingCentral went public on the New York Stock Exchange under the ticker RNG in 2013.