Traders Buy Large Volume of RingCentral Call Options (NYSE:RNG)

by · The Cerbat Gem

RingCentral, Inc. (NYSE:RNG – Get Free Report) was the recipient of unusually large options trading on Friday. Stock investors bought 2,560 call options on the stock. This is an increase of 138% compared to the typical volume of 1,076 call options.

Key Stories Impacting RingCentral

Here are the key news stories impacting RingCentral this week:

  • Positive Sentiment: RingCentral beat Wall Street estimates in Q2, posting adjusted EPS of $1.22 versus expectations around $1.16-$1.17 and revenue of $657.0 million, above estimates. RingCentral Q2 2026 Earnings Report
  • Positive Sentiment: The company lifted third-quarter guidance and full-year 2026 guidance above consensus, which signals management is seeing continued demand and better profitability ahead.
  • Positive Sentiment: RingCentral announced expanded strategic partnerships with NiCE and OpenAI, reinforcing its AI-focused product strategy and potentially improving long-term growth prospects. NiCE and RingCentral Expand Strategic Partnership
  • Positive Sentiment: Commentary around AI sales momentum and stronger free cash flow has supported the stock, with some analysts pointing to attractive valuation and improving retention in AI contact center products. Seeking Alpha Article
  • Neutral Sentiment: RingCentral also declared a higher quarterly dividend of $0.125 per share, up 66.7% from $0.07, which may appeal to income investors but is not the main driver of the stock today.

Insider Transactions at RingCentral

In other RingCentral news, Director Amy Guggenheim Shenkan sold 1,265 shares of RingCentral stock in a transaction on Thursday, July 2nd. The shares were sold at an average price of $40.59, for a total transaction of $51,346.35. Following the sale, the director owned 29,372 shares in the company, valued at $1,192,209.48. The trade was a 4.13% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, COO Kira Makagon sold 16,988 shares of the business’s stock in a transaction on Wednesday, May 27th. The shares were sold at an average price of $42.54, for a total transaction of $722,669.52. Following the completion of the sale, the chief operating officer directly owned 212,724 shares in the company, valued at $9,049,278.96. This trade represents a 7.40% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold 44,498 shares of company stock valued at $1,892,586 over the last 90 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 the business. Commonwealth of Pennsylvania Public School Empls Retrmt SYS bought a new position in RingCentral in the 1st quarter valued at $697,000. Robertson Stephens Wealth Management LLC raised its position in shares of RingCentral by 124.7% during the fourth quarter. Robertson Stephens Wealth Management LLC now owns 90,311 shares of the software maker’s stock worth $2,608,000 after acquiring an additional 50,122 shares during the last quarter. LSV Asset Management lifted its stake in shares of RingCentral by 142.4% during the fourth quarter. LSV Asset Management now owns 2,871,700 shares of the software maker’s stock valued at $82,935,000 after acquiring an additional 1,686,900 shares during the period. Harel Insurance Investments & Financial Services Ltd. lifted its stake in shares of RingCentral by 60.0% during the fourth quarter. Harel Insurance Investments & Financial Services Ltd. now owns 280,323 shares of the software maker’s stock valued at $8,096,000 after acquiring an additional 105,145 shares during the period. Finally, Fort Washington Investment Advisors Inc. OH boosted its holdings in RingCentral by 7.6% in the fourth quarter. Fort Washington Investment Advisors Inc. OH now owns 1,316,598 shares of the software maker’s stock valued at $38,023,000 after acquiring an additional 92,508 shares during the last quarter. 98.61% of the stock is currently owned by institutional investors.

Wall Street Analyst Weigh In

Several research firms recently issued reports on RNG. Robert W. Baird set a $45.00 price target on shares of RingCentral in a research report on Friday, May 8th. Oppenheimer reaffirmed an “outperform” rating and set a $50.00 price objective on shares of RingCentral in a report on Friday, May 8th. Jefferies Financial Group reiterated a “hold” rating and issued a $40.00 price objective on shares of RingCentral in a research note on Saturday, May 9th. Needham & Company LLC reissued a “buy” rating on shares of RingCentral in a report on Monday. Finally, Wells Fargo & Company raised their target price on RingCentral from $32.00 to $43.00 and gave the stock an “equal weight” rating in a research report on Friday, May 8th. Three equities research analysts have rated the stock with a Buy rating and nine have given a Hold rating to the company. According to MarketBeat, RingCentral currently has an average rating of “Hold” and an average target price of $43.60.

View Our Latest Stock Analysis on RNG

RingCentral Trading Up 23.1%

Shares of RingCentral stock traded up $8.91 during mid-day trading on Friday, reaching $47.53. 3,474,855 shares of the stock were exchanged, compared to its average volume of 2,074,806. The company has a market cap of $3.99 billion, a price-to-earnings ratio of 50.68, a price-to-earnings-growth ratio of 1.11 and a beta of 1.14. The firm has a 50-day simple moving average of $40.27 and a 200 day simple moving average of $36.70. RingCentral has a fifty-two week low of $23.59 and a fifty-two week high of $49.85.

RingCentral (NYSE:RNG – Get Free Report) last released its quarterly earnings results on Thursday, July 23rd. The software maker reported $1.22 EPS for the quarter, beating analysts’ consensus estimates of $1.16 by $0.06. The firm had revenue of $657.01 million for the quarter, compared to analyst estimates of $650.53 million. RingCentral had a net margin of 3.31% and a negative return on equity of 33.75%. The company’s revenue for the quarter was up 5.9% compared to the same quarter last year. During the same period in the previous year, the business earned $1.06 earnings per share. RingCentral has set its FY 2026 guidance at 4.960-5.100 EPS and its Q3 2026 guidance at 1.250-1.300 EPS. On average, research analysts predict that RingCentral will post 2.78 EPS for the current fiscal year.

RingCentral Increases Dividend

The firm also recently announced a quarterly dividend, which will be paid on Thursday, August 20th. Stockholders of record on Thursday, August 6th will be issued a $0.125 dividend. This represents a $0.50 annualized dividend and a dividend yield of 1.1%. The ex-dividend date of this dividend is Thursday, August 6th. This is an increase from RingCentral’s previous quarterly dividend of $0.07. RingCentral’s dividend payout ratio (DPR) is presently 31.91%.

About RingCentral

(Get Free Report)

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.

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