RingCentral, Inc. (NYSE:RNG) Receives Average Rating of “Hold” from Analysts

Shares of RingCentral, Inc. (NYSE:RNG) have earned an average recommendation of “Hold” from the twelve brokerages that are covering the firm, Marketbeat reports. Nine analysts have rated the stock with a hold rating and three have assigned a buy rating to the company. The average 12-month target price among brokerages that have updated their coverage on the stock in the last year is $43.00.

RNG has been the subject of a number of recent analyst reports. Morgan Stanley lifted their price target on shares of RingCentral from $33.00 to $40.00 and gave the company an “equal weight” rating in a research report on Monday, May 11th. Robert W. Baird set a $45.00 price objective on shares of RingCentral in a report on Friday, May 8th. Oppenheimer reaffirmed an “outperform” rating and set a $50.00 price objective on shares of RingCentral in a research report on Friday, May 8th. Wells Fargo & Company lifted their target price on shares of RingCentral from $32.00 to $43.00 and gave the company an “equal weight” rating in a report on Friday, May 8th. Finally, Rosenblatt Securities boosted their target price on RingCentral from $45.00 to $50.00 and gave the company a “buy” rating in a research report on Friday, May 8th.

Insiders Place Their Bets

In other 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 completion of the sale, the director directly owned 29,372 shares of the company’s stock, valued at approximately $1,192,209.48. The trade was a 4.13% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Robert I. Theis sold 2,530 shares of the business’s stock in a transaction on Thursday, July 2nd. The stock was sold at an average price of $40.28, for a total transaction of $101,908.40. Following the transaction, the director owned 30,834 shares of the company’s stock, valued at approximately $1,241,993.52. The trade was a 7.58% 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. In the last 90 days, insiders sold 45,451 shares of company stock valued at $1,933,565. 7.30% of the stock is owned by company insiders.

Institutional Investors Weigh In On RingCentral

Several hedge funds and other institutional investors have recently bought and sold shares of the stock. Capital World Investors raised its stake in RingCentral by 20.9% during the 3rd quarter. Capital World Investors now owns 11,735,991 shares of the software maker’s stock valued at $332,598,000 after acquiring an additional 2,031,861 shares during the last quarter. Alyeska Investment Group L.P. purchased a new position in shares of RingCentral in the 3rd quarter valued at approximately $53,365,000. LSV Asset Management increased its holdings in shares of RingCentral by 142.4% in the fourth quarter. LSV Asset Management now owns 2,871,700 shares of the software maker’s stock valued at $82,935,000 after purchasing an additional 1,686,900 shares during the period. Quantinno Capital Management LP increased its holdings in shares of RingCentral by 150.4% in the first quarter. Quantinno Capital Management LP now owns 1,976,995 shares of the software maker’s stock valued at $73,524,000 after purchasing an additional 1,187,437 shares during the period. Finally, AQR Capital Management LLC raised its stake in shares of RingCentral by 35.4% during the fourth quarter. AQR Capital Management LLC now owns 2,003,950 shares of the software maker’s stock worth $57,874,000 after purchasing an additional 523,966 shares during the last quarter. 98.61% of the stock is currently owned by institutional investors and hedge funds.

RingCentral Trading Up 2.4%

NYSE:RNG traded up $1.00 during trading hours on Friday, hitting $41.94. 1,235,264 shares of the stock were exchanged, compared to its average volume of 1,475,792. The firm’s fifty day moving average price is $40.78 and its 200 day moving average price is $35.94. RingCentral has a 52-week low of $23.59 and a 52-week high of $49.85. The company has a market cap of $3.52 billion, a P/E ratio of 44.62, a P/E/G ratio of 1.23 and a beta of 1.14.

RingCentral (NYSE:RNG) last announced its earnings results on Thursday, May 7th. The software maker reported $1.20 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.17 by $0.03. The company had revenue of $644.20 million for the quarter, compared to analysts’ expectations of $642.73 million. RingCentral had a net margin of 3.31% and a negative return on equity of 33.75%. The firm’s quarterly revenue was up 5.3% on a year-over-year basis. During the same quarter in the previous year, the company posted $1.00 EPS. RingCentral has set its FY 2026 guidance at 4.850-5.010 EPS and its Q2 2026 guidance at 1.150-1.170 EPS. Equities analysts expect that RingCentral will post 2.78 EPS for the current fiscal year.

RingCentral Dividend Announcement

The firm also recently announced a quarterly dividend, which was paid on Thursday, June 11th. Investors of record on Tuesday, June 2nd were paid a dividend of $0.075 per share. This represents a $0.30 annualized dividend and a yield of 0.7%. The ex-dividend date of this dividend was Tuesday, June 2nd. RingCentral’s dividend payout ratio is presently 31.91%.

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.