RingCentral (NYSE:RNG) Hits New 12-Month High – Time to Buy?

Shares of RingCentral, Inc. (NYSE:RNG) reached a new 52-week high during trading on Tuesday. The stock traded as high as $82.14 and last traded at $81.1150, with a volume of 177,881 shares changing hands. The stock had previously closed at $79.19.

Analysts Set New Price Targets

A number of research firms recently weighed in on RNG. Rosenblatt Securities reiterated a “buy” rating and issued a $50.00 price objective on shares of RingCentral in a research report on Friday, July 24th. Piper Sandler upped their price target on RingCentral from $40.00 to $43.00 and gave the stock a “neutral” rating in a report on Friday, July 24th. Needham & Company LLC raised their target price on shares of RingCentral from $55.00 to $85.00 and gave the company a “buy” rating in a report on Friday, August 28th. Weiss Ratings raised RingCentral from a “hold (c)” rating to a “buy (b-)” rating in a research report on Thursday, October 8th. Finally, Royal Bank Of Canada began coverage on shares of RingCentral in a report on Thursday, September 3rd. They set an “outperform” rating and a $85.00 price target for the company. Five equities research analysts have rated the stock with a Buy rating and seven have given a Hold rating to the stock. According to MarketBeat, the company has a consensus rating of “Hold” and an average target price of $56.00.

RingCentral Stock Performance

The business has a fifty day moving average price of $72.64 and a 200 day moving average price of $53.12. The firm has a market capitalization of $6.81 billion, a price-to-earnings ratio of 65.20, a P/E/G ratio of 1.31 and a beta of 1.10.

RingCentral (NYSE:RNG) last released its quarterly earnings data on Thursday, July 23rd. The software maker reported $1.22 earnings per share for the quarter, beating the consensus estimate of $1.16 by $0.06. RingCentral had a negative return on equity of 34.49% and a net margin of 4.27%. The business had revenue of $657.01 million for the quarter, compared to analyst estimates of $650.53 million. During the same period in the previous year, the company posted $1.06 EPS. The company’s revenue was up 5.9% compared to the same quarter last year. 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, analysts expect that RingCentral, Inc. will post 2.89 earnings per share for the current year.

RingCentral Increases Dividend

The business also recently disclosed a quarterly dividend, which was paid on Thursday, August 20th. Shareholders of record on Thursday, August 6th were given a $0.1250 dividend. This represents a $0.50 annualized dividend and a yield of 0.6%. This is a boost from RingCentral’s previous quarterly dividend of $0.0750. The ex-dividend date of this dividend was Thursday, August 6th. RingCentral’s dividend payout ratio is 40.00%.

Insider Buying and Selling at RingCentral

In related news, COO Kira Makagon sold 36,185 shares of the business’s stock in a transaction that occurred on Monday, September 14th. The stock was sold at an average price of $70.11, for a total transaction of $2,536,930.35. Following the transaction, the chief operating officer directly owned 245,385 shares of the company’s stock, valued at approximately $17,203,942.35. The trade was a 12.85% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Vladimir Shmunis sold 11,165 shares of the business’s stock in a transaction on Thursday, September 3rd. The stock was sold at an average price of $76.58, for a total transaction of $855,015.70. Following the transaction, the chief executive officer directly owned 179,106 shares in the company, valued at approximately $13,715,937.48. The trade was a 5.87% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. In the last quarter, insiders sold 84,625 shares of company stock worth $6,024,953. Insiders own 7.30% of the company’s stock.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently bought and sold shares of RNG. WealthCollab LLC grew its position in shares of RingCentral by 59.7% during the first quarter. WealthCollab LLC now owns 693 shares of the software maker’s stock worth $26,000 after buying an additional 259 shares in the last quarter. Fortitude Family Office LLC grew its position in shares of RingCentral by 128.1% during the 3rd quarter. Fortitude Family Office LLC now owns 349 shares of the software maker’s stock valued at $26,000 after buying an additional 196 shares during the last quarter. Meeder Asset Management Inc. raised its position in shares of RingCentral by 127.3% during the 1st quarter. Meeder Asset Management Inc. now owns 732 shares of the software maker’s stock worth $27,000 after purchasing an additional 410 shares during the period. Rockefeller Capital Management L.P. increased its position in RingCentral by 70.5% in the fourth quarter. Rockefeller Capital Management L.P. now owns 1,025 shares of the software maker’s stock worth $30,000 after buying an additional 424 shares during the period. Finally, Elevation Wealth Partners LLC increased its holdings in shares of RingCentral by 119.3% in the 3rd quarter. Elevation Wealth Partners LLC now owns 546 shares of the software maker’s stock worth $41,000 after acquiring an additional 297 shares during the period. Hedge funds and other institutional investors own 98.61% of the company’s stock.

About RingCentral

RingCentral, Inc is a provider of cloud-based business communications and collaboration solutions. Its platform enables organizations to manage business phone services, team messaging, video meetings, contact center operations and other communications through internet-based applications rather than traditional on-premises systems.

The company’s offerings include RingEX, a unified communications platform that combines voice, messaging and video; RingCentral Video for online meetings and collaboration; and RingCX, a cloud contact center solution.