RingCentral, Inc. (NYSE:RNG) Receives $56.00 Average Price Target from Analysts

RingCentral, Inc. (NYSE:RNG) has earned a consensus rating of “Hold” from the twelve research firms that are covering the firm, Marketbeat Ratings reports. Eight equities research analysts have rated the stock with a hold rating and four have issued a buy rating on the company. The average 12 month price objective among brokerages that have covered the stock in the last year is $56.00.

RNG has been the subject of several analyst reports. Wells Fargo & Company upped their price objective on RingCentral from $43.00 to $65.00 and gave the stock an “equal weight” rating in a research report on Tuesday, August 25th. Needham & Company LLC raised their target price on RingCentral from $55.00 to $85.00 and gave the stock a “buy” rating in a research report on Friday, August 28th. Royal Bank Of Canada started coverage on RingCentral in a report on Thursday, September 3rd. They issued an “outperform” rating and a $85.00 price target for the company. Mizuho increased their price target on shares of RingCentral from $38.00 to $40.00 and gave the company a “neutral” rating in a research note on Friday, July 24th. Finally, Rosenblatt Securities reissued a “buy” rating and set a $50.00 price objective on shares of RingCentral in a report on Friday, July 24th.

Insider Transactions at RingCentral

In other RingCentral news, CEO Vladimir Shmunis sold 15,556 shares of the firm’s stock in a transaction dated Wednesday, September 2nd. The stock was sold at an average price of $71.78, for a total transaction of $1,116,609.68. Following the transaction, the chief executive officer owned 190,271 shares of the company’s stock, valued at approximately $13,657,652.38. This trade represents a 7.56% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. 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. Also, CAO Tarun Arora sold 4,172 shares of the firm’s stock in a transaction dated Wednesday, September 9th. The stock was sold at an average price of $70.36, for a total value of $293,541.92. Following the transaction, the chief accounting officer directly owned 65,692 shares in the company, valued at approximately $4,622,089.12. The trade was a 5.97% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last three months, insiders sold 87,156 shares of company stock worth $6,078,491. Insiders own 7.30% of the company’s stock.

Institutional Investors Weigh In On RingCentral

Institutional investors and hedge funds have recently added to or reduced their stakes in the company. LSV Asset Management increased its holdings in shares of RingCentral by 142.4% in the 4th 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. Quantinno Capital Management LP boosted its stake in RingCentral by 150.4% during the 1st quarter. Quantinno Capital Management LP now owns 1,976,995 shares of the software maker’s stock worth $73,524,000 after purchasing an additional 1,187,437 shares during the period. Dimensional Fund Advisors LP grew its position in RingCentral by 8.4% during the 1st quarter. Dimensional Fund Advisors LP now owns 1,308,949 shares of the software maker’s stock worth $48,676,000 after purchasing an additional 101,002 shares during the last quarter. Invenomic Capital Management LP grew its position in RingCentral by 3.7% during the 4th quarter. Invenomic Capital Management LP now owns 1,538,034 shares of the software maker’s stock worth $44,418,000 after purchasing an additional 55,587 shares during the last quarter. Finally, Jupiter Asset Management Ltd. grew its position in RingCentral by 11.4% during the 4th quarter. Jupiter Asset Management Ltd. now owns 1,456,270 shares of the software maker’s stock worth $42,057,000 after purchasing an additional 149,532 shares during the last quarter. Hedge funds and other institutional investors own 98.61% of the company’s stock.

RingCentral Stock Down 0.0%

Shares of NYSE:RNG opened at $71.85 on Friday. RingCentral has a fifty-two week low of $24.14 and a fifty-two week high of $77.95. The firm’s 50 day moving average price is $61.18 and its 200 day moving average price is $47.27. The stock has a market cap of $6.00 billion, a price-to-earnings ratio of 57.48, a price-to-earnings-growth ratio of 1.24 and a beta of 1.14.

RingCentral (NYSE:RNG) last posted its quarterly earnings results on Thursday, July 23rd. The software maker reported $1.22 EPS for the quarter, topping the consensus estimate of $1.16 by $0.06. The company had revenue of $657.01 million during the quarter, compared to analysts’ expectations of $650.53 million. RingCentral had a net margin of 4.27% and a negative return on equity of 34.49%. The firm’s revenue was up 5.9% on a year-over-year basis. During the same quarter in the previous year, the business posted $1.06 EPS. 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, equities analysts anticipate that RingCentral will post 2.89 EPS for the current year.

RingCentral Increases Dividend

The business also recently announced a quarterly dividend, which was paid on Thursday, August 20th. Stockholders of record on Thursday, August 6th were issued a $0.125 dividend. This represents a $0.50 annualized dividend and a dividend yield of 0.7%. The ex-dividend date was Thursday, August 6th. This is a positive change from RingCentral’s previous quarterly dividend of $0.07. RingCentral’s dividend payout ratio (DPR) is currently 40.00%.

About RingCentral

RingCentral, Inc is a cloud communications and collaboration company that provides business communications software through a subscription-based platform. Its services are designed to help organizations manage voice, messaging, video meetings, team collaboration and other communications across devices and locations.

The company’s offerings include RingEX, its unified communications platform; RingCentral Video for online meetings and collaboration; RingCentral Events for virtual and hybrid events; and contact center products, including RingCX.