RingCentral (NYSE:RNG) Sets New 1-Year Low – Should You Sell?

RingCentral, Inc. (NYSE:RNG) hit a new 52-week low during mid-day trading on Thursday . The stock traded as low as $23.72 and last traded at $23.75, with a volume of 330918 shares trading hands. The stock had previously closed at $25.86.

Analyst Ratings Changes

A number of equities research analysts recently weighed in on the stock. Wells Fargo & Company restated an “underweight” rating and issued a $30.00 price objective (down from $38.00) on shares of RingCentral in a report on Tuesday, January 7th. Raymond James cut their target price on RingCentral from $45.00 to $40.00 and set an “outperform” rating on the stock in a research note on Friday, February 21st. StockNews.com downgraded RingCentral from a “strong-buy” rating to a “buy” rating in a report on Tuesday. Piper Sandler decreased their target price on RingCentral from $38.00 to $31.00 and set a “neutral” rating on the stock in a report on Friday, February 21st. Finally, Needham & Company LLC reduced their price objective on RingCentral from $42.00 to $36.00 and set a “buy” rating for the company in a report on Friday, February 21st. One research analyst has rated the stock with a sell rating, seven have assigned a hold rating and six have issued a buy rating to the company. According to data from MarketBeat.com, the stock currently has an average rating of “Hold” and an average price target of $37.69.

RingCentral Stock Down 5.9 %

The company has a 50-day moving average price of $30.30 and a two-hundred day moving average price of $33.36. The company has a market capitalization of $2.21 billion, a PE ratio of -37.98, a PEG ratio of 1.27 and a beta of 1.20.

RingCentral (NYSE:RNG) last issued its quarterly earnings results on Thursday, February 20th. The software maker reported $0.23 EPS for the quarter, missing analysts’ consensus estimates of $0.96 by ($0.73). The company had revenue of $614.51 million during the quarter, compared to the consensus estimate of $612.37 million. RingCentral had a negative return on equity of 12.34% and a negative net margin of 2.43%. As a group, equities analysts anticipate that RingCentral, Inc. will post 1.29 EPS for the current fiscal year.

Insider Activity at RingCentral

In other RingCentral news, CEO Vladimir Shmunis sold 66,112 shares of the firm’s stock in a transaction that occurred on Friday, February 21st. The shares were sold at an average price of $28.83, for a total transaction of $1,906,008.96. Following the completion of the transaction, the chief executive officer now owns 568,300 shares of the company’s stock, valued at approximately $16,384,089. This trade represents a 10.42 % decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Also, SVP John H. Marlow sold 22,979 shares of the company’s stock in a transaction dated Friday, February 21st. The stock was sold at an average price of $28.82, for a total transaction of $662,254.78. Following the completion of the transaction, the senior vice president now owns 348,599 shares in the company, valued at approximately $10,046,623.18. The trade was a 6.18 % decrease in their position. The disclosure for this sale can be found here. Insiders sold 247,740 shares of company stock worth $7,099,279 in the last three months. 6.97% of the stock is owned by insiders.

Hedge Funds Weigh In On RingCentral

Several institutional investors have recently made changes to their positions in RNG. Kayne Anderson Rudnick Investment Management LLC purchased a new stake in RingCentral in the fourth quarter worth about $49,000. Quarry LP increased its stake in shares of RingCentral by 106.7% in the third quarter. Quarry LP now owns 1,902 shares of the software maker’s stock worth $60,000 after purchasing an additional 982 shares in the last quarter. Venturi Wealth Management LLC increased its stake in shares of RingCentral by 55.2% in the fourth quarter. Venturi Wealth Management LLC now owns 2,891 shares of the software maker’s stock worth $101,000 after purchasing an additional 1,028 shares in the last quarter. KBC Group NV lifted its stake in shares of RingCentral by 30.8% during the 4th quarter. KBC Group NV now owns 3,478 shares of the software maker’s stock valued at $122,000 after buying an additional 819 shares in the last quarter. Finally, Harvest Fund Management Co. Ltd bought a new position in RingCentral in the 4th quarter worth $173,000. Institutional investors own 98.61% of the company’s stock.

RingCentral Company Profile

RingCentral, Inc, together with its subsidiaries, provides cloud communications, video meetings, collaboration, and contact center software-as-a-service solutions worldwide. The company’s products include RingCentral Message Video Phone that provides a unified experience for communication and collaboration across multiple modes, including HD voice, video, SMS, messaging and collaboration, conferencing, online meetings, and fax; RingCentral Contact Center, a collaborative contact center solution that delivers AI-powered omnichannel and workforce engagement solutions with integrated RingCentral MVP; and RingCX, an AI-powered contact center that a native delivers omnichannel experience.