Ribbon Communications (NASDAQ:RBBN) Shares Gap Up – Still a Buy?

Ribbon Communications Inc. (NASDAQ:RBBN) shares gapped up prior to trading on Tuesday . The stock had previously closed at $3.50, but opened at $3.73. Ribbon Communications shares last traded at $4.14, with a volume of 688,767 shares trading hands.

Analyst Ratings Changes

Several research firms have issued reports on RBBN. JMP Securities reiterated a “market outperform” rating and issued a $6.00 target price on shares of Ribbon Communications in a research note on Thursday, February 13th. B. Riley cut their target price on Ribbon Communications from $7.50 to $6.00 and set a “buy” rating on the stock in a research note on Wednesday, April 30th. Wall Street Zen lowered Ribbon Communications from a “buy” rating to a “hold” rating in a research note on Friday, May 2nd. Finally, Rosenblatt Securities reiterated a “buy” rating and issued a $5.50 target price on shares of Ribbon Communications in a research note on Wednesday, April 30th. One investment analyst has rated the stock with a hold rating and four have assigned a buy rating to the company’s stock. Based on data from MarketBeat, the company presently has a consensus rating of “Moderate Buy” and an average target price of $5.88.

Ribbon Communications Price Performance

The company has a market cap of $635.56 million, a PE ratio of -11.25 and a beta of 1.36. The company has a quick ratio of 1.16, a current ratio of 1.42 and a debt-to-equity ratio of 0.84. The firm has a 50 day simple moving average of $3.50 and a 200-day simple moving average of $3.93.

Ribbon Communications (NASDAQ:RBBN) last issued its quarterly earnings results on Tuesday, April 29th. The communications equipment provider reported ($0.03) earnings per share for the quarter, missing analysts’ consensus estimates of $0.01 by ($0.04). Ribbon Communications had a positive return on equity of 7.36% and a negative net margin of 6.50%. The business had revenue of $181.28 million for the quarter, compared to analysts’ expectations of $191.66 million. During the same quarter in the previous year, the firm posted ($0.01) EPS. Ribbon Communications’s revenue was up .9% on a year-over-year basis. As a group, research analysts predict that Ribbon Communications Inc. will post 0.18 earnings per share for the current fiscal year.

Institutional Investors Weigh In On Ribbon Communications

A number of large investors have recently modified their holdings of RBBN. Walleye Capital LLC acquired a new position in Ribbon Communications in the 4th quarter worth approximately $43,000. Polymer Capital Management US LLC purchased a new stake in shares of Ribbon Communications in the 4th quarter valued at $55,000. Penn Capital Management Company LLC purchased a new stake in shares of Ribbon Communications in the 4th quarter valued at $56,000. Renaissance Technologies LLC purchased a new stake in shares of Ribbon Communications in the 4th quarter valued at $59,000. Finally, Allianz Asset Management GmbH purchased a new stake in shares of Ribbon Communications in the 1st quarter valued at $57,000. Hedge funds and other institutional investors own 70.92% of the company’s stock.

Ribbon Communications Company Profile

Ribbon Communications Inc provides communications technology in the United States, Europe, the Middle East, Africa, the Asia Pacific, and internationally. It operates through two segments, Cloud and Edge, and IP Optical Networks. The Cloud and Edge segment provides software and hardware products, solutions, and services for voice over internet protocol communications, voice over long-term evolution, and voice over 5G communications, and unified communications and collaboration.