Ringcentral (NYSE:RNG) Releases FY 2026 Earnings Guidance

Ringcentral (NYSE:RNG) issued an update on its FY 2026 earnings guidance on Thursday morning. The company provided EPS guidance of 4.760-4.970 for the period, compared to the consensus EPS estimate of 3.850. The company issued revenue guidance of $2.6 billion-$2.6 billion, compared to the consensus revenue estimate of $2.6 billion. Ringcentral also updated its Q1 2026 guidance to 1.160-1.190 EPS.

Analysts Set New Price Targets

RNG has been the subject of several research reports. Zacks Research cut shares of Ringcentral from a “hold” rating to a “strong sell” rating in a research report on Tuesday, February 3rd. Mizuho set a $32.00 target price on Ringcentral in a research note on Friday. Weiss Ratings reaffirmed a “sell (d+)” rating on shares of Ringcentral in a research note on Monday, December 29th. Morgan Stanley lowered their price objective on Ringcentral from $31.00 to $30.00 and set an “equal weight” rating for the company in a research report on Thursday, January 15th. Finally, UBS Group set a $38.00 price objective on Ringcentral in a report on Friday. Four investment analysts have rated the stock with a Buy rating, ten have issued a Hold rating and two have issued a Sell rating to the stock. Based on data from MarketBeat, Ringcentral has an average rating of “Hold” and an average price target of $32.73.

Ringcentral Stock Up 35.4%

RNG traded up $10.40 during trading hours on Friday, hitting $39.79. 6,146,973 shares of the company’s stock were exchanged, compared to its average volume of 2,432,518. The stock has a market cap of $3.44 billion, a price-to-earnings ratio of 285.09, a PEG ratio of 1.22 and a beta of 1.23. Ringcentral has a 1-year low of $20.58 and a 1-year high of $40.64. The stock’s 50-day moving average is $28.21 and its two-hundred day moving average is $28.76.

Ringcentral (NYSE:RNG) last issued its quarterly earnings results on Thursday, February 19th. The software maker reported $1.18 EPS for the quarter, topping the consensus estimate of $1.14 by $0.04. The firm had revenue of $644.03 million for the quarter, compared to analysts’ expectations of $643.52 million. Ringcentral had a net margin of 0.53% and a negative return on equity of 22.38%. The company’s revenue for the quarter was up 4.8% on a year-over-year basis. During the same period in the previous year, the firm posted $0.98 EPS. Ringcentral has set its FY 2026 guidance at 4.760-4.970 EPS and its Q1 2026 guidance at 1.160-1.190 EPS. On average, equities research analysts anticipate that Ringcentral will post 1.29 EPS for the current year.

Ringcentral Announces Dividend

The business also recently declared a quarterly dividend, which will be paid on Monday, March 16th. Shareholders of record on Monday, March 9th will be paid a $0.075 dividend. This represents a $0.30 dividend on an annualized basis and a yield of 0.8%. The ex-dividend date is Monday, March 9th.

Insider Transactions at Ringcentral

In other news, COO Kira Makagon sold 6,495 shares of the stock in a transaction that occurred on Friday, December 26th. The stock was sold at an average price of $29.22, for a total value of $189,783.90. Following the completion of the sale, the chief operating officer owned 336,162 shares of the company’s stock, valued at approximately $9,822,653.64. This represents a 1.90% decrease in their position. The transaction was disclosed in a filing with the SEC, which can be accessed through the SEC website. Also, CAO Tarun Arora sold 3,888 shares of the firm’s stock in a transaction on Monday, December 1st. The shares were sold at an average price of $28.70, for a total transaction of $111,585.60. Following the completion of the transaction, the chief accounting officer directly owned 93,412 shares of the company’s stock, valued at $2,680,924.40. This represents a 4.00% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders have sold a total of 53,141 shares of company stock worth $1,491,632 in the last 90 days. Corporate insiders own 7.30% of the company’s stock.

Key Ringcentral News

Here are the key news stories impacting Ringcentral this week:

• Positive Sentiment: Q4 EPS beat and revenue roughly in line — RingCentral reported $1.18 EPS vs. $1.14 consensus and revenue of $644M (about in line), showing sequential improvement and driving near‑term bullishness. Read More.
• Positive Sentiment: Big guidance raise: Q1 and FY2026 EPS guidance well above Street — management set Q1 EPS of $1.16–$1.19 and FY EPS of $4.76–$4.97, materially above consensus, which is the main driver of today’s upside. Read More.
• Positive Sentiment: AI tailwinds and targets for subscription growth and FCF — management is targeting 4.5%–5.5% subscription revenue growth and ~$$590M of free cash flow in 2026, pointing to improved profitability leverage from AI product momentum. Read More.
• Positive Sentiment: Shareholder return move: quarterly dividend declared — RingCentral declared a $0.075 quarterly dividend (ex‑dividend March 9, payable March 16), adding to investor yield and signaling confidence in cash generation.
• Positive Sentiment: S&P index inclusion — the company’s addition to S&P indices can increase passive fund demand and improve liquidity, a supportive technical for the stock. Read More.
• Neutral Sentiment: Revenue growth remains modest — revenue was up ~4.8% year‑over‑year, which is progress but not standout growth for a software name; investors will watch whether AI initiatives accelerate top‑line trajectory. Read More.
• Negative Sentiment: Profitability and valuation concerns persist — RingCentral still shows a negative return on equity (~-22%) and slim net margins, while the stock trades at a high P/E (~210x), leaving it vulnerable if execution on guidance or FCF targets slips.

Hedge Funds Weigh In On Ringcentral

Hedge funds and other institutional investors have recently bought and sold shares of the business. Harvest Fund Management Co. Ltd acquired a new position in shares of Ringcentral during the 3rd quarter worth approximately $30,000. Global Retirement Partners LLC increased its holdings in shares of Ringcentral by 70.9% in the fourth quarter. Global Retirement Partners LLC now owns 1,540 shares of the software maker’s stock valued at $44,000 after purchasing an additional 639 shares during the last quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. increased its holdings in shares of Ringcentral by 103.0% in the second quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 1,823 shares of the software maker’s stock valued at $52,000 after purchasing an additional 925 shares during the last quarter. Atlas Capital Advisors Inc. bought a new position in shares of Ringcentral in the fourth quarter valued at about $55,000. Finally, Parallel Advisors LLC lifted its stake in shares of Ringcentral by 43.8% during the 4th quarter. Parallel Advisors LLC now owns 2,230 shares of the software maker’s stock worth $64,000 after buying an additional 679 shares during the last quarter. Institutional investors own 98.61% of the company’s stock.

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.