RingCentral, Inc. (NYSE:RNG) Receives $43.00 Consensus Target Price from Brokerages

RingCentral, Inc. (NYSE:RNG) has received an average recommendation of “Hold” from the twelve research firms that are currently covering the firm, MarketBeat reports. Nine equities research analysts have rated the stock with a hold recommendation and three have issued a buy recommendation on the company. The average 12-month price objective among brokerages that have covered the stock in the last year is $43.00.

RNG has been the subject of a number of research analyst reports. Jefferies Financial Group reissued a “hold” rating and issued a $40.00 target price on shares of RingCentral in a report on Saturday, May 9th. Needham & Company LLC increased their price objective on RingCentral from $36.00 to $55.00 and gave the company a “buy” rating in a research report on Friday, March 13th. Rosenblatt Securities lifted their price objective on RingCentral from $45.00 to $50.00 and gave the stock a “buy” rating in a report on Friday, May 8th. Robert W. Baird set a $45.00 target price on RingCentral in a research report on Friday, May 8th. Finally, Morgan Stanley upped their target price on shares of RingCentral from $33.00 to $40.00 and gave the company an “equal weight” rating in a research note on Monday, May 11th.

RingCentral Price Performance

Shares of RNG opened at $41.03 on Friday. The company has a 50-day simple moving average of $40.74 and a two-hundred day simple moving average of $35.74. The firm has a market capitalization of $3.44 billion, a PE ratio of 43.65, a price-to-earnings-growth ratio of 1.15 and a beta of 1.14. RingCentral has a one year low of $23.59 and a one year high of $49.85.

RingCentral (NYSE:RNG) last announced its earnings results on Thursday, May 7th. The software maker reported $1.20 earnings per share for the quarter, beating analysts’ consensus estimates of $1.17 by $0.03. The business had revenue of $644.20 million during the quarter, compared to the consensus estimate of $642.73 million. RingCentral had a net margin of 3.31% and a negative return on equity of 33.75%. The business’s revenue for the quarter was up 5.3% on a year-over-year basis. During the same quarter last year, the firm earned $1.00 earnings per share. RingCentral has set its FY 2026 guidance at 4.850-5.010 EPS and its Q2 2026 guidance at 1.150-1.170 EPS. Analysts expect that RingCentral will post 2.78 EPS for the current fiscal year.

RingCentral Announces Dividend

The company also recently disclosed a quarterly dividend, which was paid on Thursday, June 11th. Investors of record on Tuesday, June 2nd were given a dividend of $0.075 per share. This represents a $0.30 dividend on an annualized basis and a yield of 0.7%. The ex-dividend date was Tuesday, June 2nd. RingCentral’s dividend payout ratio is 31.91%.

Insider Transactions at RingCentral

In related news, COO Kira Makagon sold 16,988 shares of the business’s stock in a transaction that occurred on Wednesday, May 27th. The stock was sold at an average price of $42.54, for a total transaction of $722,669.52. Following the completion of the transaction, the chief operating officer directly owned 212,724 shares in the company, valued at approximately $9,049,278.96. The trade was a 7.40% decrease in their position. The sale was disclosed in a legal filing with the SEC, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CAO Tarun Arora sold 3,615 shares of RingCentral stock in a transaction on Friday, May 29th. The shares were sold at an average price of $43.00, for a total transaction of $155,445.00. Following the transaction, the chief accounting officer owned 68,100 shares in the company, valued at approximately $2,928,300. This trade represents a 5.04% 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. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Over the last ninety days, insiders have sold 45,451 shares of company stock worth $1,933,565. 7.30% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

A number of large investors have recently added to or reduced their stakes in the business. Versant Capital Management Inc grew its holdings in RingCentral by 2.3% during the 2nd quarter. Versant Capital Management Inc now owns 11,521 shares of the software maker’s stock valued at $449,000 after buying an additional 259 shares in the last quarter. Janus Henderson Group PLC lifted its holdings in shares of RingCentral by 412.7% in the first quarter. Janus Henderson Group PLC now owns 177,966 shares of the software maker’s stock worth $6,620,000 after buying an additional 143,254 shares in the last quarter. California State Teachers Retirement System boosted its position in shares of RingCentral by 14.3% during the first quarter. California State Teachers Retirement System now owns 82,885 shares of the software maker’s stock worth $3,082,000 after acquiring an additional 10,341 shares during the last quarter. The Manufacturers Life Insurance Company grew its stake in RingCentral by 10.0% during the first quarter. The Manufacturers Life Insurance Company now owns 13,750 shares of the software maker’s stock valued at $511,000 after acquiring an additional 1,246 shares in the last quarter. Finally, Quantinno Capital Management LP grew its stake in RingCentral by 150.4% during the first quarter. Quantinno Capital Management LP now owns 1,976,995 shares of the software maker’s stock valued at $73,524,000 after acquiring an additional 1,187,437 shares in the last quarter. 98.61% of the stock is owned by hedge funds and other institutional investors.

About RingCentral

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.