RingCentral (NYSE:RNG) Cut to Buy at StockNews.com

StockNews.com lowered shares of RingCentral (NYSE:RNG) from a strong-buy rating to a buy rating in a research note published on Sunday morning.

A number of other brokerages have also issued reports on RNG. Morgan Stanley increased their price target on RingCentral from $38.00 to $40.00 and gave the company an “equal weight” rating in a research note on Wednesday, December 18th. Piper Sandler decreased their price target on RingCentral from $38.00 to $31.00 and set a “neutral” rating for the company in a research note on Friday, February 21st. Mizuho decreased their price target on RingCentral from $42.00 to $36.00 and set a “neutral” rating for the company in a research note on Monday, February 10th. Robert W. Baird decreased their price target on RingCentral from $38.00 to $32.00 and set a “neutral” rating for the company in a research note on Tuesday, February 25th. Finally, UBS Group decreased their price target on RingCentral from $40.00 to $38.00 and set a “neutral” rating for the company in a research note on Friday, February 21st. One analyst has rated the stock with a sell rating, seven have issued a hold rating and six have given a buy rating to the stock. According to MarketBeat, RingCentral currently has a consensus rating of “Hold” and a consensus price target of $37.69.

RingCentral Price Performance

Shares of RNG stock opened at $26.76 on Friday. RingCentral has a 12-month low of $26.64 and a 12-month high of $42.19. The firm has a market capitalization of $2.43 billion, a price-to-earnings ratio of -41.82, a price-to-earnings-growth ratio of 1.27 and a beta of 1.20. The business has a 50 day simple moving average of $32.62 and a 200 day simple moving average of $33.83.

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

Insider Activity

In other news, CEO Vladimir Shmunis sold 123,560 shares of the stock in a transaction on Monday, February 24th. The stock was sold at an average price of $28.56, for a total value of $3,528,873.60. Following the completion of the sale, the chief executive officer now owns 444,740 shares in the company, valued at $12,701,774.40. This represents a 21.74 % decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, Director Ned D. Segal sold 2,914 shares of the stock in a transaction on Thursday, December 12th. The shares were sold at an average price of $41.60, for a total value of $121,222.40. Following the completion of the sale, the director now owns 10,633 shares of the company’s stock, valued at $442,332.80. The trade was a 21.51 % decrease in their position. The disclosure for this sale can be found here. Insiders sold 250,654 shares of company stock worth $7,220,502 over the last quarter. Corporate insiders own 6.97% of the company’s stock.

Institutional Trading of RingCentral

Hedge funds and other institutional investors have recently modified their holdings of the company. Fort Washington Investment Advisors Inc. OH raised its holdings in shares of RingCentral by 32.5% during the fourth quarter. Fort Washington Investment Advisors Inc. OH now owns 550,304 shares of the software maker’s stock worth $19,266,000 after acquiring an additional 134,928 shares in the last quarter. Hennessy Advisors Inc. purchased a new stake in shares of RingCentral during the fourth quarter worth $59,055,000. Connor Clark & Lunn Investment Management Ltd. raised its holdings in shares of RingCentral by 65.9% during the third quarter. Connor Clark & Lunn Investment Management Ltd. now owns 381,178 shares of the software maker’s stock worth $12,057,000 after acquiring an additional 151,433 shares in the last quarter. Beaumont Financial Advisors LLC purchased a new stake in shares of RingCentral during the fourth quarter worth $262,000. Finally, Foundry Partners LLC acquired a new position in RingCentral during the third quarter worth $8,886,000. 98.61% of the stock is currently owned by hedge funds and other institutional investors.

About RingCentral

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.