RingCentral (NYSE:RNG) Coverage Initiated at Needham & Company LLC

Needham & Company LLC assumed coverage on shares of RingCentral (NYSE:RNG) in a research note published on Friday morning. The firm issued a buy rating and a $36.00 price target on the software maker’s stock.

Several other brokerages also recently issued reports on RNG. Rosenblatt Securities reduced their price objective on RingCentral from $40.00 to $28.00 and set a “buy” rating for the company in a research note on Thursday, April 24th. Robert W. Baird decreased their price target on shares of RingCentral from $38.00 to $32.00 and set a “neutral” rating for the company in a report on Tuesday, February 25th. StockNews.com upgraded shares of RingCentral from a “buy” rating to a “strong-buy” rating in a research note on Monday, May 5th. Piper Sandler decreased their target price on shares of RingCentral from $38.00 to $31.00 and set a “neutral” rating for the company in a research note on Friday, February 21st. Finally, Raymond James lowered their price target on shares of RingCentral from $45.00 to $40.00 and set an “outperform” rating on the stock in a report on Friday, February 21st. One analyst has rated the stock with a sell rating, seven have given a hold rating, five have issued a buy rating and one has issued a strong buy rating to the stock. Based on data from MarketBeat.com, the company has a consensus rating of “Hold” and a consensus target price of $32.62.

RingCentral Stock Up 4.1%

Shares of NYSE RNG opened at $27.77 on Friday. The stock’s fifty day simple moving average is $25.27 and its 200 day simple moving average is $31.83. The stock has a market capitalization of $2.52 billion, a price-to-earnings ratio of -43.39, a PEG ratio of 1.27 and a beta of 1.33. RingCentral has a 52-week low of $20.59 and a 52-week high of $42.19.

RingCentral (NYSE:RNG) last issued its quarterly earnings results on Thursday, May 8th. The software maker reported $1.00 earnings per share for the quarter, topping analysts’ consensus estimates of $0.96 by $0.04. The firm had revenue of $612.06 million for the quarter, compared to analysts’ expectations of $610.53 million. RingCentral had a negative return on equity of 12.34% and a negative net margin of 2.43%. RingCentral’s revenue was up 4.8% on a year-over-year basis. During the same quarter last year, the business posted $0.87 EPS. As a group, analysts anticipate that RingCentral will post 1.29 earnings per share for the current year.

Insider Activity

In other RingCentral news, SVP John H. Marlow sold 35,089 shares of the stock in a transaction on Monday, February 24th. The shares were sold at an average price of $28.56, for a total transaction of $1,002,141.84. Following the transaction, the senior vice president now directly owns 313,510 shares of the company’s stock, valued at $8,953,845.60. This represents a 10.07% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available through the SEC website. Also, CEO Vladimir Shmunis sold 123,560 shares of the firm’s stock in a transaction dated Monday, February 24th. The shares were sold at an average price of $28.56, for a total value of $3,528,873.60. Following the transaction, the chief executive officer now owns 444,740 shares in the company, valued at approximately $12,701,774.40. This trade represents a 21.74% decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last 90 days, insiders have sold 247,740 shares of company stock worth $7,099,279. 6.97% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On RingCentral

A number of large investors have recently added to or reduced their stakes in the stock. Kayne Anderson Rudnick Investment Management LLC bought a new position in shares of RingCentral in the fourth quarter valued at approximately $49,000. New Age Alpha Advisors LLC acquired a new position in RingCentral in the 1st quarter valued at $49,000. PNC Financial Services Group Inc. raised its holdings in RingCentral by 26.6% in the 1st quarter. PNC Financial Services Group Inc. now owns 2,925 shares of the software maker’s stock worth $72,000 after acquiring an additional 615 shares during the period. Venturi Wealth Management LLC lifted its position in RingCentral by 55.2% during the 4th quarter. Venturi Wealth Management LLC now owns 2,891 shares of the software maker’s stock worth $101,000 after acquiring an additional 1,028 shares during the last quarter. Finally, KBC Group NV lifted its position in RingCentral by 30.8% during the 4th quarter. KBC Group NV now owns 3,478 shares of the software maker’s stock worth $122,000 after acquiring an additional 819 shares during the last quarter. Institutional investors own 98.61% of the company’s stock.

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.