RingCentral (NYSE:RNG) Releases Q3 Earnings Guidance

RingCentral (NYSE:RNG) issued an update on its third quarter earnings guidance on Thursday morning. The company provided earnings per share (EPS) guidance of $0.92 to $0.93 for the period, compared to the consensus estimate of $0.91. The company issued revenue guidance of $600.5 million to $603.5 million, compared to the consensus revenue estimate of $601.17 million. RingCentral also updated its FY 2024 guidance to 3.620-3.670 EPS.

RingCentral Stock Performance

Shares of NYSE RNG traded up $1.81 during trading on Friday, hitting $35.26. The company had a trading volume of 3,145,964 shares, compared to its average volume of 1,131,608. The business’s 50-day moving average is $31.30 and its 200 day moving average is $32.66. The company has a market cap of $3.25 billion, a P/E ratio of -23.66, a PEG ratio of 2.87 and a beta of 1.03. RingCentral has a 52 week low of $25.08 and a 52 week high of $39.86.

RingCentral (NYSE:RNG) last issued its earnings results on Tuesday, May 7th. The software maker reported $0.06 earnings per share for the quarter, topping the consensus estimate of $0.01 by $0.05. The firm had revenue of $584.21 million during the quarter, compared to analyst estimates of $577.81 million. On average, research analysts expect that RingCentral will post 0.54 EPS for the current year.

Analysts Set New Price Targets

A number of analysts have weighed in on the company. UBS Group boosted their price target on RingCentral from $37.00 to $40.00 and gave the stock a neutral rating in a research report on Wednesday, May 8th. Wells Fargo & Company upped their target price on RingCentral from $28.00 to $35.00 and gave the company an equal weight rating in a research note on Friday. Northland Securities upped their price target on RingCentral from $43.00 to $50.00 and gave the company an outperform rating in a research report on Friday. Rosenblatt Securities raised shares of RingCentral from a neutral rating to a buy rating and upped their price objective for the stock from $35.00 to $45.00 in a research note on Friday. Finally, Mizuho raised their target price on RingCentral from $36.00 to $38.00 and gave the company a buy rating in a research note on Wednesday, May 8th. Nine analysts have rated the stock with a hold rating, ten have assigned a buy rating and one has given a strong buy rating to the company. Based on data from MarketBeat.com, the stock has an average rating of Moderate Buy and an average price target of $40.28.

Insiders Place Their Bets

In related news, CFO Sonalee Elizabeth Parekh sold 8,478 shares of the firm’s stock in a transaction dated Tuesday, May 28th. The shares were sold at an average price of $34.85, for a total transaction of $295,458.30. Following the transaction, the chief financial officer now directly owns 388,919 shares of the company’s stock, valued at $13,553,827.15. The transaction was disclosed in a legal filing with the SEC, which is available through this hyperlink. In related news, CFO Vaibhav Agarwal sold 1,985 shares of the firm’s stock in a transaction dated Monday, July 1st. The stock was sold at an average price of $28.20, for a total value of $55,977.00. Following the sale, the chief financial officer now directly owns 156,799 shares of the company’s stock, valued at $4,421,731.80. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this link. Also, CFO Sonalee Elizabeth Parekh sold 8,478 shares of the stock in a transaction on Tuesday, May 28th. The shares were sold at an average price of $34.85, for a total value of $295,458.30. Following the completion of the transaction, the chief financial officer now owns 388,919 shares of the company’s stock, valued at $13,553,827.15. The disclosure for this sale can be found here. Insiders have sold 21,869 shares of company stock worth $762,165 in the last 90 days. Company insiders own 6.76% 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.