RingCentral (NYSE:RNG) Shares Gap Up Following Analyst Upgrade

RingCentral, Inc. (NYSE:RNG) gapped up before the market opened on Wednesday after UBS Group raised their price target on the stock from $37.00 to $40.00. The stock had previously closed at $29.99, but opened at $33.34. UBS Group currently has a neutral rating on the stock. RingCentral shares last traded at $34.52, with a volume of 1,047,783 shares.

RNG has been the topic of several other research reports. Wells Fargo & Company cut their price target on RingCentral from $36.00 to $31.00 and set an “equal weight” rating on the stock in a research note on Wednesday, February 21st. Needham & Company LLC reissued a “buy” rating and set a $42.00 price target on shares of RingCentral in a research report on Wednesday. Rosenblatt Securities reaffirmed a “neutral” rating and issued a $35.00 price target on shares of RingCentral in a report on Wednesday, May 1st. KeyCorp reduced their price target on shares of RingCentral from $50.00 to $48.00 and set an “overweight” rating on the stock in a research report on Wednesday, February 21st. Finally, Mizuho lifted their price objective on shares of RingCentral from $36.00 to $38.00 and gave the stock a “buy” rating in a report on Wednesday. Nine equities research analysts have rated the stock with a hold rating, eight have issued a buy rating and one has given a strong buy rating to the company. According to data from MarketBeat, the company has a consensus rating of “Moderate Buy” and an average price target of $39.11.

Insider Activity

In other RingCentral news, CFO Vaibhav Agarwal sold 1,984 shares of the firm’s stock in a transaction dated Monday, April 1st. The stock was sold at an average price of $34.55, for a total transaction of $68,547.20. Following the completion of the sale, the chief financial officer now directly owns 114,656 shares in the company, valued at approximately $3,961,364.80. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. In other RingCentral news, Director Kenneth A. Goldman sold 1,287 shares of the company’s stock in a transaction dated Thursday, March 7th. The stock was sold at an average price of $34.47, for a total value of $44,362.89. Following the transaction, the director now directly owns 23,688 shares of the company’s stock, valued at approximately $816,525.36. The sale was disclosed in a legal filing with the SEC, which is accessible through the SEC website. Also, CFO Vaibhav Agarwal sold 1,984 shares of the firm’s stock in a transaction that occurred on Monday, April 1st. The shares were sold at an average price of $34.55, for a total transaction of $68,547.20. Following the transaction, the chief financial officer now directly owns 114,656 shares in the company, valued at approximately $3,961,364.80. The disclosure for this sale can be found here. Insiders sold 23,608 shares of company stock worth $800,974 over the last quarter. Corporate insiders own 6.76% of the company’s stock.

Institutional Investors Weigh In On RingCentral

Several institutional investors and hedge funds have recently modified their holdings of the business. Vanguard Group Inc. lifted its position in shares of RingCentral by 3.8% in the fourth quarter. Vanguard Group Inc. now owns 10,371,224 shares of the software maker’s stock worth $352,103,000 after buying an additional 382,343 shares during the last quarter. Sylebra Capital LLC acquired a new stake in RingCentral in the 3rd quarter worth approximately $242,462,000. Ameriprise Financial Inc. lifted its stake in shares of RingCentral by 515.7% in the third quarter. Ameriprise Financial Inc. now owns 2,716,470 shares of the software maker’s stock worth $80,489,000 after buying an additional 2,275,245 shares during the last quarter. First Trust Advisors LP boosted its holdings in shares of RingCentral by 15.9% during the 4th quarter. First Trust Advisors LP now owns 1,991,917 shares of the software maker’s stock worth $67,626,000 after buying an additional 273,109 shares during the period. Finally, Norges Bank acquired a new position in RingCentral in the 4th quarter valued at $30,471,000. Institutional investors and hedge funds own 98.61% of the company’s stock.

RingCentral Stock Performance

The stock has a market cap of $3.20 billion, a price-to-earnings ratio of -19.65, a price-to-earnings-growth ratio of 3.24 and a beta of 0.94. The stock’s 50-day simple moving average is $32.80 and its two-hundred day simple moving average is $31.90.

RingCentral (NYSE:RNG) last announced its earnings results on Tuesday, February 20th. The software maker reported ($0.33) earnings per share for the quarter, missing the consensus estimate of ($0.02) by ($0.31). The company had revenue of $571.27 million during the quarter, compared to analysts’ expectations of $569.65 million. As a group, research analysts predict that RingCentral, Inc. will post 0.45 earnings per share for the current year.

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.