Ribbon Communications (NASDAQ:RBBN) Lowered to Neutral Rating by B. Riley Securities

Ribbon Communications (NASDAQ:RBBN) was downgraded by research analysts at B. Riley Securities from a “buy” rating to a “neutral” rating in a research report issued to clients and investors on Friday. They currently have a $2.90 price target on the communications equipment provider’s stock. B. Riley Securities’ target price points to a potential upside of 48.34% from the stock’s current price.

Several other brokerages also recently weighed in on RBBN. Weiss Ratings reaffirmed a “sell (d-)” rating on shares of Ribbon Communications in a report on Thursday, January 22nd. Northland Securities set a $4.00 target price on shares of Ribbon Communications in a report on Friday. Rosenblatt Securities cut their price target on Ribbon Communications from $6.00 to $4.00 and set a “buy” rating for the company in a research note on Friday. Wall Street Zen downgraded Ribbon Communications from a “buy” rating to a “hold” rating in a research report on Saturday, October 25th. Finally, B. Riley Financial cut Ribbon Communications from a “buy” rating to a “neutral” rating and set a $2.90 target price for the company. in a research report on Friday. Four research analysts have rated the stock with a Buy rating, two have issued a Hold rating and one has assigned a Sell rating to the stock. Based on data from MarketBeat.com, the company currently has an average rating of “Hold” and a consensus price target of $3.97.

Ribbon Communications Stock Performance

Shares of NASDAQ:RBBN traded down $0.77 during midday trading on Friday, hitting $1.96. The company had a trading volume of 6,134,680 shares, compared to its average volume of 743,719. Ribbon Communications has a 12-month low of $1.80 and a 12-month high of $5.38. The company has a fifty day moving average of $2.84 and a two-hundred day moving average of $3.38. The company has a market cap of $345.25 million, a price-to-earnings ratio of -8.15 and a beta of 1.07. The company has a debt-to-equity ratio of 0.91, a current ratio of 1.43 and a quick ratio of 1.16.

Ribbon Communications (NASDAQ:RBBN) last issued its quarterly earnings results on Thursday, February 5th. The communications equipment provider reported $0.59 EPS for the quarter, topping analysts’ consensus estimates of $0.11 by $0.48. Ribbon Communications had a positive return on equity of 6.49% and a negative net margin of 4.96%.The business had revenue of $227.32 million during the quarter, compared to analysts’ expectations of $241.35 million. During the same quarter in the prior year, the business posted $0.16 earnings per share. The business’s quarterly revenue was down 9.6% on a year-over-year basis. On average, equities research analysts expect that Ribbon Communications will post 0.18 EPS for the current fiscal year.

Institutional Trading of Ribbon Communications

Hedge funds have recently made changes to their positions in the business. State of Alaska Department of Revenue bought a new stake in Ribbon Communications in the third quarter worth $29,000. Kathmere Capital Management LLC bought a new position in Ribbon Communications in the 4th quarter valued at $29,000. Indivisible Partners bought a new position in shares of Ribbon Communications in the fourth quarter worth about $30,000. Tower Research Capital LLC TRC grew its stake in Ribbon Communications by 453.3% in the 2nd quarter. Tower Research Capital LLC TRC now owns 10,025 shares of the communications equipment provider’s stock worth $40,000 after acquiring an additional 8,213 shares in the last quarter. Finally, Schonfeld Strategic Advisors LLC bought a new position in Ribbon Communications in the third quarter worth approximately $41,000. 70.92% of the stock is currently owned by hedge funds and other institutional investors.

Trending Headlines about Ribbon Communications

Here are the key news stories impacting Ribbon Communications this week:

• Positive Sentiment: Q4 EPS materially beat expectations — $0.59 vs. consensus $0.11 — showing improved profitability and driving some investor relief. Zacks: Q4 Earnings Beat
• Positive Sentiment: Company highlighted strong cash flow and expanding voice-modernization bookings, with U.S. Tier?1 service provider sales up >25% in 2025 — supports longer?term revenue opportunities in core markets. Press Release
• Neutral Sentiment: Company projects 2026 revenue as high as ~$875M while describing a “cautious” outlook — this signals potential upside if execution improves but is guarded versus Street expectations. Seeking Alpha: 2026 Revenue Projection
• Neutral Sentiment: Full Q4/earnings call transcripts are available for investors wanting detail on management commentary, bookings cadence and margin dynamics. Review to judge sustainability of improvements. MSN: Earnings Call Transcript Seeking Alpha: Call Transcript
• Negative Sentiment: Revenue missed expectations: $227.3M vs. consensus ~$241.4M and revenue declined ~9.6% year?over?year — a core negative driving downward price pressure. Company Press Release / Slides
• Negative Sentiment: Company issued FY?2026 and Q1 revenue guidance well below consensus (Q1: $160M–$170M vs. est. ~$196M; FY: $850M–$865M vs. est. ~$905M), signaling near?term softness and prompting investor caution. Press Release: Guidance
• Negative Sentiment: Analysts at Rosenblatt and Citizens JMP lowered price targets from $6 to $4 (still “buy”/“market outperform”), reducing upside expectations and adding downward pressure despite retained positive ratings. Benzinga: PT Cuts
• Negative Sentiment: Management said delays in customer projects and budget timing affected Q4 results — a risk to near?term revenue visibility until project timing normalizes. Press Release: Customer Delays

About Ribbon Communications

Ribbon Communications Inc is a global provider of real-time communications software and network solutions for service providers and enterprises. The company’s offerings address the full life cycle of voice, video and data transmission across fixed, mobile and cloud environments. Ribbon’s technology portfolio is designed to enable secure, intelligent and interoperable communications in applications such as unified communications, contact centers, wholesale VoIP interconnect and next-generation 5G networks.

Ribbon’s product suite includes session border controllers (SBCs), which secure and interwork IP voice and multimedia sessions; Diameter signaling controllers for 4G/5G policy and charging control; network edge virtualization platforms; and analytics engines for service assurance and fraud management.