Ringcentral (NYSE:RNG) Trading Down 8.3% – Here’s Why

Ringcentral, Inc. (NYSE:RNG)’s share price traded down 8.3% on Monday . The company traded as low as $36.69 and last traded at $36.2320. 1,591,377 shares traded hands during mid-day trading, a decline of 40% from the average session volume of 2,668,799 shares. The stock had previously closed at $39.50.

Wall Street Analyst Weigh In

Several research analysts have recently issued reports on RNG shares. Weiss Ratings reaffirmed a “sell (d+)” rating on shares of Ringcentral in a research report on Monday, December 29th. Piper Sandler boosted their target price on Ringcentral from $28.00 to $37.00 and gave the stock a “neutral” rating in a research note on Monday. UBS Group set a $38.00 price target on shares of Ringcentral in a research note on Friday. Oppenheimer reissued an “outperform” rating on shares of Ringcentral in a report on Friday. Finally, Mizuho upped their target price on shares of Ringcentral from $27.00 to $32.00 and gave the company a “neutral” rating in a report on Friday. Four research analysts have rated the stock with a Buy rating, nine have given a Hold rating and two have given a Sell rating to the company. Based on data from MarketBeat.com, the stock currently has a consensus rating of “Hold” and an average price target of $34.04.

Ringcentral Trading Down 12.7%

The company has a 50 day simple moving average of $28.38 and a 200 day simple moving average of $28.89. The stock has a market capitalization of $2.99 billion, a PE ratio of 71.85, a P/E/G ratio of 1.63 and a beta of 1.23.

Ringcentral (NYSE:RNG) last released its earnings results on Thursday, February 19th. The software maker reported $1.18 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $1.14 by $0.04. Ringcentral had a negative return on equity of 29.05% and a net margin of 1.73%.The business had revenue of $644.03 million for the quarter, compared to analyst estimates of $643.52 million. During the same quarter in the previous year, the company posted $0.98 earnings per share. The company’s revenue for the quarter was up 4.8% compared to the same quarter last year. Ringcentral has set its FY 2026 guidance at 4.760-4.970 EPS and its Q1 2026 guidance at 1.160-1.190 EPS. On average, equities research analysts predict that Ringcentral, Inc. will post 1.29 EPS for the current year.

Ringcentral Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Monday, March 16th. Stockholders of record on Monday, March 9th will be paid a $0.075 dividend. This represents a $0.30 annualized dividend and a dividend yield of 0.9%. The ex-dividend date is Monday, March 9th.

Insider Activity

In other Ringcentral news, CAO Tarun Arora sold 3,888 shares of Ringcentral stock in a transaction that occurred on Monday, December 1st. The stock was sold at an average price of $28.70, for a total value of $111,585.60. Following the sale, the chief accounting officer owned 93,412 shares of the company’s stock, valued at approximately $2,680,924.40. The trade was a 4.00% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, COO Kira Makagon sold 6,495 shares of the firm’s stock in a transaction that occurred on Friday, December 26th. The shares were sold at an average price of $29.22, for a total value of $189,783.90. Following the completion of the sale, the chief operating officer directly owned 336,162 shares of the company’s stock, valued at $9,822,653.64. This represents a 1.90% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. In the last ninety days, insiders sold 26,123 shares of company stock worth $743,774. Insiders own 7.30% of the company’s stock.

Hedge Funds Weigh In On Ringcentral

A number of large investors have recently made changes to their positions in the stock. Fort Washington Investment Advisors Inc. OH raised its position in shares of Ringcentral by 22.9% in the third quarter. Fort Washington Investment Advisors Inc. OH now owns 1,224,090 shares of the software maker’s stock valued at $34,691,000 after buying an additional 228,202 shares during the last quarter. Y Intercept Hong Kong Ltd purchased a new stake in Ringcentral in the 2nd quarter worth approximately $404,000. Russell Investments Group Ltd. raised its holdings in Ringcentral by 79.4% in the 2nd quarter. Russell Investments Group Ltd. now owns 340,188 shares of the software maker’s stock valued at $9,610,000 after acquiring an additional 150,537 shares during the last quarter. Vise Technologies Inc. purchased a new position in shares of Ringcentral during the 2nd quarter worth $430,000. Finally, Connor Clark & Lunn Investment Management Ltd. lifted its stake in shares of Ringcentral by 29.1% during the 2nd quarter. Connor Clark & Lunn Investment Management Ltd. now owns 599,629 shares of the software maker’s stock worth $16,999,000 after purchasing an additional 134,992 shares during the period. Hedge funds and other institutional investors own 98.61% of the company’s stock.

Ringcentral Company Profile

RingCentral, Inc is a leading provider of cloud-based business communications and collaboration solutions. The company’s flagship platform delivers unified communications as a service (UCaaS), integrating voice over IP (VoIP) phone systems, video conferencing, team messaging and SMS into a single, cloud-native application. In addition to its UCaaS offering, RingCentral provides contact center as a service (CCaaS) capabilities, enabling organizations to manage customer interactions across voice, email, chat and social channels from a centralized dashboard.

Founded in 1999 and headquartered in Belmont, California, RingCentral went public on the New York Stock Exchange under the ticker RNG in 2013.