RingCentral (NYSE:RNG) Announces FY 2026 Earnings Guidance

RingCentral (NYSE:RNG) updated its FY 2026 earnings guidance on Friday morning. The company provided earnings per share guidance of 5.070-5.120 for the period, compared to the consensus estimate of 4.610. The company issued revenue guidance of $2.7 billion, compared to the consensus revenue estimate of $2.6 billion. RingCentral also updated its Q4 2026 guidance to 1.320-1.370 EPS.

RingCentral Stock Performance

Shares of RNG stock opened at $83.46 on Friday. The stock has a fifty day moving average price of $74.01 and a 200 day moving average price of $54.24. The stock has a market cap of $6.97 billion, a PE ratio of 11.04, a P/E/G ratio of 1.44 and a beta of 1.10. RingCentral has a 1 year low of $24.14 and a 1 year high of $98.14.

RingCentral (NYSE:RNG) last posted its earnings results on Thursday, October 22nd. The software maker reported $1.33 earnings per share for the quarter, beating the consensus estimate of $1.28 by $0.05. RingCentral had a negative return on equity of 37.87% and a net margin of 25.27%. The company had revenue of $676.04 million for the quarter, compared to analyst estimates of $667.30 million. During the same quarter in the prior year, the company earned $1.13 earnings per share. RingCentral’s revenue was up 5.8% compared to the same quarter last year. As a group, equities research analysts predict that RingCentral will post 2.89 earnings per share for the current year.

RingCentral Announces Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Friday, November 20th. Investors of record on Friday, November 6th will be given a $0.1250 dividend. The ex-dividend date is Friday, November 6th. This represents a $0.50 annualized dividend and a dividend yield of 0.6%. RingCentral’s payout ratio is currently 6.61%.

Analysts Set New Price Targets

A number of brokerages recently commented on RNG. Piper Sandler increased their price objective on shares of RingCentral from $43.00 to $94.00 and gave the company a “neutral” rating in a research note on Friday. Mizuho set a $85.00 target price on shares of RingCentral in a report on Friday. FBN Securities restated an “outperform” rating and set a $105.00 target price on shares of RingCentral in a research report on Friday. Royal Bank Of Canada assumed coverage on shares of RingCentral in a report on Thursday, September 3rd. They issued an “outperform” rating and a $85.00 price target on the stock. Finally, Rosenblatt Securities reaffirmed a “buy” rating and issued a $50.00 price target on shares of RingCentral in a report on Friday, July 24th. Six equities research analysts have rated the stock with a Buy rating and eight have given a Hold rating to the company. Based on data from MarketBeat, the stock currently has a consensus rating of “Hold” and an average price target of $89.69.

Insider Activity at RingCentral

In other news, COO Kira Makagon sold 36,185 shares of the firm’s stock in a transaction on Monday, September 14th. The stock was sold at an average price of $70.11, for a total transaction of $2,536,930.35. Following the sale, the chief operating officer owned 245,385 shares in the company, valued at $17,203,942.35. This trade represents a 12.85% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO Vaibhav Agarwal sold 7,046 shares of RingCentral stock in a transaction on Wednesday, September 2nd. The shares were sold at an average price of $72.10, for a total value of $508,016.60. Following the completion of the sale, the chief financial officer directly owned 146,700 shares of the company’s stock, valued at approximately $10,577,070. This represents a 4.58% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Over the last quarter, insiders have sold 84,625 shares of company stock worth $6,024,953. Company insiders own 7.30% of the company’s stock.

Key Stories Impacting RingCentral

Here are the key news stories impacting RingCentral this week:

• Positive Sentiment: Raised full-year guidance: RingCentral now expects fiscal 2026 adjusted EPS of $5.07–$5.12, well above the $4.61 analyst consensus, and revenue of approximately $2.7 billion versus expectations of $2.6 billion. Fourth-quarter EPS guidance of $1.32–$1.37 also exceeds the $1.24 consensus, while revenue guidance is slightly above estimates. RingCentral guidance
• Positive Sentiment: Beat quarterly expectations: Third-quarter EPS came in at $1.33 versus the $1.28 consensus, while revenue of $676.04 million exceeded estimates of $667.30 million and increased 5.8% year over year. RingCentral Q3 earnings
• Positive Sentiment: AI growth is becoming material: Paid artificial-intelligence product annual recurring revenue surpassed $400 million, with reports indicating that AI monetization roughly doubled. This supports expectations for stronger growth and margin expansion. RingCentral long-term investor takeaways
• Positive Sentiment: Balance sheet improved: RingCentral reduced gross debt below $1 billion ahead of schedule, while earnings and cash flow improved. The company also declared a quarterly dividend of $0.125 per share, equal to a $0.50 annualized payout. RingCentral outlook and cash flow
• Neutral Sentiment: Analyst targets moved higher: Needham raised its target to $110 with a Buy rating, FBN Securities lifted its target to $105, and Morgan Stanley increased its target to $91 while retaining Equal Weight. Wells Fargo also raised its target to $85 but maintained Equal Weight, suggesting some analysts view the near-term upside as more limited.
• Neutral Sentiment: At approximately $83.46, RingCentral remains below its $98.14 52-week high but trades well above its 50-day and 200-day moving averages, indicating strong momentum alongside a higher valuation.

RingCentral Company Profile

RingCentral, Inc is a provider of cloud-based business communications and collaboration solutions. Its platform enables organizations to manage business phone services, team messaging, video meetings, contact center operations and other communications through internet-based applications rather than traditional on-premises systems.

The company’s offerings include RingEX, a unified communications platform that combines voice, messaging and video; RingCentral Video for online meetings and collaboration; and RingCX, a cloud contact center solution.