RingCentral (NYSE:RNG) Price Target Raised to $85.00

RingCentral (NYSE:RNG) had its target price raised by Wells Fargo & Company from $65.00 to $85.00 in a research note released on Friday,Benzinga reports. Wells Fargo & Company currently has an equal weight rating on the software maker’s stock.

A number of other equities research analysts have also recently weighed in on RNG. UBS Group set a $91.00 price target on RingCentral in a report on Friday. Robert W. Baird set a $95.00 price objective on RingCentral in a research note on Friday. Morgan Stanley increased their target price on RingCentral from $41.00 to $91.00 and gave the stock an “equal weight” rating in a report on Friday. Mizuho set a $85.00 target price on RingCentral in a report on Friday. Finally, Rosenblatt Securities restated a “buy” rating and issued a $50.00 target price on shares of RingCentral in a research note on Friday, July 24th. Six analysts have rated the stock with a Buy rating and eight have issued a Hold rating to the stock. According to MarketBeat, the stock has an average rating of “Hold” and a consensus price target of $89.69.

RingCentral Stock Up 0.1%

NYSE:RNG opened at $83.46 on Friday. The firm has a market cap of $6.97 billion, a PE ratio of 11.04, a price-to-earnings-growth ratio of 1.44 and a beta of 1.10. RingCentral has a 12 month low of $24.14 and a 12 month high of $98.14. The company’s 50-day moving average price is $74.01 and its two-hundred day moving average price is $54.35.

RingCentral (NYSE:RNG) last posted its quarterly earnings data on Thursday, October 22nd. The software maker reported $1.33 earnings per share for the quarter, topping the consensus estimate of $1.28 by $0.05. RingCentral had a net margin of 25.27% and a negative return on equity of 50.15%. The company had revenue of $676.04 million during the quarter, compared to analyst estimates of $667.30 million. During the same quarter last year, the business posted $1.13 earnings per share. The company’s revenue was up 5.8% on a year-over-year basis. On average, research analysts expect that RingCentral will post 2.89 EPS for the current fiscal year.

RingCentral Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Friday, November 20th. Investors of record on Friday, November 6th will be issued a $0.1250 dividend. The ex-dividend date of this dividend is Friday, November 6th. This represents a $0.50 dividend on an annualized basis and a dividend yield of 0.6%. RingCentral’s dividend payout ratio (DPR) is currently 6.61%.

Insider Transactions at RingCentral

In other news, CAO Tarun Arora sold 4,172 shares of RingCentral stock in a transaction on Wednesday, September 9th. The stock was sold at an average price of $70.36, for a total value of $293,541.92. Following the completion of the sale, the chief accounting officer directly owned 65,692 shares of the company’s stock, valued at approximately $4,622,089.12. This trade represents a 5.97% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Amy Shenkan sold 1,264 shares of the business’s stock in a transaction on Friday, October 2nd. The stock was sold at an average price of $78.89, for a total value of $99,716.96. Following the sale, the director owned 28,108 shares of the company’s stock, valued at approximately $2,217,440.12. The trade was a 4.30% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold a total of 84,625 shares of company stock worth $6,024,953 over the last ninety days. 7.30% of the stock is currently owned by insiders.

Hedge Funds Weigh In On RingCentral

Several large investors have recently made changes to their positions in RNG. Quantinno Capital Management LP increased its position in RingCentral by 150.4% in the first quarter. Quantinno Capital Management LP now owns 1,976,995 shares of the software maker’s stock worth $73,524,000 after purchasing an additional 1,187,437 shares during the period. Dimensional Fund Advisors LP boosted its stake in shares of RingCentral by 8.4% in the 1st quarter. Dimensional Fund Advisors LP now owns 1,308,949 shares of the software maker’s stock valued at $48,676,000 after purchasing an additional 101,002 shares during the last quarter. Bank of New York Mellon Corp boosted its stake in shares of RingCentral by 28.6% in the 1st quarter. Bank of New York Mellon Corp now owns 585,789 shares of the software maker’s stock valued at $21,785,000 after purchasing an additional 130,418 shares during the last quarter. Principal Financial Group Inc. bought a new position in shares of RingCentral in the 1st quarter valued at about $13,719,000. Finally, Hillsdale Investment Management Inc. grew its position in shares of RingCentral by 0.3% during the 1st quarter. Hillsdale Investment Management Inc. now owns 294,050 shares of the software maker’s stock worth $10,936,000 after buying an additional 800 shares during the period. Institutional investors and hedge funds own 98.61% of the company’s stock.

More RingCentral News

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.