RingCentral (NYSE:RNG) Reaches New 1-Year High – Should You Buy?

RingCentral, Inc. (NYSE:RNG)’s stock price reached a new 52-week high on Thursday . The stock traded as high as $68.88 and last traded at $69.0770, with a volume of 196093 shares trading hands. The stock had previously closed at $66.06.

Analyst Upgrades and Downgrades

A number of research firms recently issued reports on RNG. Mizuho boosted their target price on shares of RingCentral from $38.00 to $40.00 and gave the company a “neutral” rating in a research report on Friday, July 24th. Weiss Ratings restated a “hold (c)” rating on shares of RingCentral in a report on Friday, July 17th. Rosenblatt Securities reaffirmed a “buy” rating and issued a $50.00 price target on shares of RingCentral in a research note on Friday, July 24th. Needham & Company LLC reissued a “buy” rating on shares of RingCentral in a research report on Monday, July 20th. Finally, Jefferies Financial Group restated a “hold” rating and issued a $40.00 target price on shares of RingCentral in a research note on Saturday, May 9th. Three equities research analysts have rated the stock with a Buy rating and eight have given a Hold rating to the stock. According to MarketBeat.com, RingCentral presently has a consensus rating of “Hold” and a consensus price target of $46.60.

RingCentral Price Performance

The company’s fifty day simple moving average is $49.85 and its two-hundred day simple moving average is $42.52. The stock has a market cap of $5.61 billion, a price-to-earnings ratio of 53.82, a P/E/G ratio of 1.14 and a beta of 1.10.

RingCentral (NYSE:RNG) last released its quarterly earnings data on Thursday, July 23rd. The software maker reported $1.22 earnings per share for the quarter, beating analysts’ consensus estimates of $1.16 by $0.06. The firm had revenue of $657.01 million for the quarter, compared to analyst estimates of $650.53 million. RingCentral had a net margin of 4.27% and a negative return on equity of 34.49%. The business’s quarterly revenue was up 5.9% compared to the same quarter last year. During the same period last year, the firm earned $1.06 earnings per share. RingCentral has set its FY 2026 guidance at 4.960-5.100 EPS and its Q3 2026 guidance at 1.250-1.300 EPS. On average, analysts forecast that RingCentral, Inc. will post 2.89 earnings per share for the current year.

RingCentral Increases Dividend

The firm also recently declared a quarterly dividend, which was paid on Thursday, August 20th. Investors of record on Thursday, August 6th were given a $0.125 dividend. This represents a $0.50 annualized dividend and a yield of 0.7%. The ex-dividend date of this dividend was Thursday, August 6th. This is a positive change from RingCentral’s previous quarterly dividend of $0.07. RingCentral’s payout ratio is 40.00%.

Insider Buying and Selling

In other RingCentral news, Director Amy Guggenheim Shenkan sold 1,265 shares of RingCentral stock in a transaction dated Thursday, July 2nd. The stock was sold at an average price of $40.59, for a total transaction of $51,346.35. Following the completion of the transaction, the director owned 29,372 shares in the company, valued at approximately $1,192,209.48. The trade was a 4.13% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CAO Tarun Arora sold 3,615 shares of the business’s stock in a transaction that occurred on Friday, May 29th. The stock was sold at an average price of $43.00, for a total value of $155,445.00. Following the sale, the chief accounting officer directly owned 68,100 shares of the company’s stock, valued at $2,928,300. This represents a 5.04% decrease in their ownership of the stock. 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. Insiders have sold a total of 22,740 shares of company stock worth $1,175,723 over the last 90 days. Company insiders own 7.30% of the company’s stock.

Institutional Investors Weigh In On RingCentral

A number of institutional investors and hedge funds have recently bought and sold shares of the stock. Commonwealth of Pennsylvania Public School Empls Retrmt SYS bought a new position in RingCentral during the 1st quarter valued at $697,000. Robertson Stephens Wealth Management LLC grew its stake in shares of RingCentral by 124.7% in the 4th quarter. Robertson Stephens Wealth Management LLC now owns 90,311 shares of the software maker’s stock worth $2,608,000 after acquiring an additional 50,122 shares in the last quarter. LSV Asset Management grew its stake in shares of RingCentral by 142.4% in the 4th quarter. LSV Asset Management now owns 2,871,700 shares of the software maker’s stock worth $82,935,000 after acquiring an additional 1,686,900 shares in the last quarter. Jupiter Asset Management Ltd. raised its holdings in shares of RingCentral by 11.4% in the fourth quarter. Jupiter Asset Management Ltd. now owns 1,456,270 shares of the software maker’s stock valued at $42,057,000 after purchasing an additional 149,532 shares during the last quarter. Finally, Harel Insurance Investments & Financial Services Ltd. raised its holdings in shares of RingCentral by 60.0% in the fourth quarter. Harel Insurance Investments & Financial Services Ltd. now owns 280,323 shares of the software maker’s stock valued at $8,096,000 after purchasing an additional 105,145 shares during the last quarter. 98.61% of the stock is owned by hedge funds and other institutional investors.

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.