RingCentral (NYSE:RNG) Hits New 52-Week High – Should You Buy?

RingCentral, Inc. (NYSE:RNG)’s stock price hit a new 52-week high on Friday . The stock traded as high as $41.04 and last traded at $41.03, with a volume of 1563558 shares trading hands. The stock had previously closed at $38.50.

Analyst Ratings Changes

A number of brokerages have recently issued reports on RNG. Needham & Company LLC reiterated a “buy” rating and set a $42.00 price target on shares of RingCentral in a research note on Monday, November 11th. Rosenblatt Securities reiterated a “buy” rating and set a $45.00 target price on shares of RingCentral in a research report on Friday, November 8th. Raymond James reduced their price target on RingCentral from $52.00 to $50.00 and set a “strong-buy” rating for the company in a report on Friday, November 8th. Robert W. Baird upped their price objective on RingCentral from $36.00 to $38.00 and gave the stock a “neutral” rating in a report on Monday, November 11th. Finally, Wedbush raised their target price on RingCentral from $36.00 to $41.00 and gave the company a “neutral” rating in a report on Friday, November 8th. Eight research analysts have rated the stock with a hold rating, six have issued a buy rating and two have given a strong buy rating to the stock. Based on data from MarketBeat.com, RingCentral presently has a consensus rating of “Moderate Buy” and an average target price of $40.73.

RingCentral Stock Performance

The stock has a market cap of $3.71 billion, a price-to-earnings ratio of -36.32, a PEG ratio of 2.35 and a beta of 0.99. The business has a fifty day simple moving average of $34.89 and a 200 day simple moving average of $32.80.

RingCentral (NYSE:RNG) last announced its earnings results on Thursday, November 7th. The software maker reported $0.24 earnings per share for the quarter, beating the consensus estimate of $0.14 by $0.10. The firm had revenue of $608.77 million during the quarter, compared to the consensus estimate of $601.91 million. RingCentral had a negative net margin of 4.17% and a negative return on equity of 2.55%. On average, equities research analysts anticipate that RingCentral, Inc. will post 0.84 EPS for the current fiscal year.

Insider Activity at RingCentral

In related news, SVP John H. Marlow sold 23,284 shares of the firm’s stock in a transaction that occurred on Thursday, November 21st. The shares were sold at an average price of $34.96, for a total value of $814,008.64. Following the sale, the senior vice president now directly owns 357,818 shares of the company’s stock, valued at approximately $12,509,317.28. This trade represents a 6.11 % decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Also, CEO Vladimir Shmunis sold 66,451 shares of the company’s stock in a transaction that occurred on Thursday, November 21st. The stock was sold at an average price of $34.96, for a total transaction of $2,323,126.96. Following the transaction, the chief executive officer now directly owns 479,468 shares of the company’s stock, valued at $16,762,201.28. This trade represents a 12.17 % decrease in their position. The disclosure for this sale can be found here. Over the last 90 days, insiders have sold 105,539 shares of company stock valued at $3,687,477. Company insiders own 6.76% of the company’s stock.

Institutional Trading of RingCentral

Several institutional investors have recently made changes to their positions in RNG. Comerica Bank grew its holdings in shares of RingCentral by 1,715.5% during the 1st quarter. Comerica Bank now owns 13,090 shares of the software maker’s stock worth $455,000 after purchasing an additional 12,369 shares during the period. SG Americas Securities LLC grew its stake in RingCentral by 782.0% during the second quarter. SG Americas Securities LLC now owns 78,836 shares of the software maker’s stock worth $2,223,000 after buying an additional 69,898 shares during the period. Wedge Capital Management L L P NC increased its position in shares of RingCentral by 14.4% in the second quarter. Wedge Capital Management L L P NC now owns 57,628 shares of the software maker’s stock worth $1,625,000 after acquiring an additional 7,251 shares in the last quarter. Harel Insurance Investments & Financial Services Ltd. purchased a new position in shares of RingCentral in the 2nd quarter valued at $2,476,000. Finally, Lecap Asset Management Ltd. lifted its holdings in shares of RingCentral by 3.0% during the 2nd quarter. Lecap Asset Management Ltd. now owns 34,325 shares of the software maker’s stock valued at $968,000 after acquiring an additional 1,001 shares in the last quarter. 98.61% of the stock is owned by hedge funds and other institutional investors.

RingCentral Company Profile

RingCentral, Inc, together with its subsidiaries, provides cloud communications, video meetings, collaboration, and contact center software-as-a-service solutions worldwide. The company’s products include RingCentral Message Video Phone that provides a unified experience for communication and collaboration across multiple modes, including HD voice, video, SMS, messaging and collaboration, conferencing, online meetings, and fax; RingCentral Contact Center, a collaborative contact center solution that delivers AI-powered omnichannel and workforce engagement solutions with integrated RingCentral MVP; and RingCX, an AI-powered contact center that a native delivers omnichannel experience.