Zacks: Brokerages Anticipate RingCentral Inc (RNG) Will Post Earnings of $0.18 Per Share

Equities analysts expect RingCentral Inc (NYSE:RNG) to post earnings of $0.18 per share for the current quarter, according to Zacks Investment Research. Eleven analysts have provided estimates for RingCentral’s earnings. The highest EPS estimate is $0.19 and the lowest is $0.17. RingCentral posted earnings per share of $0.07 in the same quarter last year, which would suggest a positive year-over-year growth rate of 157.1%. The firm is scheduled to issue its next quarterly earnings report on Monday, February 11th.

On average, analysts expect that RingCentral will report full year earnings of $0.71 per share for the current fiscal year, with EPS estimates ranging from $0.70 to $0.73. For the next year, analysts expect that the company will post earnings of $0.67 per share, with EPS estimates ranging from $0.59 to $0.71. Zacks’ EPS averages are an average based on a survey of sell-side research firms that cover RingCentral.

RingCentral (NYSE:RNG) last posted its quarterly earnings data on Monday, November 5th. The software maker reported $0.19 earnings per share for the quarter, beating analysts’ consensus estimates of $0.16 by $0.03. RingCentral had a negative net margin of 4.25% and a negative return on equity of 3.64%. The firm had revenue of $173.83 million for the quarter, compared to analyst estimates of $166.70 million. During the same period last year, the firm posted $0.06 EPS. RingCentral’s quarterly revenue was up 33.4% on a year-over-year basis.

A number of research firms have commented on RNG. Stephens began coverage on RingCentral in a report on Thursday, January 3rd. They issued an “equal weight” rating for the company. Zacks Investment Research raised RingCentral from a “hold” rating to a “buy” rating and set a $95.00 target price for the company in a report on Friday, November 9th. Rosenblatt Securities reissued a “buy” rating and issued a $100.00 target price on shares of RingCentral in a report on Wednesday, November 7th. TheStreet downgraded RingCentral from a “c” rating to a “d+” rating in a report on Tuesday, November 6th. Finally, Morgan Stanley raised their target price on RingCentral from $84.00 to $93.00 and gave the company an “equal weight” rating in a report on Monday, January 7th. Three analysts have rated the stock with a hold rating, twelve have issued a buy rating and one has issued a strong buy rating to the stock. RingCentral currently has a consensus rating of “Buy” and a consensus price target of $92.27.

In related news, COO David Sipes sold 7,805 shares of the business’s stock in a transaction dated Wednesday, November 28th. The shares were sold at an average price of $77.91, for a total value of $608,087.55. Following the completion of the transaction, the chief operating officer now owns 267,752 shares of the company’s stock, valued at approximately $20,860,558.32. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at the SEC website. Also, CEO Vladimir Shmunis sold 39,032 shares of the business’s stock in a transaction dated Thursday, January 10th. The shares were sold at an average price of $87.57, for a total transaction of $3,418,032.24. Following the completion of the transaction, the chief executive officer now directly owns 276,760 shares of the company’s stock, valued at approximately $24,235,873.20. The disclosure for this sale can be found here. Insiders have sold a total of 245,984 shares of company stock valued at $19,928,104 in the last ninety days. Corporate insiders own 11.99% of the company’s stock.

A number of hedge funds have recently made changes to their positions in the stock. Capital World Investors raised its stake in RingCentral by 4.5% in the 3rd quarter. Capital World Investors now owns 6,752,958 shares of the software maker’s stock valued at $628,363,000 after purchasing an additional 289,958 shares during the last quarter. Vanguard Group Inc. raised its stake in RingCentral by 1.1% in the 3rd quarter. Vanguard Group Inc. now owns 6,751,585 shares of the software maker’s stock valued at $628,235,000 after purchasing an additional 71,110 shares during the last quarter. Vanguard Group Inc raised its stake in RingCentral by 1.1% in the 3rd quarter. Vanguard Group Inc now owns 6,751,585 shares of the software maker’s stock valued at $628,235,000 after purchasing an additional 71,110 shares during the last quarter. BlackRock Inc. raised its stake in RingCentral by 0.4% in the 3rd quarter. BlackRock Inc. now owns 3,790,244 shares of the software maker’s stock valued at $352,684,000 after purchasing an additional 14,743 shares during the last quarter. Finally, Capital International Investors acquired a new position in RingCentral in the 3rd quarter valued at about $279,076,000. 78.01% of the stock is owned by hedge funds and other institutional investors.

RingCentral stock traded down $0.27 during midday trading on Friday, reaching $86.91. The company’s stock had a trading volume of 724,729 shares, compared to its average volume of 706,938. RingCentral has a fifty-two week low of $47.65 and a fifty-two week high of $98.15. The company has a debt-to-equity ratio of 1.22, a quick ratio of 4.07 and a current ratio of 4.07. The company has a market cap of $7.02 billion, a P/E ratio of -248.31 and a beta of 0.97.

RingCentral Company Profile

RingCentral, Inc provides software-as-a-service solutions for business communications and collaboration primarily in the United States. The company's products include RingCentral Office, a multi-tenant, multi-location, and enterprise-grade communications and collaboration solution that enables employees to communicate through voice, text, team messaging and collaboration, and HD video and Web conferencing through smartphones, tablets, PCs, and desk phones for businesses, which require a communications solution; RingCentral Professional, an inbound call routing subscription with additional text and fax capabilities primarily for smaller businesses; and RingCentral Fax solution that offers Internet fax capabilities, which allow businesses to send and receive fax documents without the need for a fax machine.

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