RingCentral, Inc. (NYSE:RNG) Sees Large Increase in Short Interest

RingCentral, Inc. (NYSE:RNG) was the target of a large increase in short interest in the month of February. As of February 13th, there was short interest totaling 10,998,242 shares, an increase of 24.0% from the January 29th total of 8,866,022 shares. Based on an average daily trading volume, of 4,070,025 shares, the days-to-cover ratio is currently 2.7 days. Currently, 13.7% of the company’s stock are short sold. Currently, 13.7% of the company’s stock are short sold. Based on an average daily trading volume, of 4,070,025 shares, the days-to-cover ratio is currently 2.7 days.

Insider Transactions at RingCentral

In related news, CAO Tarun Arora sold 3,723 shares of RingCentral stock in a transaction on Tuesday, March 3rd. The shares were sold at an average price of $36.14, for a total value of $134,549.22. Following the completion of the sale, the chief accounting officer owned 84,332 shares of the company’s stock, valued at approximately $3,047,758.48. This trade represents a 4.23% decrease in their position. The transaction was disclosed in a document filed with the SEC, which can be accessed through the SEC website. Also, CFO Vaibhav Agarwal sold 18,680 shares of the business’s stock in a transaction on Monday, March 2nd. The shares were sold at an average price of $36.33, for a total transaction of $678,644.40. Following the sale, the chief financial officer owned 139,493 shares of the company’s stock, valued at $5,067,780.69. This trade represents a 11.81% decrease in their position. The SEC filing for this sale provides additional information. Insiders have sold a total of 250,686 shares of company stock worth $8,865,429 in the last three months. Insiders own 7.30% of the company’s stock.

Institutional Investors Weigh In On RingCentral

Hedge funds and other institutional investors have recently added to or reduced their stakes in the company. Capital World Investors lifted its stake in shares of RingCentral by 20.9% during the 3rd quarter. Capital World Investors now owns 11,735,991 shares of the software maker’s stock valued at $332,598,000 after buying an additional 2,031,861 shares in the last quarter. Alyeska Investment Group L.P. bought a new stake in RingCentral during the 3rd quarter valued at $53,365,000. LSV Asset Management lifted its position in shares of RingCentral by 142.4% during the fourth 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. AQR Capital Management LLC lifted its position in shares of RingCentral by 35.4% during the fourth quarter. AQR Capital Management LLC now owns 2,003,950 shares of the software maker’s stock worth $57,874,000 after acquiring an additional 523,966 shares in the last quarter. Finally, Russell Investments Group Ltd. boosted its holdings in shares of RingCentral by 138.6% in the third quarter. Russell Investments Group Ltd. now owns 811,747 shares of the software maker’s stock worth $23,113,000 after acquiring an additional 471,559 shares during the period. 98.61% of the stock is currently owned by institutional investors.

Analyst Ratings Changes

Several analysts have recently issued reports on the stock. UBS Group set a $38.00 target price on shares of RingCentral in a research note on Friday, February 20th. Rosenblatt Securities upped their price objective on shares of RingCentral from $32.00 to $37.50 and gave the stock a “buy” rating in a research report on Friday, February 20th. Weiss Ratings upgraded shares of RingCentral from a “sell (d+)” rating to a “hold (c-)” rating in a research note on Monday. Mizuho boosted their target price on RingCentral from $27.00 to $32.00 and gave the stock a “neutral” rating in a research note on Friday, February 20th. Finally, Robert W. Baird upped their target price on RingCentral from $30.00 to $34.00 and gave the company a “neutral” rating in a report on Monday, February 23rd. Four investment analysts have rated the stock with a Buy rating, ten have assigned a Hold rating and one has assigned a Sell rating to the stock. According to data from MarketBeat.com, the company presently has an average rating of “Hold” and a consensus target price of $34.04.

RingCentral Price Performance

Shares of RingCentral stock traded up $2.47 on Wednesday, reaching $39.29. 2,781,493 shares of the company traded hands, compared to its average volume of 4,220,651. The company has a 50 day moving average of $29.47 and a 200 day moving average of $29.29. RingCentral has a 52 week low of $20.58 and a 52 week high of $40.64. The firm has a market capitalization of $3.40 billion, a PE ratio of 81.86, a PEG ratio of 1.45 and a beta of 1.14.

RingCentral (NYSE:RNG) last posted its quarterly earnings results on Thursday, February 19th. The software maker reported $1.18 EPS for the quarter, topping analysts’ consensus estimates of $1.14 by $0.04. RingCentral had a net margin of 1.73% and a negative return on equity of 28.14%. The company had revenue of $644.03 million for the quarter, compared to analysts’ expectations of $643.52 million. During the same quarter in the previous year, the firm posted $0.98 EPS. RingCentral’s revenue was up 4.8% on a year-over-year basis. RingCentral has set its FY 2026 guidance at 4.760-4.970 EPS and its Q1 2026 guidance at 1.160-1.190 EPS. As a group, analysts anticipate that RingCentral will post 1.29 earnings per share for the current year.

RingCentral Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Monday, March 16th. Stockholders of record on Monday, March 9th will be paid a dividend of $0.075 per share. The ex-dividend date is Monday, March 9th. This represents a $0.30 annualized dividend and a dividend yield of 0.8%.

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.