RingCentral (NYSE:RNG) Announces Quarterly Earnings Results, Misses Estimates By $0.73 EPS

RingCentral (NYSE:RNG) issued its quarterly earnings data on Thursday. The software maker reported $0.23 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.96 by ($0.73), Zacks reports. The firm had revenue of $614.51 million for the quarter, compared to analyst estimates of $612.37 million. RingCentral had a negative return on equity of 12.34% and a negative net margin of 2.43%. RingCentral updated its FY 2025 guidance to 4.130-4.270 EPS and its Q1 2025 guidance to 0.930-0.970 EPS.

RingCentral Stock Down 6.1 %

Shares of NYSE:RNG opened at $28.90 on Friday. RingCentral has a 52 week low of $26.98 and a 52 week high of $42.19. The business has a fifty day simple moving average of $34.82 and a 200-day simple moving average of $34.25.

Wall Street Analysts Forecast Growth

Several equities analysts recently issued reports on the company. Piper Sandler reduced their price objective on RingCentral from $38.00 to $31.00 and set a “neutral” rating for the company in a report on Friday. UBS Group reduced their price objective on RingCentral from $40.00 to $38.00 and set a “neutral” rating for the company in a report on Friday. Raymond James reduced their price objective on RingCentral from $45.00 to $40.00 and set an “outperform” rating for the company in a report on Friday. Wedbush boosted their price target on RingCentral from $36.00 to $41.00 and gave the stock a “neutral” rating in a report on Friday, November 8th. Finally, Rosenblatt Securities cut their price target on RingCentral from $45.00 to $40.00 and set a “buy” rating for the company in a report on Friday. One research analyst has rated the stock with a sell rating, seven have assigned a hold rating, five have issued a buy rating and one has assigned a strong buy rating to the stock. According to MarketBeat, the stock presently has an average rating of “Hold” and an average price target of $38.15.

Insider Activity

In other news, Director Robert I. Theis sold 1,457 shares of RingCentral stock in a transaction on Wednesday, December 4th. The stock was sold at an average price of $37.79, for a total value of $55,060.03. Following the completion of the sale, the director now owns 28,690 shares of the company’s stock, valued at $1,084,195.10. The trade was a 4.83 % decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. Also, Director Ned D. Segal sold 2,914 shares of RingCentral stock in a transaction on Thursday, December 12th. The shares were sold at an average price of $41.60, for a total value of $121,222.40. Following the completion of the sale, the director now directly owns 10,633 shares of the company’s stock, valued at approximately $442,332.80. This represents a 21.51 % decrease in their position. The disclosure for this sale can be found here. Insiders sold a total of 13,091 shares of company stock valued at $542,958 over the last quarter. Company insiders own 6.97% of the company’s stock.

About RingCentral

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.