RingCentral (NYSE:RNG) Issues FY 2025 Earnings Guidance

RingCentral (NYSE:RNG) issued an update on its FY 2025 earnings guidance on Thursday morning. The company provided EPS guidance of 4.130-4.270 for the period, compared to the consensus EPS estimate of 4.220. The company issued revenue guidance of $2.5 billion-$2.5 billion, compared to the consensus revenue estimate of $2.6 billion. RingCentral also updated its Q1 2025 guidance to 0.930-0.970 EPS.

RingCentral Stock Down 6.1 %

NYSE:RNG opened at $28.90 on Friday. The firm’s fifty day moving average is $34.82 and its 200-day moving average is $34.25. RingCentral has a 52 week low of $26.98 and a 52 week high of $42.19.

RingCentral (NYSE:RNG) last posted its quarterly earnings results on Thursday, February 20th. The software maker reported $0.23 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.96 by ($0.73). The business had revenue of $614.51 million for the quarter, compared to the consensus estimate of $612.37 million. RingCentral had a negative return on equity of 12.34% and a negative net margin of 2.43%. On average, research analysts forecast that RingCentral will post 1.29 earnings per share for the current year.

Wall Street Analysts Forecast Growth

A number of research firms have issued reports on RNG. Robert W. Baird lifted their price target on RingCentral from $36.00 to $38.00 and gave the company a “neutral” rating in a research note on Monday, November 11th. Needham & Company LLC dropped their target price on shares of RingCentral from $42.00 to $36.00 and set a “buy” rating on the stock in a research note on Friday. UBS Group dropped their target price on shares of RingCentral from $40.00 to $38.00 and set a “neutral” rating on the stock in a research note on Friday. Piper Sandler dropped their price objective on RingCentral from $38.00 to $31.00 and set a “neutral” rating on the stock in a research note on Friday. Finally, Wells Fargo & Company reiterated an “underweight” rating and issued a $30.00 price objective (down previously from $38.00) on shares of RingCentral in a research note on Tuesday, January 7th. One analyst has rated the stock with a sell rating, seven have assigned a hold rating, five have issued a buy rating and one has issued a strong buy rating to the company’s stock. According to data from MarketBeat, the company has a consensus rating of “Hold” and an average price target of $38.15.

Insider Transactions at RingCentral

In other RingCentral news, Director Robert I. Theis sold 1,457 shares of the firm’s stock in a transaction dated Wednesday, December 4th. The stock was sold at an average price of $37.79, for a total value of $55,060.03. Following the sale, the director now owns 28,690 shares of the company’s stock, valued at $1,084,195.10. This trade represents a 4.83 % decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available at this link. Also, SVP John H. Marlow sold 8,720 shares of the firm’s stock in a transaction dated Tuesday, December 10th. The shares were sold at an average price of $42.05, for a total value of $366,676.00. Following the completion of the sale, the senior vice president now directly owns 334,869 shares in the company, valued at approximately $14,081,241.45. The trade was a 2.54 % decrease in their position. The disclosure for this sale can be found here. Over the last ninety days, insiders have sold 13,091 shares of company stock valued at $542,958. 6.97% of the stock is currently owned by corporate insiders.

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.