Brokerages Anticipate RingCentral Inc (RNG) to Announce $0.16 Earnings Per Share

Equities analysts expect that RingCentral Inc (NYSE:RNG) will report earnings per share (EPS) of $0.16 for the current quarter, according to Zacks Investment Research. Eleven analysts have made estimates for RingCentral’s earnings, with the lowest EPS estimate coming in at $0.14 and the highest estimate coming in at $0.17. RingCentral reported earnings per share of $0.19 during the same quarter last year, which would suggest a negative year-over-year growth rate of 15.8%. The company is scheduled to report its next quarterly earnings report on Monday, August 5th.

According to Zacks, analysts expect that RingCentral will report full year earnings of $0.73 per share for the current fiscal year, with EPS estimates ranging from $0.71 to $0.75. For the next year, analysts expect that the business will post earnings of $0.92 per share, with EPS estimates ranging from $0.81 to $0.99. Zacks Investment Research’s earnings per share calculations are a mean average based on a survey of sell-side research firms that that provide coverage for RingCentral.

RingCentral (NYSE:RNG) last announced its quarterly earnings results on Monday, May 6th. The software maker reported ($0.01) EPS for the quarter, missing analysts’ consensus estimates of $0.15 by ($0.16). The business had revenue of $201.50 million for the quarter, compared to the consensus estimate of $193.54 million. RingCentral had a negative return on equity of 0.73% and a negative net margin of 4.12%. The firm’s revenue for the quarter was up 34.1% on a year-over-year basis. During the same quarter in the prior year, the business earned $0.16 EPS.

A number of research analysts have commented on RNG shares. Bank of America restated a “buy” rating and set a $110.00 price target (up previously from $93.00) on shares of RingCentral in a research note on Thursday, February 7th. Zacks Investment Research raised shares of RingCentral from a “hold” rating to a “buy” rating and set a $108.00 price objective for the company in a report on Friday, February 8th. Deutsche Bank raised their price objective on shares of RingCentral from $105.00 to $115.00 and gave the stock a “buy” rating in a report on Tuesday, February 12th. Raymond James raised their price objective on shares of RingCentral from $98.00 to $116.00 and gave the stock a “strong-buy” rating in a report on Tuesday, February 12th. Finally, Robert W. Baird raised their price objective on shares of RingCentral from $100.00 to $120.00 and gave the stock a “positive” rating in a report on Tuesday, February 12th. Four analysts have rated the stock with a hold rating, thirteen have given a buy rating and one has given a strong buy rating to the stock. The stock presently has a consensus rating of “Buy” and a consensus target price of $120.72.

RNG traded up $1.97 during midday trading on Thursday, reaching $121.65. 339,700 shares of the company’s stock were exchanged, compared to its average volume of 821,443. The stock has a market cap of $9.81 billion, a price-to-earnings ratio of -3,041.25 and a beta of 0.94. The company has a quick ratio of 3.08, a current ratio of 3.08 and a debt-to-equity ratio of 1.19. RingCentral has a one year low of $64.41 and a one year high of $125.27.

In related news, CEO Vladimir Shmunis sold 51,923 shares of the firm’s stock in a transaction that occurred on Monday, May 20th. The shares were sold at an average price of $120.87, for a total value of $6,275,933.01. Following the completion of the sale, the chief executive officer now owns 325,018 shares of the company’s stock, valued at $39,284,925.66. The sale was disclosed in a document filed with the SEC, which is accessible through the SEC website. Also, CFO Mitesh Dhruv sold 1,326 shares of the firm’s stock in a transaction that occurred on Tuesday, April 16th. The shares were sold at an average price of $106.58, for a total transaction of $141,325.08. Following the completion of the sale, the chief financial officer now directly owns 132,887 shares of the company’s stock, valued at approximately $14,163,096.46. The disclosure for this sale can be found here. In the last ninety days, insiders have sold 343,433 shares of company stock valued at $38,280,991. Company insiders own 11.03% of the company’s stock.

Several institutional investors have recently modified their holdings of RNG. FMR LLC increased its holdings in shares of RingCentral by 14.2% in the fourth quarter. FMR LLC now owns 7,227,409 shares of the software maker’s stock valued at $595,828,000 after purchasing an additional 898,876 shares in the last quarter. Norges Bank acquired a new stake in shares of RingCentral in the fourth quarter valued at approximately $53,247,000. FIL Ltd acquired a new stake in shares of RingCentral in the first quarter valued at approximately $67,944,000. Eagle Asset Management Inc. increased its holdings in shares of RingCentral by 294.0% in the first quarter. Eagle Asset Management Inc. now owns 683,008 shares of the software maker’s stock valued at $73,628,000 after purchasing an additional 509,661 shares in the last quarter. Finally, Victory Capital Management Inc. increased its holdings in shares of RingCentral by 35.7% in the first quarter. Victory Capital Management Inc. now owns 1,929,832 shares of the software maker’s stock valued at $208,036,000 after purchasing an additional 507,225 shares in the last quarter. 81.95% of the stock is owned by institutional investors and hedge funds.

About RingCentral

RingCentral, Inc provides software-as-a-service solutions that enable businesses to communicate, collaborate, and connect primarily in North America. The company's products include RingCentral Office, provides communication and collaboration across various modes, including high-definition voice, video, SMS, messaging and collaboration, conferencing, online meetings, and fax through smartphones, tablets, PCs, and desk phones; RingCentral Professional, a cloud based virtual telephone service for professionals, as well as provides inbound call answering and management services, and includes inbound local, long-distance, and toll-free minutes; and RingCentral Fax that provides online fax capabilities that allow businesses to send and receive fax documents without a fax machine.

Featured Story: The role of implied volatility with call option volume

Get a free copy of the Zacks research report on RingCentral (RNG)

For more information about research offerings from Zacks Investment Research, visit Zacks.com

Earnings History and Estimates for RingCentral (NYSE:RNG)

Receive News & Ratings for RingCentral Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for RingCentral and related companies with MarketBeat.com's FREE daily email newsletter.