Royal Bank of Canada Reduces Position in RingCentral, Inc. $RNG

Royal Bank of Canada decreased its position in shares of RingCentral, Inc. (NYSE:RNG) by 13.3% during the 1st quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The firm owned 92,125 shares of the software maker’s stock after selling 14,117 shares during the period. Royal Bank of Canada owned 0.11% of RingCentral worth $3,427,000 as of its most recent SEC filing.

Other large investors have also modified their holdings of the company. The Manufacturers Life Insurance Company grew its position in shares of RingCentral by 10.0% during the first quarter. The Manufacturers Life Insurance Company now owns 13,750 shares of the software maker’s stock worth $511,000 after acquiring an additional 1,246 shares during the last quarter. Quantinno Capital Management LP boosted its stake in RingCentral by 150.4% during the 1st quarter. Quantinno Capital Management LP now owns 1,976,995 shares of the software maker’s stock worth $73,524,000 after purchasing an additional 1,187,437 shares during the period. Compound Planning Inc. purchased a new position in RingCentral during the 1st quarter worth $237,000. Bank of Nova Scotia acquired a new position in RingCentral in the first quarter valued at $412,000. Finally, WealthCollab LLC raised its holdings in shares of RingCentral by 59.7% in the first quarter. WealthCollab LLC now owns 693 shares of the software maker’s stock valued at $26,000 after buying an additional 259 shares during the last quarter. 98.61% of the stock is owned by institutional investors and hedge funds.

Wall Street Analyst Weigh In

A number of equities analysts recently issued reports on RNG shares. Oppenheimer reissued an “outperform” rating and set a $50.00 price target on shares of RingCentral in a report on Friday, May 8th. Wells Fargo & Company lifted their target price on RingCentral from $32.00 to $43.00 and gave the company an “equal weight” rating in a research note on Friday, May 8th. Weiss Ratings restated a “hold (c)” rating on shares of RingCentral in a research note on Friday, July 17th. Morgan Stanley increased their price target on RingCentral from $33.00 to $40.00 and gave the stock an “equal weight” rating in a report on Monday, May 11th. Finally, Mizuho boosted their price objective on shares of RingCentral from $38.00 to $40.00 and gave the company a “neutral” rating in a research note on Friday, July 24th. Three analysts have rated the stock with a Buy rating and eight have given a Hold rating to the stock. According to MarketBeat, the company currently has an average rating of “Hold” and an average target price of $44.40.

RingCentral Trading Down 5.2%

Shares of RNG stock opened at $64.27 on Friday. The stock has a 50 day simple moving average of $45.46 and a 200-day simple moving average of $40.19. The company has a market cap of $5.37 billion, a price-to-earnings ratio of 51.42, a price-to-earnings-growth ratio of 1.18 and a beta of 1.10. RingCentral, Inc. has a 12-month low of $24.14 and a 12-month high of $68.45.

RingCentral (NYSE:RNG) last announced its quarterly earnings data on Thursday, July 23rd. The software maker reported $1.22 earnings per share for the quarter, topping analysts’ consensus estimates of $1.16 by $0.06. RingCentral had a negative return on equity of 34.49% and a net margin of 4.27%.The firm had revenue of $657.01 million for the quarter, compared to analyst estimates of $650.53 million. During the same quarter in the prior year, the company posted $1.06 earnings per share. RingCentral’s quarterly revenue was up 5.9% on a year-over-year basis. RingCentral has set its FY 2026 guidance at 4.960-5.100 EPS and its Q3 2026 guidance at 1.250-1.300 EPS. On average, equities analysts forecast that RingCentral, Inc. will post 2.88 earnings per share for the current fiscal year.

RingCentral Increases Dividend

The company also recently declared a quarterly dividend, which will be paid on Thursday, August 20th. Stockholders of record on Thursday, August 6th will be paid a dividend of $0.125 per share. This is a positive change from RingCentral’s previous quarterly dividend of $0.07. The ex-dividend date of this dividend is Thursday, August 6th. This represents a $0.50 annualized dividend and a dividend yield of 0.8%. RingCentral’s dividend payout ratio is presently 40.00%.

Insider Buying and Selling at RingCentral

In related news, CFO Vaibhav Agarwal sold 7,047 shares of the company’s stock in a transaction that occurred on Tuesday, June 2nd. The stock was sold at an average price of $46.17, for a total value of $325,359.99. Following the sale, the chief financial officer owned 169,282 shares in the company, valued at $7,815,749.94. This represents a 4.00% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, Director Robert I. Theis sold 2,530 shares of the firm’s stock in a transaction that occurred on Thursday, July 2nd. The shares were sold at an average price of $40.28, for a total value of $101,908.40. Following the completion of the transaction, the director directly owned 30,834 shares of the company’s stock, valued at $1,241,993.52. The trade was a 7.58% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last three months, insiders have sold 38,628 shares of company stock worth $1,656,201. Corporate insiders own 7.30% of the company’s stock.

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.