Contour Asset Management LLC Buys Shares of 1,843,714 Ringcentral, Inc. $RNG

Key Points

• Contour Asset Management LLC acquired 1,843,714 shares of RingCentral, Inc. valued at approximately $45.65 million, making it the 19th largest position in their portfolio.
• RingCentral's latest earnings report showed an EPS of $1.06, beating estimates, alongside revenues of $620.4 million, a 4.6% increase year-over-year.
• The stock is currently trading down 0.7% at $30.49, with a market cap of $2.76 billion and a consensus rating of "Hold" from analysts.

Contour Asset Management LLC acquired a new stake in Ringcentral, Inc. (NYSE:RNG - Free Report) during the 1st quarter, according to its most recent disclosure with the Securities and Exchange Commission. The fund acquired 1,843,714 shares of the software maker's stock, valued at approximately $45,650,000. Ringcentral makes up approximately 1.8% of Contour Asset Management LLC's investment portfolio, making the stock its 19th largest holding. Contour Asset Management LLC owned approximately 2.03% of Ringcentral as of its most recent SEC filing.

A number of other institutional investors have also modified their holdings of RNG. New Age Alpha Advisors LLC acquired a new position in shares of Ringcentral during the 1st quarter valued at $49,000. PNC Financial Services Group Inc. boosted its position in shares of Ringcentral by 26.6% in the first quarter. PNC Financial Services Group Inc. now owns 2,925 shares of the software maker's stock worth $72,000 after buying an additional 615 shares during the period. GAMMA Investing LLC grew its stake in shares of Ringcentral by 1,803.3% in the first quarter. GAMMA Investing LLC now owns 5,843 shares of the software maker's stock valued at $145,000 after buying an additional 5,536 shares in the last quarter. Bayforest Capital Ltd acquired a new stake in shares of Ringcentral in the first quarter valued at about $145,000. Finally, Kayne Anderson Rudnick Investment Management LLC raised its holdings in shares of Ringcentral by 405.0% during the 1st quarter. Kayne Anderson Rudnick Investment Management LLC now owns 7,080 shares of the software maker's stock valued at $175,000 after buying an additional 5,678 shares during the period. Hedge funds and other institutional investors own 98.61% of the company's stock.

Ringcentral Stock Performance

Shares of RNG stock traded up $1.35 during trading hours on Friday, hitting $31.88. 1,789,709 shares of the company were exchanged, compared to its average volume of 1,782,121. The stock has a market capitalization of $2.89 billion, a price-to-earnings ratio of -227.73, a P/E/G ratio of 1.40 and a beta of 1.32. Ringcentral, Inc. has a one year low of $20.58 and a one year high of $42.19. The business's 50-day simple moving average is $28.53 and its two-hundred day simple moving average is $27.06.

Ringcentral (NYSE:RNG - Get Free Report) last announced its quarterly earnings data on Tuesday, August 5th. The software maker reported $1.06 earnings per share for the quarter, beating the consensus estimate of $1.02 by $0.04. Ringcentral had a negative return on equity of 19.63% and a negative net margin of 0.50%.The firm had revenue of $620.40 million during the quarter, compared to analyst estimates of $617.90 million. During the same period in the previous year, the company earned $0.91 earnings per share. Ringcentral's quarterly revenue was up 4.6% on a year-over-year basis. Ringcentral has set its Q3 2025 guidance at 1.060-1.080 EPS. FY 2025 guidance at 4.200-4.320 EPS. As a group, analysts anticipate that Ringcentral, Inc. will post 1.29 EPS for the current fiscal year.

Wall Street Analysts Forecast Growth

A number of equities analysts have weighed in on RNG shares. Rosenblatt Securities restated a "buy" rating and issued a $32.00 price target on shares of Ringcentral in a report on Monday, May 19th. Jefferies Financial Group dropped their price objective on shares of Ringcentral from $30.00 to $29.00 and set a "hold" rating on the stock in a research note on Wednesday, August 6th. Wedbush dropped their price objective on shares of Ringcentral from $38.00 to $30.00 and set a "neutral" rating on the stock in a research note on Friday, May 9th. Wall Street Zen upgraded shares of Ringcentral from a "buy" rating to a "strong-buy" rating in a research note on Saturday, July 5th. Finally, Raymond James Financial dropped their price objective on shares of Ringcentral from $40.00 to $35.00 and set an "outperform" rating on the stock in a research note on Friday, May 9th. Four equities research analysts have rated the stock with a Buy rating, nine have assigned a Hold rating and one has assigned a Sell rating to the stock. According to MarketBeat.com, the company currently has a consensus rating of "Hold" and an average target price of $30.62.

Insider Transactions at Ringcentral

In related news, CFO Vaibhav Agarwal sold 2,443 shares of the business's stock in a transaction dated Monday, August 18th. The shares were sold at an average price of $30.70, for a total transaction of $75,000.10. Following the completion of the sale, the chief financial officer owned 226,448 shares of the company's stock, valued at $6,951,953.60. This represents a 1.07% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, CAO Tarun Arora sold 7,776 shares of the stock in a transaction dated Friday, June 27th. The stock was sold at an average price of $28.00, for a total transaction of $217,728.00. Following the sale, the chief accounting officer owned 114,497 shares in the company, valued at approximately $3,205,916. This trade represents a 6.36% decrease in their position. The disclosure for this sale can be found here. Over the last ninety days, insiders have sold 106,391 shares of company stock valued at $3,095,392. Company insiders own 6.97% of the company's stock.

Ringcentral Profile

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.