Contour Asset Management LLC Takes Position in 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 bought a new position in shares of Ringcentral, Inc. (NYSE:RNG - Free Report) during the 1st quarter, according to its most recent 13F filing with the Securities and Exchange Commission. The fund bought 1,843,714 shares of the software maker's stock, valued at approximately $45,650,000. Ringcentral comprises about 1.8% of Contour Asset Management LLC's investment portfolio, making the stock its 19th largest holding. Contour Asset Management LLC owned 2.03% of Ringcentral as of its most recent SEC filing.

Other institutional investors and hedge funds have also made changes to their positions in the company. Allspring Global Investments Holdings LLC boosted its holdings in shares of Ringcentral by 13.9% during the 1st quarter. Allspring Global Investments Holdings LLC now owns 12,966 shares of the software maker's stock worth $321,000 after purchasing an additional 1,586 shares during the last quarter. Cambridge Investment Research Advisors Inc. lifted its holdings in Ringcentral by 116.9% in the first quarter. Cambridge Investment Research Advisors Inc. now owns 44,524 shares of the software maker's stock valued at $1,102,000 after acquiring an additional 23,997 shares during the last quarter. Northern Trust Corp lifted its holdings in Ringcentral by 2.3% in the fourth quarter. Northern Trust Corp now owns 529,746 shares of the software maker's stock valued at $18,546,000 after acquiring an additional 11,911 shares during the last quarter. Wealth Enhancement Advisory Services LLC acquired a new position in Ringcentral in the fourth quarter valued at approximately $545,000. Finally, Robeco Institutional Asset Management B.V. lifted its holdings in Ringcentral by 57.2% in the first quarter. Robeco Institutional Asset Management B.V. now owns 9,924 shares of the software maker's stock valued at $246,000 after acquiring an additional 3,611 shares during the last quarter. 98.61% of the stock is currently owned by institutional investors and hedge funds.

Insider Buying and Selling

In related news, COO Kira Makagon sold 21,185 shares of the firm's stock in a transaction dated Friday, June 27th. The stock was sold at an average price of $27.69, for a total transaction of $586,612.65. Following the transaction, the chief operating officer owned 413,131 shares of the company's stock, valued at $11,439,597.39. This trade represents a 4.88% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available through this link. Also, CFO Vaibhav Agarwal sold 2,443 shares of Ringcentral stock in a transaction that occurred on Monday, August 18th. The shares were sold at an average price of $30.70, for a total value of $75,000.10. Following the completion of the sale, the chief financial officer directly owned 226,448 shares in the company, valued at $6,951,953.60. This represents a 1.07% decrease in their position. The disclosure for this sale can be found here. In the last ninety days, insiders sold 106,391 shares of company stock worth $3,095,392. Corporate insiders own 6.97% of the company's stock.

Wall Street Analysts Forecast Growth

A number of research firms recently commented on RNG. Mizuho upped their price objective on Ringcentral from $25.00 to $27.00 and gave the company a "neutral" rating in a report on Monday, May 12th. UBS Group decreased their price target on Ringcentral from $33.00 to $32.00 and set a "neutral" rating on the stock in a research note on Wednesday, August 6th. Wall Street Zen upgraded Ringcentral from a "buy" rating to a "strong-buy" rating in a research note on Saturday, July 5th. KeyCorp initiated coverage on Ringcentral in a research note on Friday, June 6th. They set a "sector weight" rating on the stock. Finally, Rosenblatt Securities restated a "buy" rating and set a $32.00 price target on shares of Ringcentral in a research note on Monday, May 19th. 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 data from MarketBeat, the company has an average rating of "Hold" and an average target price of $30.62.

Ringcentral Stock Performance

Shares of Ringcentral stock traded up $1.35 during trading hours on Friday, reaching $31.88. 1,789,709 shares of the company were exchanged, compared to its average volume of 1,762,515. Ringcentral, Inc. has a 1 year low of $20.58 and a 1 year high of $42.19. The stock's fifty day moving average is $28.53 and its 200 day moving average is $27.01. The firm has a market cap of $2.89 billion, a PE ratio of -227.73, a PEG ratio of 1.47 and a beta of 1.32.

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

Ringcentral Company 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.