Hennessy Advisors Inc. Decreases Holdings in Ringcentral, Inc. $RNG

Key Points

• Hennessy Advisors Inc. reduced its stake in RingCentral by 9.9%, holding 1,383,800 shares after selling 152,700 shares in the second quarter.
• Multiple institutional investors have recently increased their holdings in RingCentral, with Parallel Advisors boosting its stake by 256.9% during the same period.
• Analysts have a consensus rating of "Hold" for RingCentral, with an average price target of $31.38, despite mixed ratings from various research firms.

Hennessy Advisors Inc. decreased its position in shares of Ringcentral, Inc. (NYSE:RNG - Free Report) by 9.9% during the 2nd quarter, according to its most recent filing with the Securities and Exchange Commission (SEC). The institutional investor owned 1,383,800 shares of the software maker's stock after selling 152,700 shares during the quarter. Ringcentral accounts for about 1.3% of Hennessy Advisors Inc.'s holdings, making the stock its 18th biggest position. Hennessy Advisors Inc. owned about 1.54% of Ringcentral worth $39,231,000 at the end of the most recent reporting period.

Other institutional investors have also modified their holdings of the company. Parallel Advisors LLC boosted its stake in shares of Ringcentral by 256.9% during the 2nd quarter. Parallel Advisors LLC now owns 1,481 shares of the software maker's stock worth $42,000 after acquiring an additional 1,066 shares in the last quarter. Ameritas Advisory Services LLC purchased a new stake in shares of Ringcentral during the 2nd quarter worth approximately $49,000. New Age Alpha Advisors LLC purchased a new stake in shares of Ringcentral during the 1st quarter worth approximately $49,000. PNC Financial Services Group Inc. boosted its stake in shares of Ringcentral by 26.6% during the 1st quarter. PNC Financial Services Group Inc. now owns 2,925 shares of the software maker's stock worth $72,000 after acquiring an additional 615 shares in the last quarter. Finally, Bayforest Capital Ltd purchased a new stake in shares of Ringcentral during the 1st quarter worth approximately $145,000. Hedge funds and other institutional investors own 98.61% of the company's stock.

Wall Street Analysts Forecast Growth

Several equities research analysts have recently commented on RNG shares. Wells Fargo & Company began coverage on Ringcentral in a research note on Tuesday. They set an "equal weight" rating and a $32.00 price target on the stock. UBS Group cut their price objective on Ringcentral from $33.00 to $32.00 and set a "neutral" rating for the company in a research report on Wednesday, August 6th. Weiss Ratings restated a "sell (d-)" rating on shares of Ringcentral in a research report on Saturday, September 27th. Wall Street Zen upgraded Ringcentral from a "buy" rating to a "strong-buy" rating in a research report on Saturday, July 5th. Finally, KeyCorp began coverage on Ringcentral in a research report on Friday, June 6th. They set a "sector weight" rating for the company. Four investment analysts have rated the stock with a Buy rating, ten have given a Hold rating and one has assigned a Sell rating to the company's stock. Based on data from MarketBeat, Ringcentral presently has a consensus rating of "Hold" and an average price target of $31.38.

Ringcentral Stock Performance

Shares of RNG opened at $28.00 on Friday. The stock has a fifty day moving average of $29.56 and a two-hundred day moving average of $27.40. The company has a market capitalization of $2.53 billion, a PE ratio of -199.95, a price-to-earnings-growth ratio of 1.28 and a beta of 1.32. Ringcentral, Inc. has a fifty-two week low of $20.58 and a fifty-two week high of $42.19.

Ringcentral (NYSE:RNG - Get Free Report) last issued its quarterly earnings results 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. The company had revenue of $620.40 million during the quarter, compared to the consensus estimate 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 was up 4.6% on a year-over-year basis. During the same period in the previous year, the firm posted $0.91 EPS. 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, equities research analysts forecast that Ringcentral, Inc. will post 1.29 earnings per share for the current fiscal year.

Insider Buying and Selling at Ringcentral

In other news, CFO Vaibhav Agarwal sold 2,443 shares of the company's stock in a transaction on Monday, August 18th. The stock was 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 directly owned 226,448 shares in the company, valued at $6,951,953.60. This represents a 1.07% decrease in their position. The transaction was disclosed in a filing with the SEC, which is available at this link. Also, CAO Tarun Arora sold 1,037 shares of the company's stock in a transaction on Tuesday, August 26th. The stock was sold at an average price of $31.09, for a total value of $32,240.33. Following the sale, the chief accounting officer owned 110,626 shares of the company's stock, valued at approximately $3,439,362.34. The trade was a 0.93% decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last three months, insiders sold 77,430 shares of company stock worth $2,291,052. Insiders own 6.97% of the company's stock.

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.

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