VestGen Advisors LLC Makes New Investment in RingCentral, Inc. $RNG

Key Points

• VestGen Advisors purchased 39,900 RingCentral shares worth approximately $2.98 million in the third quarter. Institutional investors collectively own 98.61% of the company.
• Analysts have a consensus “Hold” rating with an average price target of $93.92, while individual targets range from $75 to $105.
• RingCentral exceeded quarterly expectations, reporting $1.33 in EPS and $676.04 million in revenue, with revenue up 5.8% year over year. Executives also sold shares under pre-arranged trading plans, and the company declared a quarterly dividend of $0.125 per share.

VestGen Advisors LLC purchased a new stake in shares of RingCentral, Inc. (NYSE:RNG - Free Report) in the third quarter, according to the company in its most recent disclosure with the SEC. The institutional investor purchased 39,900 shares of the software maker's stock, valued at approximately $2,981,000.

Several other hedge funds have also recently modified their holdings of RNG. Quantinno Capital Management LP boosted its holdings in RingCentral by 150.4% in the first quarter. Quantinno Capital Management LP now owns 1,976,995 shares of the software maker's stock valued at $73,524,000 after purchasing an additional 1,187,437 shares during the last quarter. Principal Financial Group Inc. purchased a new position in RingCentral in the first quarter valued at $13,719,000. Insight Wealth Strategies LLC purchased a new stake in RingCentral during the second quarter worth $6,636,000. Corient Private Wealth LP boosted its position in shares of RingCentral by 144.3% in the 2nd quarter. Corient Private Wealth LP now owns 250,095 shares of the software maker's stock worth $9,749,000 after buying an additional 147,710 shares in the last quarter. Finally, Janus Henderson Group PLC grew its stake in RingCentral by 412.7% in the 1st quarter. Janus Henderson Group PLC now owns 177,966 shares of the software maker's stock valued at $6,620,000 after acquiring an additional 143,254 shares during the last quarter. Hedge funds and other institutional investors own 98.61% of the company's stock.

Wall Street Analysts Forecast Growth

A number of analysts have recently issued reports on RNG shares. Evercore set a $90.00 price objective on shares of RingCentral in a research note on Friday, October 23rd. Jefferies Financial Group upped their target price on RingCentral from $40.00 to $75.00 and gave the company a "hold" rating in a report on Friday, October 23rd. Weiss Ratings upgraded shares of RingCentral from a "buy (b-)" rating to a "buy (b)" rating in a report on Monday. Piper Sandler boosted their price target on shares of RingCentral from $43.00 to $94.00 and gave the company a "neutral" rating in a report on Friday, October 23rd. Finally, FBN Securities reaffirmed an "outperform" rating and set a $105.00 price objective on shares of RingCentral in a research note on Friday, October 23rd. Six analysts have rated the stock with a Buy rating and eight have issued a Hold rating to the stock. According to data from MarketBeat.com, RingCentral currently has an average rating of "Hold" and an average target price of $93.92.

Insider Transactions at RingCentral

In other news, CAO Tarun Arora sold 4,172 shares of the business's stock in a transaction dated Wednesday, September 9th. The stock was sold at an average price of $70.36, for a total value of $293,541.92. Following the transaction, the chief accounting officer directly owned 65,692 shares of the company's stock, valued at $4,622,089.12. The trade was a 5.97% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO Vaibhav Agarwal sold 7,046 shares of the firm's stock in a transaction that occurred on Wednesday, September 2nd. The stock was sold at an average price of $72.10, for a total value of $508,016.60. Following the sale, the chief financial officer directly owned 146,700 shares of the company's stock, valued at $10,577,070. This represents a 4.58% decrease in their position. The disclosure for this sale is available in the SEC filing. 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. In the last 90 days, insiders sold 84,625 shares of company stock worth $6,024,953. Corporate insiders own 7.30% of the company's stock.

RingCentral Stock Performance

• It's RingCentral NYSE: RNG You Want In Your 2021 Portfolio, Not Zoom NASDAQ: ZM

RingCentral stock opened at $83.64 on Friday. The firm has a market cap of $6.99 billion, a price-to-earnings ratio of 11.06, a PEG ratio of 1.46 and a beta of 1.10. RingCentral, Inc. has a 52-week low of $24.14 and a 52-week high of $98.14. The firm has a 50 day moving average price of $75.48 and a two-hundred day moving average price of $48.88.

RingCentral (NYSE:RNG - Get Free Report) last posted its quarterly earnings data on Thursday, October 22nd. The software maker reported $1.33 EPS for the quarter, beating analysts' consensus estimates of $1.28 by $0.05. RingCentral had a net margin of 25.27% and a negative return on equity of 50.15%. The company had revenue of $676.04 million for the quarter, compared to analyst estimates of $667.30 million. During the same period in the prior year, the firm posted $1.13 EPS. The company's quarterly revenue was up 5.8% on a year-over-year basis. As a group, equities research analysts predict that RingCentral, Inc. will post 2.96 EPS for the current fiscal year.

RingCentral Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Friday, November 20th. Shareholders of record on Friday, November 6th will be issued a dividend of $0.1250 per share. This represents a $0.50 dividend on an annualized basis and a yield of 0.6%. The ex-dividend date is Friday, November 6th. RingCentral's dividend payout ratio (DPR) is presently 6.61%.

About RingCentral

RingCentral, Inc is a provider of cloud-based business communications and collaboration solutions. Its platform enables organizations to manage business phone services, team messaging, video meetings, contact center operations and other communications through internet-based applications rather than traditional on-premises systems.

The company's offerings include RingEX, a unified communications platform that combines voice, messaging and video; RingCentral Video for online meetings and collaboration; and RingCX, a cloud contact center solution.

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