Wedge Capital Management L L P NC Boosts Stake in RingCentral, Inc. $RNG

Key Points

• Wedge Capital Management increased its RingCentral stake by 29.1% in the second quarter, bringing its holdings to 108,784 shares worth approximately $4.24 million. Institutional investors collectively own 98.61% of the company.
• RingCentral beat quarterly expectations with adjusted EPS of $1.22 versus $1.16 expected and revenue of $657.01 million, up 5.9% year over year. The company also raised its quarterly dividend to $0.125 per share, or $0.50 annually.
• Despite buy ratings from several analysts, the stock carries a consensus “Hold” rating and an average price target of $44.40, well below its reported $67.94 price. Insiders have sold 38,628 shares worth $1.66 million over the past three months.

Wedge Capital Management L L P NC increased its holdings in shares of RingCentral, Inc. (NYSE:RNG - Free Report) by 29.1% during the second quarter, according to its most recent filing with the Securities & Exchange Commission. The firm owned 108,784 shares of the software maker's stock after acquiring an additional 24,508 shares during the period. Wedge Capital Management L L P NC owned approximately 0.13% of RingCentral worth $4,240,000 as of its most recent SEC filing.

Several other institutional investors and hedge funds have also recently modified their holdings of RNG. WealthCollab LLC boosted its position in RingCentral by 59.7% during the first quarter. WealthCollab LLC now owns 693 shares of the software maker's stock worth $26,000 after purchasing an additional 259 shares in the last quarter. Meeder Asset Management Inc. increased its position in shares of RingCentral by 127.3% in the first quarter. Meeder Asset Management Inc. now owns 732 shares of the software maker's stock valued at $27,000 after buying an additional 410 shares in the last quarter. EverSource Wealth Advisors LLC increased its position in shares of RingCentral by 269.3% in the fourth quarter. EverSource Wealth Advisors LLC now owns 1,012 shares of the software maker's stock valued at $29,000 after buying an additional 738 shares in the last quarter. Rockefeller Capital Management L.P. raised its stake in shares of RingCentral by 70.5% during the 4th quarter. Rockefeller Capital Management L.P. now owns 1,025 shares of the software maker's stock worth $30,000 after buying an additional 424 shares during the period. Finally, Harvest Fund Management Co. Ltd acquired a new position in shares of RingCentral during the 3rd quarter worth approximately $30,000. Hedge funds and other institutional investors own 98.61% of the company's stock.

RingCentral Price Performance

NYSE RNG opened at $67.94 on Friday. The stock's 50 day simple moving average is $45.02 and its 200-day simple moving average is $40.02. The company has a market cap of $5.67 billion, a PE ratio of 54.35, a price-to-earnings-growth ratio of 1.09 and a beta of 1.10. RingCentral, Inc. has a 1-year low of $24.14 and a 1-year high of $68.45.

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

RingCentral (NYSE:RNG - Get Free Report) last issued its quarterly earnings results on Thursday, July 23rd. The software maker reported $1.22 EPS for the quarter, topping the consensus estimate of $1.16 by $0.06. The firm had revenue of $657.01 million during the quarter, compared to analysts' expectations of $650.53 million. RingCentral had a negative return on equity of 34.49% and a net margin of 4.27%.The firm's revenue for the quarter was up 5.9% on a year-over-year basis. During the same period in the previous year, the business earned $1.06 earnings per share. 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 research analysts anticipate that RingCentral, Inc. will post 2.88 EPS for the current fiscal year.

RingCentral Increases Dividend

The firm also recently announced a quarterly dividend, which will be paid on Thursday, August 20th. Stockholders of record on Thursday, August 6th will be given a $0.125 dividend. This represents a $0.50 dividend on an annualized basis and a dividend yield of 0.7%. This is a positive change from RingCentral's previous quarterly dividend of $0.07. The ex-dividend date is Thursday, August 6th. RingCentral's dividend payout ratio (DPR) is currently 40.00%.

Analyst Ratings Changes

A number of equities research analysts recently issued reports on RNG shares. Needham & Company LLC reissued a "buy" rating on shares of RingCentral in a research note on Monday, July 20th. Oppenheimer restated an "outperform" rating and set a $50.00 price objective on shares of RingCentral in a research report on Friday, May 8th. Weiss Ratings reaffirmed a "hold (c)" rating on shares of RingCentral in a report on Friday, July 17th. Jefferies Financial Group reiterated a "hold" rating and issued a $40.00 target price on shares of RingCentral in a research report on Saturday, May 9th. Finally, Rosenblatt Securities reissued a "buy" rating and set a $50.00 target price on shares of RingCentral in a research note on Friday, July 24th. Three equities research analysts have rated the stock with a Buy rating and eight have given a Hold rating to the company's stock. Based on data from MarketBeat, RingCentral currently has a consensus rating of "Hold" and an average target price of $44.40.

Insiders Place Their Bets

In related news, CAO Tarun Arora sold 3,615 shares of the company's stock in a transaction dated Friday, May 29th. The shares were sold at an average price of $43.00, for a total transaction of $155,445.00. Following the completion of the sale, the chief accounting officer owned 68,100 shares of the company's stock, valued at approximately $2,928,300. This represents a 5.04% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. 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, CFO Vaibhav Agarwal sold 7,047 shares of the stock in a transaction dated Tuesday, June 2nd. The shares were sold at an average price of $46.17, for a total transaction of $325,359.99. Following the completion of the sale, the chief financial officer owned 169,282 shares of the company's stock, valued at approximately $7,815,749.94. The trade was a 4.00% 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. Over the last three months, insiders sold 38,628 shares of company stock valued at $1,656,201. Corporate insiders own 7.30% of the company's stock.

About RingCentral

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.

Want to see what other hedge funds are holding RNG? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for RingCentral, Inc. (NYSE:RNG - Free Report).

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

Continue following MarketBeat

Add MarketBeat as your preferred source on Google to see our latest stories in your feed.

Add As Preferred Source