Ribbon Communications (NASDAQ:RBBN) Shares Gap Up - Here's Why

Shares of Ribbon Communications Inc. (NASDAQ:RBBN - Get Free Report) gapped up before the market opened on Tuesday . The stock had previously closed at $3.50, but opened at $3.73. Ribbon Communications shares last traded at $4.14, with a volume of 688,767 shares.

Analysts Set New Price Targets

RBBN has been the subject of a number of research analyst reports. Rosenblatt Securities reaffirmed a "buy" rating and issued a $5.50 price target on shares of Ribbon Communications in a report on Wednesday, April 30th. Wall Street Zen downgraded shares of Ribbon Communications from a "buy" rating to a "hold" rating in a research note on Friday, May 2nd. JMP Securities reiterated a "market outperform" rating and set a $6.00 target price on shares of Ribbon Communications in a research report on Thursday, February 13th. Finally, B. Riley lowered their price target on shares of Ribbon Communications from $7.50 to $6.00 and set a "buy" rating for the company in a report on Wednesday, April 30th. One equities research analyst has rated the stock with a hold rating and four have given a buy rating to the company's stock. According to MarketBeat, the stock presently has an average rating of "Moderate Buy" and a consensus price target of $5.88.

Ribbon Communications Stock Performance

The company has a debt-to-equity ratio of 0.84, a quick ratio of 1.16 and a current ratio of 1.42. The company has a market cap of $655.86 million, a price-to-earnings ratio of -11.61 and a beta of 1.31. The firm's 50-day moving average price is $3.50 and its 200 day moving average price is $3.92.

Ribbon Communications (NASDAQ:RBBN - Get Free Report) last released its earnings results on Tuesday, April 29th. The communications equipment provider reported ($0.03) EPS for the quarter, missing analysts' consensus estimates of $0.01 by ($0.04). The business had revenue of $181.28 million for the quarter, compared to analyst estimates of $191.66 million. Ribbon Communications had a positive return on equity of 7.36% and a negative net margin of 6.50%. Ribbon Communications's revenue was up .9% on a year-over-year basis. During the same period in the prior year, the firm posted ($0.01) EPS. On average, sell-side analysts anticipate that Ribbon Communications Inc. will post 0.18 EPS for the current year.

Institutional Trading of Ribbon Communications

A number of hedge funds have recently modified their holdings of RBBN. Strs Ohio bought a new stake in Ribbon Communications in the first quarter valued at approximately $69,000. Jane Street Group LLC increased its position in shares of Ribbon Communications by 436.9% in the 1st quarter. Jane Street Group LLC now owns 101,211 shares of the communications equipment provider's stock valued at $397,000 after buying an additional 82,361 shares in the last quarter. Dynamic Technology Lab Private Ltd acquired a new stake in shares of Ribbon Communications during the first quarter worth about $124,000. Bosun Asset Management LLC bought a new position in shares of Ribbon Communications during the 1st quarter valued at about $476,000. Finally, AQR Capital Management LLC acquired a new position in shares of Ribbon Communications in the 1st quarter valued at approximately $805,000. 70.92% of the stock is currently owned by institutional investors and hedge funds.

Ribbon Communications Company Profile

Ribbon Communications Inc provides communications technology in the United States, Europe, the Middle East, Africa, the Asia Pacific, and internationally. It operates through two segments, Cloud and Edge, and IP Optical Networks. The Cloud and Edge segment provides software and hardware products, solutions, and services for voice over internet protocol communications, voice over long-term evolution, and voice over 5G communications, and unified communications and collaboration.