RingCentral (NYSE:RNG) Issues Q1 2025 Earnings Guidance

RingCentral (NYSE:RNG) issued an update on its first quarter 2025 earnings guidance on Thursday morning. The company provided EPS guidance of 0.930-0.970 for the period, compared to the consensus EPS estimate of 1.010. The company issued revenue guidance of $607.0 million-$612.0 million, compared to the consensus revenue estimate of $627.5 million. RingCentral also updated its FY 2025 guidance to 4.130-4.270 EPS.

RingCentral Trading Down 6.1 %

RNG opened at $28.90 on Friday. RingCentral has a 52-week low of $26.98 and a 52-week high of $42.19. The company has a 50 day moving average of $34.82 and a two-hundred day moving average of $34.25.

RingCentral (NYSE:RNG) last posted its earnings results on Thursday, February 20th. The software maker reported $0.23 EPS for the quarter, missing analysts’ consensus estimates of $0.96 by ($0.73). RingCentral had a negative return on equity of 12.34% and a negative net margin of 2.43%. The firm had revenue of $614.51 million for the quarter, compared to analyst estimates of $612.37 million. On average, research analysts expect that RingCentral will post 1.29 EPS for the current fiscal year.

Wall Street Analyst Weigh In

A number of analysts have weighed in on RNG shares. Barclays dropped their target price on shares of RingCentral from $37.00 to $31.00 and set an “equal weight” rating on the stock in a report on Friday. Wedbush increased their target price on shares of RingCentral from $36.00 to $41.00 and gave the stock a “neutral” rating in a report on Friday, November 8th. Robert W. Baird increased their target price on shares of RingCentral from $36.00 to $38.00 and gave the stock a “neutral” rating in a report on Monday, November 11th. Rosenblatt Securities lowered their price target on shares of RingCentral from $45.00 to $40.00 and set a “buy” rating for the company in a research report on Friday. Finally, Piper Sandler lowered their price target on shares of RingCentral from $38.00 to $31.00 and set a “neutral” rating for the company in a research report on Friday. One equities research analyst has rated the stock with a sell rating, seven have given a hold rating, five have issued a buy rating and one has assigned a strong buy rating to the company’s stock. Based on data from MarketBeat, the company has an average rating of “Hold” and a consensus price target of $38.15.

Insider Activity

In other news, Director Robert I. Theis sold 1,457 shares of the stock in a transaction that occurred on Wednesday, December 4th. The shares were sold at an average price of $37.79, for a total transaction of $55,060.03. Following the sale, the director now directly owns 28,690 shares of the company’s stock, valued at $1,084,195.10. This represents a 4.83 % decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, Director Ned D. Segal sold 2,914 shares of the stock in a transaction that occurred on Thursday, December 12th. The shares were sold at an average price of $41.60, for a total transaction of $121,222.40. Following the completion of the transaction, the director now owns 10,633 shares in the company, valued at $442,332.80. This represents a 21.51 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last 90 days, insiders sold 13,091 shares of company stock valued at $542,958. Insiders own 6.97% of the company’s stock.

About RingCentral

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.