J.P. Morgan Reaffirms Their Overweight Rating on RingCentral (RNG)

By George MacDonald

In a report issued on August 4, Sterling Auty from J.P. Morgan reiterated an Overweight rating on RingCentral (NYSE: RNG), with a price target of $375.00. The company’s shares closed last Friday at $269.00.

The word on The Street in general, suggests a Strong Buy analyst consensus rating for RingCentral with a $337.06 average price target, representing a 18.3% upside. In a report issued on July 24, Wolfe Research also initiated coverage with a Buy rating on the stock with a $325.00 price target.

According to TipRanks.com, Auty is a 5-star analyst with an average return of 13.7% and a 62.0% success rate. Auty covers the Technology sector, focusing on stocks such as Zoom Video Communications, CrowdStrike Holdings, and Tenable Holdings.

Based on RingCentral’s latest earnings release for the quarter ending March 31, the company reported a quarterly revenue of $268 million and GAAP net loss of $60.72 million. In comparison, last year the company earned revenue of $215 million and had a GAAP net loss of $9.24 million.

Based on the recent corporate insider activity of 135 insiders, corporate insider sentiment is negative on the stock. This means that over the past quarter there has been an increase of insiders selling their shares of RNG in relation to earlier this year.

RingCentral, Inc. engages in the provision of global enterprise cloud communications and collaboration solutions. The firms solutions provide a single user identity across multiple locations and devices, including smartphones, tablets, PCs and desk phones; and allow for communication across multiple modes, including high-definition voice, video, SMS, messaging and collaboration, conferencing, online meetings and fax. It sells its products under the RingCentral Professional, RingCentral Glip, and RingCentral Fax brands. The company was founded by Vlad Vendrow and Vladimir Shmunis in 1999 and is headquartered in Belmont, CA.