The stock of RingCentral Inc. (NYSE: RNG) has decreased by -1.61 when compared to last closing price of 29.73. Despite this, the company has experienced a -9.69% fall in its stock price over the last five trading sessions. InvestorPlace reported 2024-04-13 that Artificial intelligence (AI) is now the top buzzword in the investment space. Companies dabbling in this new technology are getting a lot of attention — others might say undeserved attention (for some stocks at least), but that’s a discussion for another day.
Is It Worth Investing in RingCentral Inc. (NYSE: RNG) Right Now?
Moreover, the 36-month beta value for RNG is 0.94. Analysts have varying opinions on the stock, with 5 analysts rating it as a “buy,” 7 as “overweight,” 3 as “hold,” and 0 as “sell.”
The public float for RNG is 79.94M and currently, short sellers hold a 4.81% of that float. On April 19, 2024, RNG’s average trading volume was 1.16M shares.
RNG’s Market Performance
RNG’s stock has seen a -9.69% decrease for the week, with a -17.47% drop in the past month and a -12.69% fall in the past quarter. The volatility ratio for the week is 3.48%, and the volatility levels for the past 30 days are at 3.05% for RingCentral Inc. The simple moving average for the past 20 days is -12.10% for RNG’s stock, with a -9.26% simple moving average for the past 200 days.
Analysts’ Opinion of RNG
Many brokerage firms have already submitted their reports for RNG stocks, with Wells Fargo repeating the rating for RNG by listing it as a “Equal Weight.” The predicted price for RNG in the upcoming period, according to Wells Fargo is $36 based on the research report published on December 20, 2023 of the previous year 2023.
Jefferies, on the other hand, stated in their research note that they expect to see RNG reach a price target of $35, previously predicting the price at $40. The rating they have provided for RNG stocks is “Hold” according to the report published on December 12th, 2023.
Rosenblatt gave a rating of “Neutral” to RNG, setting the target price at $35 in the report published on October 23rd of the previous year.
RNG Trading at -12.14% from the 50-Day Moving Average
After a stumble in the market that brought RNG to its low price for the period of the last 52 weeks, the company was unable to rebound, for now settling with -32.42% of loss for the given period.
Volatility was left at 3.05%, however, over the last 30 days, the volatility rate increased by 3.48%, as shares sank -19.06% for the moving average over the last 20 days. Over the last 50 days, in opposition, the stock is trading -12.35% lower at present.
During the last 5 trading sessions, RNG fell by -9.69%, which changed the moving average for the period of 200-days by -13.10% in comparison to the 20-day moving average, which settled at $32.93. In addition, RingCentral Inc. saw -13.84% in overturn over a single year, with a tendency to cut further losses.
Insider Trading
Reports are indicating that there were more than several insider trading activities at RNG starting from Agarwal Vaibhav, who sale 1,984 shares at the price of $34.55 back on Apr 01 ’24. After this action, Agarwal Vaibhav now owns 114,656 shares of RingCentral Inc., valued at $68,539 using the latest closing price.
Agarwal Vaibhav, the DEPUTY CHIEF FINANCIAL OFFICER of RingCentral Inc., sale 14,113 shares at $34.84 during a trade that took place back on Mar 15 ’24, which means that Agarwal Vaibhav is holding 116,640 shares at $491,655 based on the most recent closing price.
Stock Fundamentals for RNG
Current profitability levels for the company are sitting at:
- -0.09 for the present operating margin
- 0.7 for the gross margin
The net margin for RingCentral Inc. stands at -0.08. The total capital return value is set at -0.15.
Based on RingCentral Inc. (RNG), the company’s capital structure generated 1.4 points at debt to capital in total, while cash flow to debt ratio is standing at 0.23. The debt to equity ratio resting at -3.51. The interest coverage ratio of the stock is -64.74.
Currently, EBITDA for the company is 75.97 million with net debt to EBITDA at 41.88. When we switch over and look at the enterprise to sales, we see a ratio of 1.94. The receivables turnover for the company is 6.04for trailing twelve months and the total asset turnover is 1.13. The liquidity ratio also appears to be rather interesting for investors as it stands at 1.05.
Conclusion
To wrap up, the performance of RingCentral Inc. (RNG) has been bad in recent times. The stock has received a bullish of “buy” and “hold” ratings from analysts. It’s important to note that the stock is currently trading at a significant distance from its 50-day moving average and its 52-week high.
