RingCentral (RNG)
Market Price (11/9/2026): $72.055 | Market Cap: $6.0 BilSector: Information Technology | Industry: Application Software
RingCentral (RNG)
Market Price (11/9/2026): $72.055Market Cap: $6.0 BilSector: Information TechnologyIndustry: Application Software
Investment Highlights Why It Matters Detailed financial logic regarding cash flow yields vs trend-riding momentum.
Attractive yieldTotal YieldTotal Yield = Earnings Yield + Dividend Yield, Earnings Yield = Net Income / Market Cap Dividend Yield = Total Dividends / Market Cap is 11%, ERPEquity Risk Premium (ERP) = Total Yield - Risk Free Rate, Reflects the premium above risk free assets offered by the investment. is 5.8%, FCF Yield is 10.0% Attractive cash flow generationCFO/Rev LTMCash Flow from Operations / Revenue (Sales), Last Twelve Months (LTM) is 27%, FCF/Rev LTMFree Cash Flow / Revenue (Sales), Last Twelve Months (LTM) is 23% Megatrend and thematic driversMegatrends include Cloud Computing, and Future of Work. Themes include Software as a Service (SaaS), Unified Communications as a Service (UCaaS), Show more. | Stock price has recently run up significantly12M Rtn12 month market price return is 170% Valuation getting more expensiveP/S 6M Chg %Price/Sales change over 6 months. Declining P/S indicates valuation has become less expensive. is 82% Key risksRNG key risks include [1] a weak competitive moat, Show more. |
| Attractive yieldTotal YieldTotal Yield = Earnings Yield + Dividend Yield, Earnings Yield = Net Income / Market Cap Dividend Yield = Total Dividends / Market Cap is 11%, ERPEquity Risk Premium (ERP) = Total Yield - Risk Free Rate, Reflects the premium above risk free assets offered by the investment. is 5.8%, FCF Yield is 10.0% |
| Attractive cash flow generationCFO/Rev LTMCash Flow from Operations / Revenue (Sales), Last Twelve Months (LTM) is 27%, FCF/Rev LTMFree Cash Flow / Revenue (Sales), Last Twelve Months (LTM) is 23% |
| Megatrend and thematic driversMegatrends include Cloud Computing, and Future of Work. Themes include Software as a Service (SaaS), Unified Communications as a Service (UCaaS), Show more. |
| Stock price has recently run up significantly12M Rtn12 month market price return is 170% |
| Valuation getting more expensiveP/S 6M Chg %Price/Sales change over 6 months. Declining P/S indicates valuation has become less expensive. is 82% |
| Key risksRNG key risks include [1] a weak competitive moat, Show more. |
Qualitative Assessment
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RingCentral (RNG) stock has gained about 30% since 7/31/2026 because of the following key factors:
1. Strong Fiscal Q3 2026 Financial Performance and Upgraded Full-Year Guidance. RingCentral reported robust financial results for its fiscal Q3 2026, which ended September 30, 2026. The company exceeded analyst expectations with non-GAAP earnings per share (EPS) of $1.33 against an estimated $1.28, and revenue of $676 million, surpassing the $667 million consensus. This performance was accompanied by a record GAAP operating margin of 8.0% and a non-GAAP operating margin of 24.7%. Following these results, management raised its full-year fiscal 2026 outlook across revenue, non-GAAP margins, and free cash flow.
2. Accelerated AI Product Adoption and Monetization. A significant driver of growth was the rapid adoption and monetization of RingCentral's AI-powered products. Annual Recurring Revenue (ARR) from customers utilizing a native paid AI product doubled year-over-year, now approaching 15% of total ARR, exceeding $400 million. Specific AI product highlights include the AI Receptionist (AIR), which saw its customer base nearly quadruple year-over-year to over 22,000, and the AI Conversation Expert (ACE), which grew its customer count by 60% year-over-year to almost 7,000. The company also introduced new AI capabilities for RingCX in October 2026, enabling unified management of AI and human agents.
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RingCentral (RNG) stock has gained about 30% since 7/31/2026 because of the following key factors:
1. Strong Fiscal Q3 2026 Financial Performance and Upgraded Full-Year Guidance. RingCentral reported robust financial results for its fiscal Q3 2026, which ended September 30, 2026. The company exceeded analyst expectations with non-GAAP earnings per share (EPS) of $1.33 against an estimated $1.28, and revenue of $676 million, surpassing the $667 million consensus. This performance was accompanied by a record GAAP operating margin of 8.0% and a non-GAAP operating margin of 24.7%. Following these results, management raised its full-year fiscal 2026 outlook across revenue, non-GAAP margins, and free cash flow.
2. Accelerated AI Product Adoption and Monetization. A significant driver of growth was the rapid adoption and monetization of RingCentral's AI-powered products. Annual Recurring Revenue (ARR) from customers utilizing a native paid AI product doubled year-over-year, now approaching 15% of total ARR, exceeding $400 million. Specific AI product highlights include the AI Receptionist (AIR), which saw its customer base nearly quadruple year-over-year to over 22,000, and the AI Conversation Expert (ACE), which grew its customer count by 60% year-over-year to almost 7,000. The company also introduced new AI capabilities for RingCX in October 2026, enabling unified management of AI and human agents.
3. Enhanced Financial Health and Shareholder Returns. RingCentral strengthened its balance sheet by reducing its gross debt to below $1 billion ahead of schedule. Concurrently, the company continued its commitment to shareholder returns, repurchasing approximately $18 million in shares during fiscal Q3 2026. This follows a prior increase in the quarterly cash dividend by approximately 67% to $0.125 per share, announced with the fiscal Q2 2026 results on July 23, 2026.
4. Strategic Partnerships and Product Innovation. The period since July 31, 2026, saw RingCentral forging new strategic partnerships and introducing product innovations. Notably, the company partnered with Digital Island in New Zealand (August 2026) and Allnet.Italia in Italy (October 2026) to expand the reach of its AI-first cloud communication solutions. Furthermore, RingCentral expanded its decade-long partnership with the Golden State Warriors in October 2026, naming it the official Agentic AI Powered Voice Platform for fan engagement.
5. Positive Analyst Sentiment and Substantial Price Target Upgrades. Following the strong fiscal Q3 2026 results and optimistic outlook, several financial analysts significantly raised their price targets for RingCentral. For instance, Morgan Stanley more than doubled its price target to $91 from $41, Piper Sandler hiked its target to $94 from $43, and RBC Capital Markets increased its target to $105 from $85. Needham also raised its price target from $85 to $110, citing strong AI adoption and new customer wins.
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Stock Movement Drivers
Fundamental Drivers
The 30.1% change in RNG stock from 7/31/2026 to 11/8/2026 was primarily driven by a 492.2% change in the company's Net Income Margin (%).| (LTM values as of) | 7312026 | 11082026 | Change |
|---|---|---|---|
| Stock Price ($) | 55.41 | 72.07 | 30.1% |
| Change Contribution By: | |||
| Total Revenues ($ Mil) | 2,584 | 2,621 | 1.4% |
| Net Income Margin (%) | 4.3% | 25.3% | 492.2% |
| P/E Multiple | 42.2 | 9.1 | -78.4% |
| Shares Outstanding (Mil) | 84 | 84 | 0.2% |
| Cumulative Contribution | 30.1% |
Market Drivers
7/31/2026 to 11/8/2026| Return | Correlation | |
|---|---|---|
| RNG | 30.1% | |
| Market (SPY) | -1.6% | 50.4% |
| Sector (XLK) | -6.1% | 46.0% |
Fundamental Drivers
The 80.1% change in RNG stock from 4/30/2026 to 11/8/2026 was primarily driven by a 1364.8% change in the company's Net Income Margin (%).| (LTM values as of) | 4302026 | 11082026 | Change |
|---|---|---|---|
| Stock Price ($) | 40.01 | 72.07 | 80.1% |
| Change Contribution By: | |||
| Total Revenues ($ Mil) | 2,515 | 2,621 | 4.2% |
| Net Income Margin (%) | 1.7% | 25.3% | 1364.8% |
| P/E Multiple | 79.4 | 9.1 | -88.5% |
| Shares Outstanding (Mil) | 86 | 84 | 2.6% |
| Cumulative Contribution | 80.1% |
Market Drivers
4/30/2026 to 11/8/2026| Return | Correlation | |
|---|---|---|
| RNG | 80.1% | |
| Market (SPY) | 2.6% | 18.2% |
| Sector (XLK) | 3.4% | 8.1% |
Fundamental Drivers
The 141.0% change in RNG stock from 10/31/2025 to 11/8/2026 was primarily driven by a 108.7% change in the company's P/S Multiple.| (LTM values as of) | 10312025 | 11082026 | Change |
|---|---|---|---|
| Stock Price ($) | 29.91 | 72.07 | 141.0% |
| Change Contribution By: | |||
| Total Revenues ($ Mil) | 2,456 | 2,621 | 6.7% |
| P/S Multiple | 1.1 | 2.3 | 108.7% |
| Shares Outstanding (Mil) | 91 | 84 | 8.2% |
| Cumulative Contribution | 141.0% |
Market Drivers
10/31/2025 to 11/8/2026| Return | Correlation | |
|---|---|---|
| RNG | 141.0% | |
| Market (SPY) | 8.7% | 21.9% |
| Sector (XLK) | 10.0% | 14.4% |
Fundamental Drivers
The 173.1% change in RNG stock from 10/31/2023 to 11/8/2026 was primarily driven by a 93.0% change in the company's P/S Multiple.| (LTM values as of) | 10312023 | 11082026 | Change |
|---|---|---|---|
| Stock Price ($) | 26.39 | 72.07 | 173.1% |
| Change Contribution By: | |||
| Total Revenues ($ Mil) | 2,107 | 2,621 | 24.4% |
| P/S Multiple | 1.2 | 2.3 | 93.0% |
| Shares Outstanding (Mil) | 95 | 84 | 13.7% |
| Cumulative Contribution | 173.1% |
Market Drivers
10/31/2023 to 11/8/2026| Return | Correlation | |
|---|---|---|
| RNG | 173.1% | |
| Market (SPY) | 81.9% | 34.8% |
| Sector (XLK) | 104.5% | 27.4% |
Price Returns Compared
| 2021 | 2022 | 2023 | 2024 | 2025 | 2026 | Total [1] | |
|---|---|---|---|---|---|---|---|
| Returns | |||||||
| RNG Return | -51% | -81% | -4% | 3% | -18% | 151% | -81% |
| Peers Return | -4% | -48% | 15% | -6% | -4% | 17% | -39% |
| S&P 500 Return | 27% | -19% | 24% | 23% | 16% | 12% | 105% |
Monthly Win Rates [3] | |||||||
| RNG Win Rate | 33% | 8% | 42% | 42% | 50% | 73% | |
| Peers Win Rate | 52% | 30% | 58% | 52% | 53% | 53% | |
| S&P 500 Win Rate | 75% | 42% | 67% | 75% | 67% | 45% | |
Max Drawdowns [4] | |||||||
| RNG Max Drawdown | -60% | -85% | -48% | -29% | -42% | -29% | |
| Peers Max Drawdown | -35% | -57% | -33% | -35% | -35% | -31% | |
| S&P 500 Max Drawdown | -5% | -25% | -10% | -8% | -19% | -9% | |
[1] Cumulative total returns since the beginning of 2021
[2] Peers: MSFT, ZM, CSCO, FIVN, EGHT. See RNG Returns vs. Peers.
[3] Win Rate = % of calendar months in which monthly returns were positive
[4] Max drawdown represents maximum peak-to-trough decline within a year
[5] 2026 data is for the year up to 11/6/2026 (YTD)
How Low Can It Go
| Event | RNG | S&P 500 |
|---|---|---|
| 2025 US Tariff Shock | ||
| % Loss | -32.2% | -18.8% |
| % Gain to Breakeven | 47.6% | 23.1% |
| Time to Breakeven | 150 days | 79 days |
| Summer-Fall 2023 Five Percent Yield Shock | ||
| % Loss | -35.6% | -9.5% |
| % Gain to Breakeven | 55.3% | 10.5% |
| Time to Breakeven | 404 days | 24 days |
| 2023 SVB Regional Banking Crisis | ||
| % Loss | -41.5% | -6.7% |
| % Gain to Breakeven | 71.0% | 7.1% |
| Time to Breakeven | 1093 days | 31 days |
| 2020 COVID-19 Crash | ||
| % Loss | -44.1% | -33.7% |
| % Gain to Breakeven | 79.0% | 50.9% |
| Time to Breakeven | 35 days | 140 days |
| Q4 2018 Fed Policy Error / Growth Scare | ||
| % Loss | -21.9% | -19.2% |
| % Gain to Breakeven | 28.0% | 23.8% |
| Time to Breakeven | 50 days | 105 days |
| 2016-2017 Trump Reflation Bond Selloff | ||
| % Loss | -16.8% | -3.7% |
| % Gain to Breakeven | 20.2% | 3.9% |
| Time to Breakeven | 13 days | 6 days |
In The Past
RingCentral's stock fell -32.2% during the 2025 US Tariff Shock. Such a loss loss requires a 47.6% gain to breakeven.
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| Event | RNG | S&P 500 |
|---|---|---|
| 2025 US Tariff Shock | ||
| % Loss | -32.2% | -18.8% |
| % Gain to Breakeven | 47.6% | 23.1% |
| Time to Breakeven | 150 days | 79 days |
| Summer-Fall 2023 Five Percent Yield Shock | ||
| % Loss | -35.6% | -9.5% |
| % Gain to Breakeven | 55.3% | 10.5% |
| Time to Breakeven | 404 days | 24 days |
| 2023 SVB Regional Banking Crisis | ||
| % Loss | -41.5% | -6.7% |
| % Gain to Breakeven | 71.0% | 7.1% |
| Time to Breakeven | 1093 days | 31 days |
| 2020 COVID-19 Crash | ||
| % Loss | -44.1% | -33.7% |
| % Gain to Breakeven | 79.0% | 50.9% |
| Time to Breakeven | 35 days | 140 days |
| Q4 2018 Fed Policy Error / Growth Scare | ||
| % Loss | -21.9% | -19.2% |
| % Gain to Breakeven | 28.0% | 23.8% |
| Time to Breakeven | 50 days | 105 days |
| 2015-2016 China Devaluation / Global Growth Scare | ||
| % Loss | -25.2% | -12.2% |
| % Gain to Breakeven | 33.8% | 13.9% |
| Time to Breakeven | 88 days | 62 days |
| 2014-2016 Oil Price Collapse | ||
| % Loss | -24.3% | -6.8% |
| % Gain to Breakeven | 32.1% | 7.3% |
| Time to Breakeven | 59 days | 15 days |
| 2013 Taper Tantrum | ||
| % Loss | -22.5% | -0.2% |
| % Gain to Breakeven | 29.0% | 0.2% |
| Time to Breakeven | 413 days | 1 days |
In The Past
RingCentral's stock fell -32.2% during the 2025 US Tariff Shock. Such a loss loss requires a 47.6% gain to breakeven.
Preserve Wealth
Limiting losses and compounding gains is essential to preserving wealth.
Asset Allocation
Actively managed asset allocation strategies protect wealth. Learn more.
About RingCentral (RNG)
RingCentral, Inc. (RNG) is a leading provider of software-as-a-service (SaaS) solutions, enabling businesses to communicate, collaborate, and connect effectively through the cloud. The company's core offering is built upon its Message Video Phone (MVP) platform, providing comprehensive cloud communications and contact center solutions designed to replace traditional on-premise systems. Essentially, RingCentral helps businesses streamline all their communication needs, from internal team collaboration to external customer engagement, through a unified cloud-based system.
The company's product portfolio is extensive, with its flagship being RingCentral Office, a unified communications as a service (UCaaS) solution that integrates high-definition voice, video conferencing, SMS, team messaging, and online meetings. Beyond UCaaS, RingCentral offers specialized solutions such as RingCentral Contact Center for managing customer interactions across multiple channels, and RingCentral Engage Digital and Engage Voice platforms for advanced customer engagement. Additionally, its offerings include RingCentral Video for dedicated video meetings and team messaging, and services like RingCentral Professional for virtual telephone management and RingCentral Fax for online faxing.
RingCentral serves a diverse range of industries, including financial services, education, healthcare, legal services, retail, technology, and various government sectors, catering to the communication needs of businesses of all sizes. The company reaches its customers through a multi-faceted sales approach, utilizing direct sales representatives alongside a strong network of sales agents, resellers, and channel partners. Strategic partnerships with major players like Alcatel-Lucent Enterprise and Vodafone Business further extend its market reach and solution delivery capabilities.
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- RingCentral is like Zoom or Microsoft Teams, but with a complete, enterprise-grade cloud phone system (PBX) fully integrated.
- RingCentral is the cloud-native alternative to legacy business communication providers like Cisco or Avaya, bringing together phone, video, and messaging.
- RingCentral is like having Slack, Zoom, and a professional business phone system all integrated into one cloud service.
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- RingCentral Office: A comprehensive platform offering high-definition voice, video, SMS, messaging, collaboration, conferencing, online meetings, and fax.
- RingCentral Contact Center: A collaborative omnichannel solution for contact center operations.
- RingCentral Engage Digital: A digital customer engagement platform allowing enterprises to interact with customers across various channels.
- RingCentral Engage Voice: A cloud-based outbound/blended customer engagement platform for midsize and enterprise companies.
- RingCentral Video: A video meeting service that includes video and audio conferencing, team messaging, file sharing, and calendar management.
- RingCentral Professional: A cloud-based virtual telephone service offering inbound call answering and management for professionals.
- RingCentral Fax: A service providing online fax capabilities.
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RingCentral, Inc. (RNG) primarily sells its software-as-a-service solutions to other businesses and professionals. The provided background information describes the broad range of industries that RingCentral serves, rather than listing specific major customer companies by name.
RingCentral's business customers come from various sectors, including:
- Financial services
- Education
- Healthcare
- Legal services
- Real estate
- Retail
- Technology
- Insurance
- Construction
- Hospitality
- State and local government
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Vlad Shmunis, Founder, Chairman, and Chief Executive Officer
Vlad Shmunis is the Founder, Chairman, and CEO of RingCentral. He co-founded RingCentral with Vlad Vendrow in 1999, aiming to transform business communications through cloud technology. Prior to RingCentral, Shmunis founded and served as CEO of Ring Zero Systems, a pioneer in desktop business communications software. Ring Zero Systems shipped over 25 million copies of its software through partnerships with major PC manufacturers and was later acquired by Motorola. Shmunis holds Bachelor's and Master's degrees in Computer Science from San Francisco State University.
Vaibhav Agarwal, Chief Financial Officer
Vaibhav Agarwal was appointed Chief Financial Officer of RingCentral, effective August 5, 2025. He joined RingCentral in 2016 and has held multiple leadership positions within the company, including Chief Accounting Officer, Chief Transformation Officer, and Deputy Chief Financial Officer, contributing to its growth from a $400 million business to a $2.6 billion run-rate. Before joining RingCentral, Agarwal held senior finance positions at Intel Corporation, Altera, Intuitive Surgical, and PricewaterhouseCoopers. He holds an MBA from the University of Illinois at Urbana-Champaign and is a Chartered Accountant from India.
Kira Makagon, President & Chief Operating Officer
Kira Makagon serves as the President & Chief Operating Officer of RingCentral. She joined RingCentral in 2012.
Vlad Vendrow, Co-Founder & Chief Technology Officer
Vlad Vendrow is the Co-Founder and Chief Technology Officer at RingCentral. He co-founded the company with Vlad Shmunis in 1999. Before co-founding RingCentral, Vendrow was an engineer at Ring Zero Systems and Motorola.
Homayoun Razavi, Executive Vice President & General Manager, Global Service Providers
Homayoun Razavi is the Executive Vice President & General Manager, Global Service Providers at RingCentral, a role he took on after previously serving as Chief Business Development Officer. He joined RingCentral in January 2020. Razavi has over 40 years of experience in the telecommunications industry, including C-level executive roles for more than 20 years. Prior to RingCentral, he served as EVP, Chief Customer Officer of Coriant, overseeing global sales, marketing, and business development. He also joined BroadSoft in 2010 (pre-IPO) and served as EVP, Managing Director of America, before its acquisition by Cisco in 2017. His career also includes leadership roles at Lucent, Ascend, Cascade, and MCI (Verizon).
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The key risks to RingCentral's business are primarily centered around intense competition, evolving market dynamics and customer preferences, and the persistent threat of cybersecurity breaches.
- Intense Competition: RingCentral operates in a highly competitive market for cloud communications and contact center solutions. It faces significant competition from large technology companies, often referred to as hyperscalers, such as Microsoft (with Teams Phone) and Zoom Phone, which can leverage platform bundling and extensive enterprise footprints. This competitive pressure extends to AI-native Contact Center as a Service (CCaaS) rivals and other unified communications as a service (UCaaS) providers. This intense competition can lead to pricing pressures and challenges in maintaining or growing market share.
- Changing Market Dynamics and Customer Preferences: The market is seeing a shift where customers increasingly prefer integrated platforms over standalone solutions. RingCentral's revenue growth has slowed, and a continued shift in customer preference could potentially erode its market share if it does not effectively address this demand for more integrated offerings. Furthermore, the collaboration market might become a lower priority for many businesses as economic conditions improve, posing a challenge for RingCentral, which has traditionally relied on strong demand for its communication solutions. There's also a risk that an excessive focus on AI products could limit its customer base if traditional cloud-based business products are neglected.
- Cybersecurity Threats and Data Breaches: As a provider of cloud-based communication services, RingCentral faces numerous cybersecurity threats. A breach of its systems could lead to service disruptions for customers, damage the company's reputation, and expose it to substantial liability. The nature of Voice over Internet Protocol (VoIP) systems creates multiple potential entry points for cybercriminals, including risks such as social engineering, call tampering, malware, and Distributed Denial of Service (DDoS) attacks.
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- Microsoft's expansion of Teams Phone System and its broader Microsoft 365 ecosystem: Microsoft, leveraging its immense enterprise install base and platform integration, is aggressively enhancing Teams to become a comprehensive unified communications solution, including voice, video, and messaging. This direct competition, embedded within a ubiquitous productivity suite, poses a significant threat to standalone UCaaS providers like RingCentral, as businesses may opt for an all-in-one solution from a single vendor.
- Zoom's aggressive expansion into broader UCaaS and CCaaS offerings: Zoom, having established a dominant position in video conferencing, is rapidly growing its Zoom Phone (UCaaS) and Zoom Contact Center (CCaaS) products. This expansion directly targets RingCentral's core business, leveraging Zoom's strong brand recognition, user experience, and existing customer base to compete across the entire communication and collaboration spectrum.
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Unified Communications as a Service (UCaaS)
The global Unified Communications as a Service (UCaaS) market was valued at approximately USD 66.42 billion in 2025 and is projected to grow to USD 276.9 billion by 2034, demonstrating a compound annual growth rate (CAGR) of 17.10% during the forecast period. Another estimate valued the global UCaaS market at USD 87.39 billion in 2024, with a projection to reach USD 262.37 billion by 2030 at a CAGR of 19.8% from 2025 to 2030. In North America, which dominated the global market with a 42.30% share in 2025, the U.S. market alone is projected to reach USD 18.111 billion by 2026. North America is consistently identified as the region with the largest market share for UCaaS, driven by high adoption of advanced business communication services.
Contact Center as a Service (CCaaS)
The global Contact Center as a Service (CCaaS) market size was valued at USD 7.08 billion in 2025 and is expected to grow to USD 30.15 billion by 2034, exhibiting a CAGR of 17.40% during the forecast period. Other reports indicate a global market size of USD 6.08 billion in 2024, with a projected increase to USD 29.53 billion by 2033, at a CAGR of 19.2% from 2026–2033. North America held a dominant position in the global CCaaS market, accounting for approximately 39.00% of the market share in 2025. In 2024, North America led the CCaaS market, accounting for approximately 41% of total global deployments and supporting over 492,000 business users.
Cloud Communication Platform
The broader Cloud Communication Platform market, which encompasses UCaaS and Communication Platform as a Service (CPaaS), was valued at USD 15.91 billion in 2025 and is projected to reach USD 78.14 billion by 2033, growing at a CAGR of 22.03% from 2026 to 2033. Another estimate places the global cloud communication market size at USD 29.2 billion in 2025, forecasted to reach USD 136.3 billion by 2034 with a CAGR of 18.7%. North America dominated this market in 2025, accounting for 39.51% of the revenue share. The U.S. Cloud Communication Platform Market size was valued at USD 4.58 billion in 2025 and is projected to reach USD 21.92 billion by 2033.
Digital Customer Engagement Solutions
The global customer engagement solutions market was valued at USD 24.1 billion in 2024 and is projected to grow to USD 68.46 billion by 2033, with a CAGR of 12.3% during the forecast period (2026-2033). Another source estimated the market size at USD 23.45 billion in 2023, expected to reach USD 50.03 billion by 2030. North America is anticipated to hold the largest revenue share, projected to account for 40% by 2035.
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Share Repurchases
- In December 2021, RingCentral's Board of Directors authorized a share repurchase program of up to $100 million of its outstanding Class A common stock, effective until December 31, 2022.
- The company expanded its share repurchase authorization to $500 million in February 2026, after having repurchased approximately 31.61 million shares for $967.01 million.
- In 2025, RingCentral repurchased approximately 5 million shares for $135 million, with about $135 million worth of shares bought back in Q4 2025 alone.
Share Issuance
- In February 2026, the company's President and COO acquired 4,131 shares as fully vested Restricted Stock Units (RSUs) granted under an equity bonus plan, which represents a form of share issuance for compensation.
- RingCentral's share-based compensation expense was $269.7 million in 2025, marking a 20.5% decrease year-over-year, indicating a reduction in the dilutive impact of equity awards.
Inbound Investments
- BlackRock, Inc. increased its holdings in RingCentral by acquiring 4,583,470 shares in February 2026, bringing its total to 10,248,861 shares.
- Vanguard Group Inc. increased its position in RingCentral by 1.1% during the third quarter (likely 2025), holding 11,823,636 shares valued at $335,082,000.
Outbound Investments
- In September 2025, RingCentral acquired CommunityWFM, a cloud-based, AI-first contact center workforce management software solution, to enhance its RingCX platform.
- The company acquired select assets from Hopin, including its Events platform and Session product, in August 2023 to expand its video solutions and address virtual and hybrid events.
- In June 2024, RingCentral acquired certain assets of Mitel Networks Corporation for CAD 26.3 million.
Capital Expenditures
- RingCentral's capital expenditures were $30 million for the full year 2025.
- In Q4 2025, the company invested $8.0 million in capital expenditures, funding long-term assets and infrastructure.
- RingCentral plans a $250 million investment in research and development for 2026, with the majority directed toward AI-led products.
Peer Outperformance in Application Software
| Industry | Names | 1Y med | 3Y med | 5Y med | Top 3 by 5Y |
|---|---|---|---|---|---|
| Electronic Manufacturing Services | 10 | 5.5% | 95.7% | 165.0% | FLEX 430% · TTMI 366% · JBL 278% |
| Technology Distributors | 9 | 43.9% | 54.8% | 55.2% | AVT 128% · SNX 108% · PLUS 55% |
| Semiconductor Materials & Equipment | 28 | 26.7% | 42.8% | 31.2% | AXTI 317% · KLAC 252% · LRCX 246% |
| Communications Equipment | 36 | 1.6% | 72.1% | 27.1% | AAOI 757% · LITE 491% · ANET 419% |
| Electronic Components | 24 | 13.8% | 63.4% | 21.0% | CLS 1764% · BELFA 944% · APH 282% |
| Electronic Equipment & Instruments | 27 | -6.4% | 29.5% | 0.8% | PI 125% · OSIS 106% · MIR 61% |
| Semiconductors | 55 | 6.4% | 41.4% | -12.3% | MU 848% · NVDA 509% · AVGO 474% |
| Technology Hardware, Storage & Peripherals | 21 | 12.4% | 54.0% | -18.1% | DELL 552% · SMCI 539% · WDC 536% |
| Internet Services & Infrastructure | 6 | -7.1% | 42.9% | -29.6% | GDDY 60% · VRSN 35% · AKAM -24% |
| IT Consulting & Other Services | 30 | -17.8% | -7.3% | -29.9% | APLD 264% · IBM 138% · GIB -7% |
| Systems Software | 70 | -10.7% | 15.8% | -54.2% | CRWD 207% · ZETA 202% · CVLT 136% |
| Application Software ← | 125 | -12.3% | -10.8% | -54.7% | PLTR 500% · FROG 167% · AGYS 138% |
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Peer Comparisons
| Peers to compare with: |
Financials
| Median | |
|---|---|
| Name | |
| Mkt Price | 81.13 |
| Mkt Cap | 16.2 |
| Rev LTM | 3,807 |
| Op Inc LTM | 691 |
| FCF LTM | 1,264 |
| FCF 3Y Avg | 1,165 |
| CFO LTM | 1,350 |
| CFO 3Y Avg | 1,260 |
Growth & Margins
| Median | |
|---|---|
| Name | |
| Rev Chg LTM | 7.8% |
| Rev Chg 3Y Avg | 5.3% |
| Rev Chg Q | 9.5% |
| QoQ Delta Rev Chg LTM | 2.3% |
| Op Inc Chg LTM | 53.3% |
| Op Inc Chg 3Y Avg | 149.4% |
| Op Mgn LTM | 15.6% |
| Op Mgn 3Y Avg | 11.5% |
| QoQ Delta Op Mgn LTM | 0.4% |
| CFO/Rev LTM | 24.5% |
| CFO/Rev 3Y Avg | 23.0% |
| FCF/Rev LTM | 18.7% |
| FCF/Rev 3Y Avg | 20.4% |
Valuation
| Median | |
|---|---|
| Name | |
| Mkt Cap | 16.2 |
| P/S | 3.8 |
| P/Op Inc | 23.7 |
| P/EBIT | 22.1 |
| P/E | 27.8 |
| P/CFO | 10.9 |
| Total Yield | 4.8% |
| Dividend Yield | 0.2% |
| FCF Yield 3Y Avg | 6.9% |
| D/E | 0.1 |
| Net D/E | 0.0 |
Returns
| Median | |
|---|---|
| Name | |
| 1M Rtn | -8.3% |
| 3M Rtn | -10.9% |
| 6M Rtn | 13.1% |
| 12M Rtn | 22.7% |
| 3Y Rtn | 49.7% |
| 1M Excs Rtn | -1.3% |
| 3M Excs Rtn | -5.9% |
| 6M Excs Rtn | 13.4% |
| 12M Excs Rtn | 7.6% |
| 3Y Excs Rtn | -20.6% |
Comparison Analyses
Segment Financials
Revenue by Segment| $ Mil | 2025 | 2024 | 2023 | 2022 | 2021 |
|---|---|---|---|---|---|
| Single Segment | 2,515 | 2,400 | 2,202 | 1,988 | |
| Other | 113 | ||||
| Subscriptions | 1,482 | ||||
| Total | 2,515 | 2,400 | 2,202 | 1,988 | 1,595 |
| $ Mil | 2025 | 2024 | 2023 | 2022 |
|---|---|---|---|---|
| Single Segment | 121 | 3 | -199 | -649 |
| Total | 121 | 3 | -199 | -649 |
| $ Mil | 2025 | 2024 | 2023 | 2022 |
|---|---|---|---|---|
| Single Segment | 43 | -58 | -165 | -879 |
| Total | 43 | -58 | -165 | -879 |
Price Behavior
| Market Price | $72.07 | |
| Market Cap ($ Bil) | 6.0 | |
| First Trading Date | 09/27/2013 | |
| Distance from 52W High | -16.4% | |
| 50 Days | 200 Days | |
| DMA Price | $76.60 | $50.38 |
| DMA Trend | up | up |
| Distance from DMA | -5.9% | 43.1% |
| 3M | 1YR | |
| Volatility | 49.7% | 70.3% |
| Downside Capture | 127.86 | 102.62 |
| Upside Capture | 240.16 | 208.99 |
| Correlation (S&P 500) | 45.5% | 21.1% |
| 1M | 2M | 3M | 6M | 1Y | 3Y | |
|---|---|---|---|---|---|---|
| Beta | 2.49 | 2.32 | 2.40 | 0.84 | 1.16 | 1.31 |
| Up Beta | -8.11 | 1.80 | 2.67 | -1.43 | 0.06 | 1.00 |
| Down Beta | 2.91 | 2.52 | 2.33 | 0.65 | 0.49 | 0.98 |
| Up Capture | 421% | 340% | 395% | 269% | 415% | 706% |
| Bmk +ve Days | 12 | 18 | 28 | 62 | 130 | 427 |
| Stock +ve Days | 12 | 23 | 38 | 67 | 135 | 382 |
| Down Capture | 201% | 142% | 112% | 76% | 110% | 110% |
| Bmk -ve Days | 10 | 25 | 36 | 64 | 121 | 325 |
| Stock -ve Days | 10 | 20 | 26 | 59 | 116 | 366 |
[1] Upside and downside betas calculated using positive and negative benchmark daily returns respectively
Based On 1-Year Data
| Annualized Return | Annualized Volatility | Sharpe Ratio | Correlation with RNG | |
|---|---|---|---|---|
| RNG | 166.8% | 70.3% | 1.66 | - |
| Sector ETF (XLK) | 12.1% | 28.4% | 0.39 | 13.5% |
| Equity (SPY) | 9.5% | 13.6% | 0.40 | 21.1% |
| Gold (GLD) | 1.6% | 28.7% | 0.05 | -1.0% |
| Commodities (DBC) | 38.4% | 21.2% | 1.42 | -6.1% |
| Real Estate (VNQ) | 11.3% | 14.2% | 0.51 | 13.5% |
| Bitcoin (BTCUSD) | -27.2% | 43.6% | -0.61 | 17.5% |
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Based On 5-Year Data
| Annualized Return | Annualized Volatility | Sharpe Ratio | Correlation with RNG | |
|---|---|---|---|---|
| RNG | -21.5% | 64.8% | -0.12 | - |
| Sector ETF (XLK) | 16.2% | 26.4% | 0.55 | 42.5% |
| Equity (SPY) | 11.3% | 17.3% | 0.48 | 47.2% |
| Gold (GLD) | 17.5% | 19.1% | 0.74 | 4.5% |
| Commodities (DBC) | 8.1% | 19.6% | 0.30 | 6.2% |
| Real Estate (VNQ) | 1.3% | 18.9% | -0.04 | 39.0% |
| Bitcoin (BTCUSD) | 4.0% | 51.6% | 0.26 | 23.8% |
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Based On 10-Year Data
| Annualized Return | Annualized Volatility | Sharpe Ratio | Correlation with RNG | |
|---|---|---|---|---|
| RNG | 13.4% | 56.8% | 0.45 | - |
| Sector ETF (XLK) | 22.6% | 25.3% | 0.82 | 45.0% |
| Equity (SPY) | 15.0% | 18.0% | 0.70 | 43.6% |
| Gold (GLD) | 11.9% | 16.5% | 0.59 | 5.7% |
| Commodities (DBC) | 7.5% | 18.1% | 0.33 | 8.6% |
| Real Estate (VNQ) | 5.9% | 20.7% | 0.24 | 31.1% |
| Bitcoin (BTCUSD) | 60.0% | 66.3% | 1.00 | 16.3% |
Smart multi-asset allocation framework can stack odds in your favor. Learn How
Returns Analyses
Earnings Returns History
Updated 11/1/2026| Forward Returns | |||
|---|---|---|---|
| Earnings Date | 1D Returns | 5D Returns | 21D Returns |
| 10/22/2026 | 5.0% | 5.4% | |
| 7/23/2026 | 25.1% | 38.5% | 73.9% |
| 5/7/2026 | 0.5% | -13.3% | -9.8% |
| 2/19/2026 | -0.6% | 16.6% | 26.9% |
| 11/3/2025 | -0.6% | -10.6% | -2.9% |
| 8/5/2025 | 27.0% | 17.8% | 29.3% |
| 5/8/2025 | 3.9% | 5.0% | 2.8% |
| 2/20/2025 | -3.1% | -9.5% | -14.8% |
| ... | |||
| SUMMARY STATS | |||
| # Positive | 14 | 13 | 11 |
| # Negative | 11 | 12 | 13 |
| Median Positive | 5.2% | 5.4% | 18.0% |
| Median Negative | -1.9% | -10.1% | -13.4% |
| Max Positive | 27.0% | 38.5% | 73.9% |
| Max Negative | -18.4% | -21.5% | -28.9% |
| Forward Returns | |||
|---|---|---|---|
| Earnings Date | 1D Returns | 5D Returns | 21D Returns |
| 10/22/2026 | 5.0% | 5.4% | |
| 7/23/2026 | 25.1% | 38.5% | 73.9% |
| 5/7/2026 | 0.5% | -13.3% | -9.8% |
| 2/19/2026 | -0.6% | 16.6% | 26.9% |
| 11/3/2025 | -0.6% | -10.6% | -2.9% |
| 8/5/2025 | 27.0% | 17.8% | 29.3% |
| 5/8/2025 | 3.9% | 5.0% | 2.8% |
| 2/20/2025 | -3.1% | -9.5% | -14.8% |
| 11/7/2024 | 3.5% | 1.2% | 9.4% |
| 8/1/2024 | 5.4% | 0.9% | -0.4% |
| 5/7/2024 | 14.6% | 25.6% | 16.2% |
| 2/20/2024 | 0.7% | 1.4% | 15.7% |
| 11/6/2023 | -0.2% | -2.7% | 9.5% |
| 8/7/2023 | -18.4% | -21.5% | -15.8% |
| 5/9/2023 | 14.3% | 1.5% | 26.3% |
| 2/15/2023 | 7.7% | -19.6% | -28.9% |
| 11/9/2022 | -5.8% | 38.3% | 20.7% |
| 8/2/2022 | 6.7% | -1.4% | -13.4% |
| 5/9/2022 | -0.2% | -8.9% | -8.8% |
| 2/22/2022 | 0.5% | -10.9% | -13.6% |
| 11/9/2021 | 1.2% | 14.9% | -7.1% |
| 8/3/2021 | -3.8% | -4.6% | -3.3% |
| 5/4/2021 | -1.9% | -10.2% | -16.2% |
| 2/16/2021 | -1.4% | -10.0% | -26.0% |
| 11/9/2020 | -9.3% | 0.9% | 18.0% |
| SUMMARY STATS | |||
| # Positive | 14 | 13 | 11 |
| # Negative | 11 | 12 | 13 |
| Median Positive | 5.2% | 5.4% | 18.0% |
| Median Negative | -1.9% | -10.1% | -13.4% |
| Max Positive | 27.0% | 38.5% | 73.9% |
| Max Negative | -18.4% | -21.5% | -28.9% |
SEC Filings
Expand for More| Report Date | Filing Date | Filing |
|---|---|---|
| 09/30/2026 | 10/23/2026 | 10-Q |
| 06/30/2026 | 07/23/2026 | 10-Q |
| 03/31/2026 | 05/11/2026 | 10-Q |
| 12/31/2025 | 02/27/2026 | 10-K |
| 09/30/2025 | 11/05/2025 | 10-Q |
| 06/30/2025 | 08/07/2025 | 10-Q |
| 03/31/2025 | 05/09/2025 | 10-Q |
| 12/31/2024 | 02/26/2025 | 10-K |
| 09/30/2024 | 11/08/2024 | 10-Q |
| 06/30/2024 | 08/07/2024 | 10-Q |
| 03/31/2024 | 05/07/2024 | 10-Q |
| 12/31/2023 | 02/22/2024 | 10-K |
| 09/30/2023 | 11/08/2023 | 10-Q |
| 06/30/2023 | 08/07/2023 | 10-Q |
| 03/31/2023 | 05/09/2023 | 10-Q |
| 12/31/2022 | 02/23/2023 | 10-K |
| Report Date | Filing Date | Filing |
|---|---|---|
| 09/30/2026 | 10/23/2026 | 10-Q |
| 06/30/2026 | 07/23/2026 | 10-Q |
| 03/31/2026 | 05/11/2026 | 10-Q |
| 12/31/2025 | 02/27/2026 | 10-K |
| 09/30/2025 | 11/05/2025 | 10-Q |
| 06/30/2025 | 08/07/2025 | 10-Q |
| 03/31/2025 | 05/09/2025 | 10-Q |
| 12/31/2024 | 02/26/2025 | 10-K |
| 09/30/2024 | 11/08/2024 | 10-Q |
| 06/30/2024 | 08/07/2024 | 10-Q |
| 03/31/2024 | 05/07/2024 | 10-Q |
| 12/31/2023 | 02/22/2024 | 10-K |
| 09/30/2023 | 11/08/2023 | 10-Q |
| 06/30/2023 | 08/07/2023 | 10-Q |
| 03/31/2023 | 05/09/2023 | 10-Q |
| 12/31/2022 | 02/23/2023 | 10-K |
| 09/30/2022 | 11/09/2022 | 10-Q |
| 06/30/2022 | 08/08/2022 | 10-Q |
| 03/31/2022 | 05/10/2022 | 10-Q |
| 12/31/2021 | 03/01/2022 | 10-K |
| 09/30/2021 | 11/09/2021 | 10-Q |
| 06/30/2021 | 08/06/2021 | 10-Q |
| 03/31/2021 | 05/07/2021 | 10-Q |
| 12/31/2020 | 02/26/2021 | 10-K |
| 09/30/2020 | 11/09/2020 | 10-Q |
| 06/30/2020 | 08/10/2020 | 10-Q |
| 03/31/2020 | 05/11/2020 | 10-Q |
| 12/31/2019 | 02/26/2020 | 10-K |
Recent Forward Guidance
Updated 10/23/2026Latest: Q3 2026 Earnings Reported 10/22/2026
| Forward Guidance | Guidance Change | |||||||
|---|---|---|---|---|---|---|---|---|
| Metric | Source | Low | Mid | High | % Chg | % Delta | Change | Prior |
| Q4 2026 Share-Based Compensation | Reported | 57.00 Mil | 59.50 Mil | 62.00 Mil | ||||
| Q4 2026 GAAP income from operations | Reported | 90.00 Mil | 95.00 Mil | 100.00 Mil | ||||
| Q4 2026 Amortization of acquired intangibles | Reported | 15.00 Mil | ||||||
| Q4 2026 Third-party relocation, restructuring and other costs | Reported | 1.00 Mil | ||||||
| Q4 2026 Non-GAAP income from operations | Reported | 168.00 Mil | 170.50 Mil | 173.00 Mil | ||||
| Q4 2026 Subscriptions Revenue | Reported | 653.00 Mil | 656.00 Mil | 659.00 Mil | 1.5% | Higher New | Guidance: 646.00 Mil for Q3 2026 | |
| Q4 2026 Revenue | Reported | 673.00 Mil | 676.50 Mil | 680.00 Mil | 1.4% | Higher New | Guidance: 667.00 Mil for Q3 2026 | |
| Q4 2026 GAAP Operating Margin | Reported | 13.3% | 14.0% | 14.7% | 6.1% | Higher New | Guidance: 7.9% for Q3 2026 | |
| Q4 2026 Non-GAAP Operating Margin | Reported | 25.0% | 25.25% | 25.5% | 1.5% | Higher New | Guidance: 23.75% for Q3 2026 | |
| Q4 2026 Non-GAAP EPS | Reported | 1.32 | 1.35 | 1.37 | 5.5% | Higher New | Guidance: 1.28 for Q3 2026 | |
| 2026 Share-Based Compensation | Reported | 240.00 Mil | 242.50 Mil | 245.00 Mil | ||||
| 2026 GAAP income from operations | Reported | 244.00 Mil | 249.00 Mil | 254.00 Mil | ||||
| 2026 Amortization of acquired intangibles | Reported | 117.00 Mil | ||||||
| 2026 Third-party relocation, restructuring and other costs | Reported | 31.00 Mil | ||||||
| 2026 Non-GAAP income from operations | Reported | 637.00 Mil | 639.50 Mil | 642.00 Mil | ||||
| 2026 GAAP net cash provided by operating activities | Reported | 725.00 Mil | 727.50 Mil | 730.00 Mil | ||||
| 2026 Capitalized expenditures | Reported | 100.00 Mil | 102.50 Mil | 105.00 Mil | ||||
| 2026 Subscriptions Revenue | Reported | 2.56 Bil | 2.57 Bil | 2.57 Bil | 0.4% | Raised | Guidance: 2.56 Bil for 2026 | |
| 2026 Revenue | Reported | 2.65 Bil | 2.65 Bil | 2.66 Bil | 0.5% | Raised | Guidance: 2.64 Bil for 2026 | |
| 2026 GAAP Operating Margin | Reported | 9.2% | 9.4% | 9.6% | 0.0% | Raised | Guidance: 9.35% for 2026 | |
| 2026 Non-GAAP Operating Margin | Reported | 24.0% | 24.1% | 24.2% | 0.3% | Raised | Guidance: 23.8% for 2026 | |
| 2026 Non-GAAP EPS | Reported | 5.07 | 5.1 | 5.12 | 1.3% | Raised | Guidance: 5.03 for 2026 | |
| 2026 Free Cash Flow | Reported | 620.00 Mil | 625.00 Mil | 630.00 Mil | 0.8% | Raised | Guidance: 620.00 Mil for 2026 | |
Prior: Q2 2026 Earnings Reported 7/23/2026
| Forward Guidance | Guidance Change | |||||||
|---|---|---|---|---|---|---|---|---|
| Metric | Source | Low | Mid | High | % Chg | % Delta | Change | Prior |
| Q3 2026 Subscriptions Revenue | Reported | 643.00 Mil | 646.00 Mil | 649.00 Mil | 2.5% | Higher New | Actual: 630.50 Mil for Q2 2026 | |
| Q3 2026 Total Revenue | Reported | 664.00 Mil | 667.00 Mil | 670.00 Mil | 2.5% | Higher New | Actual: 650.50 Mil for Q2 2026 | |
| Q3 2026 GAAP Operating Margin | Reported | 7.2% | 7.9% | 8.6% | 0.8% | Higher New | Actual: 7.1% for Q2 2026 | |
| Q3 2026 Non-GAAP Operating Margin | Reported | 23.5% | 23.75% | 24.0% | 0.6% | Higher New | Actual: 23.1% for Q2 2026 | |
| Q3 2026 Non-GAAP EPS | Reported | 1.25 | 1.28 | 1.3 | 9.9% | Higher New | Actual: 1.16 for Q2 2026 | |
| 2026 Subscriptions Revenue | Reported | 2.55 Bil | 2.56 Bil | 2.56 Bil | 0.2% | Raised | Guidance: 2.55 Bil for 2026 | |
| 2026 Total Revenue | Reported | 2.63 Bil | 2.64 Bil | 2.65 Bil | 0.4% | Raised | Guidance: 2.63 Bil for 2026 | |
| 2026 GAAP Operating Margin | Reported | 9.0% | 9.35% | 9.7% | 0.1% | Raised | Guidance: 9.25% for 2026 | |
| 2026 Non-GAAP Operating Margin | Reported | 23.6% | 23.8% | 24.0% | 0.3% | Raised | Guidance: 23.5% for 2026 | |
| 2026 Non-GAAP EPS | Reported | 4.96 | 5.03 | 5.1 | 2.0% | Raised | Guidance: 4.93 for 2026 | |
| 2026 Free Cash Flow | Reported | 615.00 Mil | 620.00 Mil | 625.00 Mil | 3.8% | Raised | Guidance: 597.50 Mil for 2026 | |
Insider Activity
Updated 10/6/2026| # | Owner | Title | Holding | Action | Filing Date | Price | Shares | Transacted Value | Value of Held Shares | Form |
|---|---|---|---|---|---|---|---|---|---|---|
| 1 | Shenkan, Amy Guggenheim | Direct | Sell | 10062026 | 78.89 | 1,264 | 99,711 | 2,217,300 | Form | |
| 2 | Makagon, Kira | President and COO | Direct | Sell | 9162026 | 70.11 | 36,185 | 2,536,930 | 17,203,942 | Form |
| 3 | Arora, Tarun | Chief Accounting Officer | Direct | Sell | 9102026 | 70.36 | 4,172 | 293,550 | 4,622,213 | Form |
| 4 | Arora, Tarun | Chief Accounting Officer | Direct | Sell | 9032026 | 77.00 | 954 | 73,458 | 5,379,528 | Form |
| 5 | Shmunis, Vladimir | CEO and Chairman | Direct | Sell | 9032026 | 76.58 | 11,165 | 855,046 | 13,716,423 | Form |
| # | Owner | Title | Holding | Action | Filing Date | Price | Shares | Transacted Value | Value of Held Shares | Form |
|---|---|---|---|---|---|---|---|---|---|---|
| 1 | Shenkan, Amy Guggenheim | Direct | Sell | 10062026 | 78.89 | 1,264 | 99,711 | 2,217,300 | Form | |
| 2 | Makagon, Kira | President and COO | Direct | Sell | 9162026 | 70.11 | 36,185 | 2,536,930 | 17,203,942 | Form |
| 3 | Arora, Tarun | Chief Accounting Officer | Direct | Sell | 9102026 | 70.36 | 4,172 | 293,550 | 4,622,213 | Form |
| 4 | Arora, Tarun | Chief Accounting Officer | Direct | Sell | 9032026 | 77.00 | 954 | 73,458 | 5,379,528 | Form |
| 5 | Shmunis, Vladimir | CEO and Chairman | Direct | Sell | 9032026 | 76.58 | 11,165 | 855,046 | 13,716,423 | Form |
| 6 | Agarwal, Vaibhav | Chief Financial Officer | Direct | Sell | 9032026 | 72.10 | 7,046 | 508,024 | 10,577,217 | Form |
| 7 | Shmunis, Vladimir | CEO and Chairman | Direct | Sell | 9032026 | 71.78 | 15,556 | 1,116,626 | 13,657,855 | Form |
| 8 | Arora, Tarun | Chief Accounting Officer | Direct | Sell | 9012026 | 69.60 | 4,568 | 317,942 | 5,229,964 | Form |
| 9 | Arora, Tarun | Chief Accounting Officer | Direct | Sell | 8242026 | 65.26 | 1,876 | 122,428 | 5,245,860 | Form |
| 10 | Agarwal, Vaibhav | Chief Financial Officer | Direct | Sell | 8242026 | 65.07 | 4,044 | 263,143 | 10,479,393 | Form |
| 11 | Agarwal, Vaibhav | Chief Financial Officer | Direct | Sell | 8182026 | 65.50 | 1,688 | 110,567 | 11,088,310 | Form |
| 12 | Shenkan, Amy Guggenheim | Direct | Sell | 7022026 | 40.59 | 1,265 | 51,350 | 1,192,298 | Form | |
| 13 | Theis, Robert I | Direct | Sell | 7022026 | 40.28 | 2,530 | 101,908 | 1,241,994 | Form | |
| 14 | Shmunis, Vladimir | CEO and Chairman | Direct | Sell | 6172026 | 38.22 | 11,696 | 447,079 | 8,794,455 | Form |
| 15 | Shmunis, Vladimir | CEO and Chairman | Direct | Sell | 6172026 | 38.52 | 15,556 | 599,203 | 9,312,640 | Form |
| 16 | Arora, Tarun | Chief Accounting Officer | Direct | Sell | 6122026 | 38.85 | 4,171 | 162,048 | 3,315,234 | Form |
| 17 | Agarwal, Vaibhav | Chief Financial Officer | Direct | Sell | 6022026 | 46.17 | 7,047 | 325,353 | 7,815,581 | Form |
| 18 | Arora, Tarun | Chief Accounting Officer | Direct | Sell | 6022026 | 43.00 | 3,615 | 155,446 | 2,928,325 | Form |
| 19 | Makagon, Kira | President and COO | Direct | Sell | 5282026 | 42.54 | 16,988 | 722,674 | 9,049,331 | Form |
| 20 | Arora, Tarun | Chief Accounting Officer | Direct | Sell | 5282026 | 42.66 | 919 | 39,205 | 3,059,362 | Form |
| 21 | Agarwal, Vaibhav | Chief Financial Officer | Direct | Sell | 5222026 | 42.06 | 4,044 | 170,083 | 5,559,268 | Form |
| 22 | Agarwal, Vaibhav | Chief Financial Officer | Direct | Sell | 5192026 | 40.62 | 2,220 | 90,179 | 5,703,838 | Form |
| 23 | Makagon, Kira | President and COO | Direct | Sell | 4282026 | 40.27 | 5,870 | 236,364 | 9,531,662 | Form |
| 24 | Arora, Tarun | Chief Accounting Officer | Direct | Sell | 4222026 | 43.00 | 953 | 40,979 | 3,205,177 | Form |
| 25 | Shenkan, Amy Guggenheim | Direct | Sell | 4032026 | 37.92 | 1,264 | 47,937 | 1,161,908 | Form | |
| 26 | Theis, Robert I | Direct | Sell | 4032026 | 37.89 | 2,529 | 95,820 | 1,264,113 | Form | |
| 27 | Makagon, Kira | President and COO | Direct | Sell | 3272026 | 35.79 | 44,840 | 1,604,713 | 8,681,520 | Form |
| 28 | Makagon, Kira | President and COO | Direct | Sell | 3272026 | 35.87 | 5,870 | 210,581 | 10,311,131 | Form |
| 29 | Arora, Tarun | Chief Accounting Officer | Direct | Sell | 3112026 | 40.69 | 8,840 | 359,655 | 3,071,392 | Form |
| 30 | Arora, Tarun | Chief Accounting Officer | Direct | Sell | 3032026 | 36.14 | 3,723 | 134,563 | 3,048,076 | Form |
| 31 | Agarwal, Vaibhav | Chief Financial Officer | Direct | Sell | 3032026 | 36.33 | 18,680 | 678,607 | 5,067,502 | Form |
| 32 | Makagon, Kira | President and COO | Direct | Sell | 2272026 | 35.15 | 22,196 | 780,279 | 11,936,376 | Form |
| 33 | Arora, Tarun | Chief Accounting Officer | Direct | Sell | 2272026 | 34.80 | 773 | 26,900 | 3,347,029 | Form |
| 34 | Shmunis, Vladimir | CEO and Chairman | Direct | Sell | 2242026 | 35.59 | 95,831 | 3,410,585 | 4,508,666 | Form |
| 35 | Agarwal, Vaibhav | Chief Financial Officer | Direct | Sell | 2242026 | 35.50 | 10,744 | 381,372 | 6,269,389 | Form |
| 36 | Shmunis, Vladimir | CEO and Chairman | Direct | Sell | 2242026 | 35.26 | 45,284 | 1,596,592 | 7,845,314 | Form |
| 37 | Makagon, Kira | President and COO | Direct | Sell | 2242026 | 35.49 | 46,960 | 1,666,610 | 13,114,407 | Form |
| 38 | Agarwal, Vaibhav | Chief Financial Officer | Direct | Sell | 2192026 | 29.58 | 2,223 | 65,754 | 5,762,078 | Form |
| 39 | Shenkan, Amy Guggenheim | Direct | Sell | 1052026 | 28.99 | 1,402 | 40,644 | 733,360 | Form | |
| 40 | Theis, Robert I | Direct | Sell | 1052026 | 27.75 | 2,805 | 77,825 | 715,127 | Form | |
| 41 | Makagon, Kira | President and COO | Direct | Sell | 12292025 | 29.22 | 6,495 | 189,784 | 9,822,654 | Form |
| 42 | Arora, Tarun | Chief Accounting Officer | Direct | Sell | 12122025 | 30.60 | 2,597 | 79,479 | 2,697,253 | Form |
| 43 | Arora, Tarun | Chief Accounting Officer | Direct | Sell | 12012025 | 28.70 | 3,888 | 111,578 | 2,680,738 | Form |
| 44 | Makagon, Kira | President and COO | Direct | Sell | 12012025 | 28.11 | 14,798 | 415,913 | 9,819,056 | Form |
| 45 | Arora, Tarun | Chief Accounting Officer | Direct | Sell | 12012025 | 28.06 | 942 | 26,433 | 2,730,238 | Form |
| 46 | Shmunis, Vladimir | CEO and Chairman | Direct | Sell | 11242025 | 27.68 | 27,018 | 747,858 | 7,258,803 | Form |
| 47 | Agarwal, Vaibhav | Chief Financial Officer | Direct | Sell | 11242025 | 25.96 | 14,971 | 388,647 | 4,298,794 | Form |
| 48 | Shmunis, Vladimir | CEO and Chairman | Direct | Sell | 11242025 | 26.89 | 46,844 | 1,259,569 | 8,527,417 | Form |
| 49 | Agarwal, Vaibhav | Chief Financial Officer | Direct | Sell | 11192025 | 26.61 | 2,356 | 62,693 | 5,216,092 | Form |
| 50 | Arora, Tarun | Chief Accounting Officer | Direct | Sell | 11142025 | 27.38 | 882 | 24,149 | 2,774,005 | Form |
| 51 | Theis, Robert I | Direct | Sell | 10032025 | 28.49 | 2,805 | 79,905 | 814,144 | Form |
Investor Activity (13F)
Updated Nov 9, 2026Active managers (13F portfolio over $250M, at least 3 holdings) with a position over $5M that is either over 10% of their portfolio or held in a concentrated book of 50 or fewer total positions. Index/ETF, sovereign, bank, community-bank and charitable/donor-advised filers are excluded.
RNG Trade Sentinel
Constructive
CONVICTION RATIONALE
RingCentral is successfully executing a pivot to AI, creating a new, higher-margin growth layer. Adoption is accelerating, with the AI customer base doubling year-over-year and showing superior retention. This is driving strong free cash flow, funding a 10.9% shareholder yield. Intense competition from larger rivals remains the primary, well-understood risk to this operational success.
STOCK ARCHETYPE
(Number of Customers) x (Average Revenue Per Customer), where ARPC is a function of (Number of Seats x Price per Seat) + (Usage of AI Products). Operating leverage from a scaled, high-gross-margin subscription revenue base, combined with disciplined operating expense management.
INVESTMENT THESIS
Evidence shows a successful pivot is underway, with AI-adopting customers driving higher revenue, retention, and profitability.
- ARR from AI-utilizing customers doubled YoY, now representing ~15% of total ARR.
- This AI customer cohort has a net retention rate of over 100%.
- Operating margin expanded by 3.7 percentage points YoY to 7.5%.
- The company initiated its first-ever dividend in 2026.
PRIMARY RISK
Microsoft and Zoom possess massive scale advantages, with R&D spending that dwarfs RingCentral's. Their strategy of bundling communications into existing platforms could erode RingCentral's pricing power and market share over time, despite current traction.
- Microsoft's revenue is 132.2 times RingCentral's revenue.
- Microsoft's R&D spend is $36.5 billion versus RingCentral's $330.1 million.
- Competitors are described as having 'significantly greater resources'.
| KPI | Status | Rationale |
|---|---|---|
| AI-Utilizing Customer ARR Percentage | Approximately 15% of total ARR as of Q3 2026. - Accelerating | The metric shows a clear pattern of sequential acceleration, rising from over 10% in Q1 2026 to 13% in Q2 and 15% in Q3. Management highlights this cohort has higher ARPU and retention over 100%, indicating a high-quality expansion. |
| Net Monthly Subscription Dollar Retention Rate | Above 99% as of Q3 2026. - Stable | The metric has remained consistently above 99% for the past several quarters. While stable, management notes that the cohort of customers using paid AI products has a net retention rate over 100%, suggesting the non-AI customer base experiences slight net churn. |
| RCAI Utilizing Customers (% of ARR) | approximately 15% (Q3 2026) | This metric tracks the percentage of Annualized Recurring Revenue from customers who use at least one native paid AI product, signaling the adoption and monetization of the company's core AI strategy. |
| AI Receptionist (AIR) Customers | more than 22 thousand (Q3 2026) | Measures the adoption of a key new AI product, indicating traction for the company's automated, front-office AI agent. |
| Annualized Exit Monthly Recurring Subscriptions (ARR) | $2.76 billion (June 30, 2026) | Represents the annualized monthly value of all customer recurring charges at the end of a period, serving as a leading indicator of anticipated subscriptions revenues. |
Niche AI Leader vs. Sub-Scale Player
BULL VIEW
The integrated UCaaS, CCaaS, and AI platform is winning a specific, high-value customer segment. This is evidenced by the AI cohort's superior retention and revenue per user, which will re-accelerate overall growth.
CORE TENSION
Can accelerating AI adoption (now 15% of ARR) offset slower legacy growth and intense competition?
PREVAILING SENTIMENT
Latest data favors the bulls. The AI cohort's recurring revenue is doubling year-over-year and accelerating sequentially, proving the new strategy is gaining traction despite competitive pressure.
BEAR VIEW
The AI pivot is not enough to overcome the structural scale and bundling advantages of larger competitors who can offer similar features at a lower effective cost.
| Timeline | Event & Metric To Watch |
|---|---|
1/26/2027 | Microsoft Earnings Report Watch: Microsoft, a key competitor in the UCaaS space, is scheduled to report its quarterly earnings. |
2/2/2027 | 8x8 Earnings Report Watch: 8x8, a peer in the UCaaS market, is scheduled to report its quarterly earnings. |
2/9/2027 | Cisco Systems Earnings Report Watch: Cisco Systems, a major competitor, is scheduled to report its quarterly earnings. |
2/17/2027 | Decelerating Growth Momentum Watch: Subscription revenue growth, ARR from AI-utilizing customers, and the company's initial full-year 2027 guidance. |
2/17/2027 | Inventory Issues Materializing Watch: Gross margin results, particularly for the 'Other' revenue segment, and any management commentary on inventory levels or phone sales. |
2/17/2027 | Company Q4 Earnings Report Watch: RingCentral is scheduled to report its Q4 and full-year 2026 financial results. |
2/17/2027 | Five9 Earnings Report Watch: Five9, a peer in the contact center space, is scheduled to report its quarterly earnings. |
2/23/2027 | Zoom Communications Earnings Report Watch: Zoom Communications, a key competitor, is scheduled to report its quarterly earnings. |
Jan-Feb 2027 | Peer Competitive Pressure Watch: Competitor commentary on Teams Phone, Zoom Phone/CX, and Cisco Collaboration segment growth and AI adoption. |
| Date | Event | Stock Impact |
|---|---|---|
2026-10-22 | Q3 Results and Guidance Raise Details: The company reported Q3 results with revenue above guidance and raised its full-year 2026 guidance for revenue, operating margin, and EPS (G-1, T-1). | +1.2% $82.42 -> $83.39 |
2026-10-21 | Fiduciary Duty Investigation Announced Details: A law firm announced it had commenced an investigation concerning "possible breaches of fiduciary duties" by certain officers and directors of the company (ART-6). | -2.7% $81.62 -> $79.42 |
2026-08-31 | New Zealand Partnership Announced Details: The company announced a strategic partnership with Digital Island to bring its Agentic Voice AI solutions to businesses in New Zealand (REWIND-1). | +2.0% $69.38 -> $70.77 |
2026-07-23 | Q2 Results Beat Expectations Details: The company reported Q2 results, "exceeding the high end of guidance across all key metrics" (T-2). The stock had a two-day reaction of +28.0% (MKT-1). | +28.3% $37.58 -> $48.21 |
2026-07-23 | Expanded NiCE Strategic Partnership Details: RingCentral and NiCE announced an expansion of their partnership, where NiCE will resell RingCentral's UCaaS solution, RingEX (REWIND-1). | +28.3% $37.58 -> $48.21 |
2026-06-23 | AIR Pro Capabilities Expanded Details: The company announced the expansion of AIR Pro to deliver agentic AI capabilities across its customer engagement portfolio, including new features within RingCX (REWIND-1). | +2.9% $34.77 -> $35.78 |
2026-05-07 | Q1 Results and Dividend Details: The company reported Q1 2026 results with revenue at the high end of guidance and record operating margins. It also announced its "first ever dividend" (T-3). | -0.2% $45.56 -> $45.47 |
Position Sizing
2% - 4%
REDUCED POSITION
Sizing is volatility-based: RNG trades at roughly 48% annualized realized (three-month) volatility versus about 10% for the S&P 500 (4.7x the market). A 2% - 4% position keeps a single-name swing of that size within a diversified portfolio's risk budget.
Diversification Alternatives
MSFT - Microsoft Corporation
Scale & Ecosystem PlayMicrosoft offers exposure to the same AI and collaboration themes but with immense scale, a dominant enterprise software ecosystem, and significantly higher operating margins of 47.1%.
ZM - Zoom Communications, Inc.
Focused CompetitorZoom provides a more direct play on cloud communications with a strong brand and higher operating margins of 23.7% compared to RingCentral. It is also pursuing an aggressive AI-first strategy.
An established cloud communications utility successfully pivoting into a higher-growth, higher-margin AI software provider.
RingCentral is leveraging its foundational, hard-to-replicate global voice network as a moat to build a monetized 'agentic voice AI' business. This strategic shift is showing tangible results, with a fast-growing cohort of AI-paying customers driving higher ARPU and retention. The company is balancing this growth investment with a disciplined focus on profitability, generating substantial free cash flow, and initiating capital returns through buybacks and dividends.
Continued acceleration in the growth of ARR from the AI-utilizing customer cohort, stabilization of overall subscription revenue growth above mid-single digits, and sustained GAAP operating margin expansion.
A stall in the adoption of paid AI products (AIR, ACE), a decline in the net retention rate of the AI cohort below 100%, or evidence that AI compute costs are eroding gross margins.
Announcements of new AI features from competitors like Microsoft or Zoom, as the market is crowded and innovation is constant. The key is RingCentral's ability to monetize its specific offerings.
Repricing Catalyst
Sustained execution on the AI monetization strategy, proving it can drive durable growth and margin expansion, which would support a narrative of the company as a compounding free cash flow per share story.
Single Segment
$2.6B TTM (100% of Total) · 8% MarginWhat It Is
The company sells a portfolio of cloud-based communication and collaboration solutions to a diverse customer base across industries including healthcare, financial services, retail, and technology. Products include RingEX (UCaaS), RingCentral Contact Center, RingCX (CCaaS), and AI solutions like AI Receptionist (AIR), AI Virtual Assistant (AVA), and AI Conversation Expert (ACE).
Who Pays & How
Enterprises and small-to-medium-sized businesses pay for a unified, reliable, and secure platform to manage all their communications, replacing fragmented or outdated on-premise systems. They choose RingCentral for its integrated suite of tools that enhance productivity and customer engagement, increasingly driven by AI capabilities.
Competition
RingCentral — Investor Video Playlist
Industry Resources
| Information Technology Resources |
| TechCrunch |
| Wired |
| CIO |
| MIT Technology Review |
| Gartner Insights |
| Ars Technica |
| Application Software Resources |
| Capterra |
| Software Advice |
| InfoWorld |
External Quote Links
| Y Finance | Barrons |
| TradingView | Morningstar |
| SeekingAlpha | ValueLine |
| Motley Fool | Robinhood |
| CNBC | Etrade |
| MarketWatch | Unusual Whales |
| YCharts | Perplexity Finance |
| FinViz |
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