RingCentral | RNG | Long at $35.17
RingCentral 
RNG analysis:
The Good:
The Bad:
At $35.17,RNG is in a personal buy zone. If there is a dip in the price, I anticipate the price gap in the low $30's to be filled or in a dire situation, a drop to the mid-$20's.
Targets:
RNG analysis:The Good:
- Revenues grew every from 2017 (~$500 million) to Q3 of 2024 ($2.3 billion) and recently adjusted to a "beat" for 2024 as a whole.
- Gross profit in Q3 of 2024 was $1.6 billion and has increased every year since 2019
- Price-to-sales: 1.3x (industry average 5.7x)
- Rising free cash flow
- EBITDA positive at $190 million in Q3 of 2024
- From a technical analysis perspective, my historical simple moving average has converged with the price which often leads to a future share price increase. However, it could trade sideways for a while before breaking through.
The Bad:
- Competition, especially Microsoft Teams and other similar products in the market reducing or eliminating growth (although, this hasn't happened just yet).
- Recent insider selling
- Debt: $1.58 billion
At $35.17,
RNG is in a personal buy zone. If there is a dip in the price, I anticipate the price gap in the low $30's to be filled or in a dire situation, a drop to the mid-$20's.Targets:
- $40.00
- $45.00
- $50.00
- $200.00 (if momentum kicks for a long-term outlook)
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.