Here's Why RingCentral (RNG) is a Strong Value Stock
It doesn't matter your age or experience: taking full advantage of the stock market and investing with confidence are common goals for all investors.
While you may have an investing style you rely on, finding great stocks is made easier with the Zacks Style Scores. These are complementary indicators that rate stocks based on value, growth, and/or momentum characteristics.
Why Investors Should Pay Attention to This Value Stock
Value investors love finding good stocks at good prices, especially before the broader market catches on to a stock's true value. Utilizing ratios like P/E, PEG, Price/Sales, and Price/Cash Flow, the Value Style Score identifies the most attractive and most discounted stocks.
RingCentral (RNG)
RingCentral is a leading provider of contact center software-as-a-service (SaaS) solutions, along with global enterprise cloud communications, video meetings, collaboration, and customer engagement solutions that enable businesses to communicate, collaborate, and connect.
RNG is a Zacks Rank #2 (Buy) stock, with a Value Style Score of A and VGM Score of A. Shares are currently trading at a forward P/E of 7.7X for the current fiscal year compared to the Internet - Software and Services industry's P/E of 18.5X. Additionally, RNG has a PEG Ratio of 0.4 and a Price/Cash Flow ratio of 10.3X. Value investors should also note RNG's Price/Sales ratio of 1.1X.
A company's earnings performance is important for value investors as well. For fiscal 2024, seven analysts revised their earnings estimate higher in the last 60 days for RNG, while the Zacks Consensus Estimate has increased $0.02 to $3.65 per share. RNG also holds an average earnings surprise of 4.6%.
Investors should take the time to consider RNG for their portfolios due to its solid Zacks Ranks, notable earnings and valuation metrics, and impressive Value and VGM Style Scores.
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Ringcentral, Inc. (RNG) : Free Stock Analysis Report