Wall Street analysts expect RingCentral (RNG) to post quarterly earnings of $1.27 per share in its upcoming report, which indicates a year-over-year increase of 12.4%. Revenues are expected to be $666.96 million, up 4.4% from the year-ago quarter.
The current level reflects no revision in the consensus EPS estimate for the quarter over the past 30 days. This demonstrates how the analysts covering the stock have collectively reappraised their initial projections over this period.
Prior to a company's earnings release, it is of utmost importance to factor in any revisions made to the earnings projections. These revisions serve as a critical gauge for predicting potential investor behaviors with respect to the stock. Empirical studies consistently reveal a strong link between trends in earnings estimate revisions and the short-term price performance of a stock.
While investors usually depend on consensus earnings and revenue estimates to assess the business performance for the quarter, delving into analysts' forecasts for certain key metrics often provides a more comprehensive understanding.
In light of this perspective, let's dive into the average estimates of certain RingCentral metrics that are commonly tracked and forecasted by Wall Street analysts.
Analysts predict that the 'Revenues- Subscriptions' will reach $645.15 million. The estimate points to a change of +4.8% from the year-ago quarter.
It is projected by analysts that the 'Revenues- Other' will reach $21.82 million. The estimate points to a change of -4.5% from the year-ago quarter.
The collective assessment of analysts points to an estimated 'Gross Margin - Non-GAAP Subscriptions' of 80.5%. Compared to the present estimate, the company reported 80.8% in the same quarter last year.
The average prediction of analysts places 'Annualized Exit Monthly Recurring Subscriptions (ARR)' at $2.78 billion. The estimate is in contrast to the year-ago figure of $2.60 billion.
View all Key Company Metrics for RingCentral here>>>RingCentral shares have witnessed a change of +2.4% in the past month, in contrast to the Zacks S&P 500 composite's +0.7% move. With a Zacks Rank #2 (Buy), RNG is expected outperform the overall market performance in the near term. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>> .
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Ringcentral, Inc. (RNG): Free Stock Analysis Report
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