New York, Feb 24, 2026, 08:57 EST — Premarket
- RingCentral shares barely budged in premarket, following that steep decline on Monday.
- Piper Sandler raised its price target, though the firm stuck to a neutral rating and pointed out ongoing pricing pressure.
- Eyes are on the first dividend schedule, and whether the repricing after earnings is here to stay.
RingCentral shares inched 0.6% higher to $34.79 ahead of the bell Tuesday, bouncing back a bit after plunging 12.5% in the previous session. On Friday, the cloud communications stock had surged 34.4%, briefly reaching a session peak of $40.64. (Investing.com)
After the sharp moves, traders are left picking apart whether this is just a fleeting squeeze or the start of a fundamental shift in the market’s view of the company. RingCentral is still out there making its case to investors: slow-but-steady growth, paired with stronger cash generation.
Now the focus has swung: management is highlighting capital returns and margin targets instead of just growth. The latest jump in the stock lured in quick traders—Monday’s session was a swift reminder of how fast they’ll exit.
Piper Sandler bumped up its price target on RingCentral, now at $37 from $28 as of late Monday, but stuck to its Neutral stance, Investing.com reported. Analysts flagged possible enterprise pricing headwinds for 2026 and said stock-based compensation is still weighing on the shares via dilution. (Investing.com Philippines)
RingCentral’s board has signed off on a cash dividend plan, with a quarterly payout of $0.075 per share declared, according to a filing. Shareholders on record as of March 9 will see payments go out March 16. The company noted its intent is to keep dividends coming every quarter, though that depends on market conditions and future board decisions. (SEC)
Last week’s quarterly update from CEO Vlad Shmunis pointed to “AI is proving to be a strong tailwind,” with record free cash flow projected for 2025. CFO Vaibhav Agarwal added that net leverage has come down to 1.7x, and said boosting operating margins remains a target for the next few years. (Business Wire)
RingCentral put first-quarter total revenue between $640 million and $645 million, with full-year total revenue expected to climb around 4% to 5%. Looking ahead to 2026, the company said it sees free cash flow landing in the $580 million to $600 million range, and it’s targeting a non-GAAP operating margin of roughly 23% to 23.5%. Non-GAAP numbers strip out some costs, like stock-based compensation. (ir.ringcentral.com)
On the other hand, the market could judge that Friday’s rally has already baked in the positive news. Should bigger deals come with tighter pricing—or dilution remain elevated—the dividend story by itself won’t be enough to support the stock.
Eyes turn to RingCentral at the open, with attention on whether buyers return to last week’s post-earnings range. The immediate focus: March 9, the record date for the first dividend. Payment’s set for March 16.
