RingCentral, Inc.

LSE:0V50 Stock Report

Market Cap: US$3.2b

RingCentral Valuation

Is 0V50 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

2/6

Valuation Score 2/6

  • Below Future Cash Flow Value

  • Significantly Below Future Cash Flow Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Future Cash Flow Value

What is the Fair Price of 0V50 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Ultimate guide to DCF valuation for stock investing

Learn how to determine fair value like the best investors in the world.

Below Future Cash Flow Value: 0V50 ($37.67) is trading below our estimate of future cash flow value ($116.48)

Significantly Below Future Cash Flow Value: 0V50 is trading below future cash flow value by more than 20%.


Key Valuation Metric

Which metric is best to use when looking at relative valuation for 0V50?

Key metric: As 0V50 is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for 0V50. This is calculated by dividing 0V50's market cap by their current earnings.
What is 0V50's PE Ratio?
PE Ratio73.2x
EarningsUS$43.39m
Market CapUS$3.18b

Price to Earnings Ratio vs Peers

How does 0V50's PE Ratio compare to its peers?

The above table shows the PE ratio for 0V50 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average25.3x
SGE Sage Group
21.3x11.54%UK£7.9b
BYIT Bytes Technology Group
12.9x3.28%UK£688.3m
ALFA Alfa Financial Software Holdings
14.5x2.01%UK£435.5m
GBG GB Group
52.6x36.95%UK£475.9m
0V50 RingCentral
73.2x32.52%US$3.2b

Price-To-Earnings vs Peers: 0V50 is expensive based on its Price-To-Earnings Ratio (73.2x) compared to the peer average (25.3x).


Historical Price to Earnings Ratio

Historical Price to Earnings Ratio compares a stock's price to its earnings over time. Higher ratios indicate that investors are willing to pay more for the stock.

Fetching historical data


Price to Earnings Ratio vs Industry

How does 0V50's PE Ratio compare vs other companies in the GB Software Industry?

1 CompanyPrice / EarningsEstimated GrowthMarket Cap
MODE R8 Capital Investments
1.7xn/aUS$1.28m
No more companies available in this PE range
0V50 73.2xIndustry Avg. 26.4xNo. of Companies4PE020406080100+
1 CompanyEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: 0V50 is expensive based on its Price-To-Earnings Ratio (73.2x) compared to the UK Software industry average (26.4x).


Price to Earnings Ratio vs Fair Ratio

What is 0V50's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

0V50 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio73.2x
Fair PE Ratio53x

Price-To-Earnings vs Fair Ratio: 0V50 is expensive based on its Price-To-Earnings Ratio (73.2x) compared to the estimated Fair Price-To-Earnings Ratio (53x).


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst 0V50 forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUS$38.02
US$37.47
-1.46%
19.37%US$55.00US$29.00n/a15
Mar ’27US$35.76
US$35.70
-0.17%
14.12%US$50.00US$29.00n/a15
Feb ’27US$25.69
US$33.07
+28.72%
13.99%US$45.00US$27.00n/a15
Jan ’27US$29.02
US$33.00
+13.71%
13.55%US$45.00US$27.00n/a16
Dec ’26US$28.74
US$32.82
+14.20%
13.39%US$45.00US$27.00n/a17
Nov ’26US$29.97
US$33.53
+11.90%
20.15%US$55.00US$27.00n/a17
Oct ’26US$28.96
US$33.53
+15.78%
20.15%US$55.00US$27.00n/a17
Sep ’26US$30.83
US$33.24
+7.82%
20.83%US$55.00US$27.00n/a17
Aug ’26US$23.93
US$33.29
+39.15%
21.41%US$55.00US$24.00n/a17
Jul ’26US$29.43
US$34.34
+16.69%
23.76%US$55.00US$24.00n/a18
Jun ’26US$25.70
US$33.29
+29.55%
21.41%US$55.00US$24.00n/a17
May ’26US$25.77
US$34.53
+33.99%
23.15%US$55.00US$22.00n/a17
Apr ’26US$25.19
US$37.78
+49.97%
16.89%US$55.00US$30.00US$36.6118
Mar ’26US$28.14
US$38.42
+36.54%
17.66%US$55.00US$30.00US$35.7619
Feb ’26US$35.36
US$42.26
+19.52%
14.56%US$55.00US$30.00US$25.6919
Jan ’26US$35.16
US$43.37
+23.33%
12.92%US$55.00US$37.00US$29.0219
Dec ’25US$37.65
US$43.11
+14.48%
13.61%US$55.00US$35.00US$28.7419
Nov ’25US$36.21
US$41.74
+15.26%
16.47%US$55.00US$31.00US$29.9719
Oct ’25US$30.68
US$41.95
+36.74%
16.10%US$55.00US$31.00US$28.9619
Sep ’25US$33.68
US$42.25
+25.45%
15.89%US$55.00US$31.00US$30.8320
Aug ’25US$33.15
US$40.05
+20.81%
18.26%US$55.00US$28.00US$23.9321
Jul ’25US$28.44
US$40.32
+41.79%
17.77%US$55.00US$28.00US$29.4322
Jun ’25US$33.60
US$40.55
+20.69%
16.87%US$55.00US$32.00US$25.7022
May ’25US$29.82
US$39.68
+33.04%
17.62%US$55.00US$31.00US$25.7723
Apr ’25US$34.88
US$39.91
+14.43%
17.18%US$55.00US$31.00US$25.1923
US$37.36
Fair Value
0.8% overvalued intrinsic discount
15
Number of Analysts

Analyst Forecast: Target price is lower than the current share price.


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Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2026/04/06 18:14
End of Day Share Price 2026/04/02 00:00
Earnings2025/12/31
Annual Earnings2025/12/31

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* Example for US securities, for non-US equivalent regulatory forms and sources are used.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on Github.

Analyst Sources

RingCentral, Inc. is covered by 33 analysts. 16 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
William PowerBaird
Michael FunkBofA Global Research
Matthew VanVlietBTIG