RingCentral Valuation
Is RNG * undervalued compared to its fair value, analyst forecasts and its price relative to the market?
Valuation Score
4/6Valuation Score 4/6
Below Fair Value
Significantly Below Fair Value
Price-To-Sales vs Peers
Price-To-Sales vs Industry
Price-To-Sales vs Fair Ratio
Analyst Forecast
Share Price vs Fair Value
What is the Fair Price of RNG * when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.
Below Fair Value: RNG * (MX$520) is trading below our estimate of fair value (MX$2052.08)
Significantly Below Fair Value: RNG * is trading below fair value by more than 20%.
Key Valuation Metric
Which metric is best to use when looking at relative valuation for RNG *?
Key metric: As RNG * is unprofitable we use its Price-To-Sales Ratio for relative valuation analysis.
| What is RNG *'s PS Ratio? | |
|---|---|
| PS Ratio | 1.2x |
| Sales | US$2.31b |
| Market Cap | US$2.82b |
| Key Statistics | |
|---|---|
| Enterprise Value/Revenue | 1.9x |
| Enterprise Value/EBITDA | 33.2x |
| PEG Ratio | n/a |
Price to Sales Ratio vs Peers
How does RNG *'s PS Ratio compare to its peers?
| Company | Forward PS | Estimated Growth | Market Cap |
|---|---|---|---|
| Peer Average | 9.5x | ||
AVPT AvePoint | 9.3x | 17.6% | US$2.9b |
FIVN Five9 | 2.8x | 10.2% | US$2.9b |
300377 Shenzhen Ysstech Info-TechLtd | 12.5x | n/a | CN¥18.7b |
AGYS Agilysys | 13.2x | 19.6% | US$3.3b |
RNG * RingCentral | 1.2x | 7.2% | Mex$2.8b |
Price-To-Sales vs Peers: RNG * is good value based on its Price-To-Sales Ratio (1.2x) compared to the peer average (7.7x).
Price to Sales Ratio vs Industry
How does RNG *'s PS Ratio compare vs other companies in the Global Software Industry?
| 251 Companies | Price / Sales | Estimated Growth | Market Cap |
|---|---|---|---|
| 251 Companies | Estimated Growth | Market Cap | |
|---|---|---|---|
Price-To-Sales vs Industry: RNG * is good value based on its Price-To-Sales Ratio (1.2x) compared to the Global Software industry average (3x).
Price to Sales Ratio vs Fair Ratio
What is RNG *'s PS Ratio compared to its Fair PS Ratio? This is the expected PS Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.
| Fair Ratio | |
|---|---|
| Current PS Ratio | 1.2x |
| Fair PS Ratio | n/a |
Price-To-Sales vs Fair Ratio: Insufficient data to calculate RNG *'s Price-To-Sales Fair Ratio for valuation analysis.
Analyst Price Targets
What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?
Analyst Forecast: Insufficient data to show price forecast.
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