RingCentral price target lowered to $31 from $36 at Wells Fargo

Wells Fargo lowered the firm’s price target on RingCentral to $31 from $36 and keeps an Equal Weight rating on the shares. The firm notes RingCentral’s Q4 subscription revenue growth rate fell, while op margin improved. Management commentary suggests macro is now stabilizing with initial 2024 guide calling for 8%-9% growth and 21% OM. Wells sees a tough road to further improvement and remains on the sidelines.