Why RingCentral Stock Is Up Today

RingCentral stock rose 5% after raising its full-year free cash flow forecast. The communications software provider reported Q3 revenue growth of 5.9% and highlighted AI as a major growth opportunity, with AI product customers now representing over $400 million in annual recurring revenue and doubling year-over-year. The company also improved profitability with adjusted operating margins increasing to 24.7% and free cash flow rising 21% to $157 million.