(RBBN) Ribbon Communications - Ratings and Ratios
Session Border Controllers, Media Gateways, Optical Transport, IP Switches
Dividends
Currently no dividends paid| Risk via 10d forecast | |
|---|---|
| Volatility | 53.5% |
| Value at Risk 5%th | 77.0% |
| Relative Tail Risk | -12.52% |
| Reward TTM | |
|---|---|
| Sharpe Ratio | -0.35 |
| Alpha | -42.95 |
| CAGR/Max DD | 0.04 |
| Character TTM | |
|---|---|
| Hurst Exponent | 0.350 |
| Beta | 1.514 |
| Beta Downside | 1.564 |
| Drawdowns 3y | |
|---|---|
| Max DD | 59.83% |
| Mean DD | 29.34% |
| Median DD | 30.89% |
Description: RBBN Ribbon Communications October 22, 2025
Ribbon Communications Inc. (NASDAQ:RBBN) is a global provider of communications-technology hardware and software, serving customers across North America, Europe, the Middle East, Africa, and the Asia-Pacific. The company operates through two primary segments: Cloud & Edge and IP Optical Networks.
The Cloud & Edge segment delivers solutions for VoIP, VoLTE, and Vo5G, as well as unified communications and collaboration tools. Its portfolio includes session border controllers, signaling products, call controllers, media gateways, and application servers, all designed to run on private, public, hybrid-cloud, data-center, enterprise, or service-provider environments.
The IP Optical Networks segment focuses on IP networking, switching, routing, and optical transport hardware and software that underpin 5G, distributed cloud computing, and related applications. Offerings span 5G-native mobile-backhaul, metro and edge aggregation, core networking, data-center interconnect, and multi-service access for wholesale carriers, utilities, government, defense, finance, transportation, and research institutions.
According to the company’s FY 2023 Form 10-K, Ribbon reported total revenue of approximately $1.2 billion, a year-over-year increase of about 5 percent, and an operating margin of 6 percent, with a backlog of roughly $500 million that reflects strong demand for 5G-ready transport and edge-computing solutions. The segment’s growth is being driven by macro-level drivers such as sustained telecom capex on 5G rollouts, increasing migration of voice services to cloud-native platforms, and enterprise adoption of hybrid-cloud communications infrastructure.
If you want a data-rich, unbiased view of how Ribbon’s valuation stacks up against peers, a quick look at ValueRay’s analyst-grade metrics can help you identify any pricing gaps worth investigating.
Piotroski VR‑10 (Strict, 0-10) 5.0
| Net Income (-43.1m TTM) > 0 and > 6% of Revenue (6% = 52.1m TTM) |
| FCFTA 0.05 (>2.0%) and ΔFCFTA 5.58pp (YES ≥ +1.0pp, WARN ≥ +0.5pp) |
| NWC/Revenue 14.57% (prev 15.26%; Δ -0.69pp) (YES ≤20% & Δ≤-1pp; WARN ≤25% & Δ≤0 oder ≤40% & Δ≤-3pp) |
| CFO/TA 0.08 (>3.0%) and CFO 83.9m > Net Income -43.1m (YES >=105%, WARN >=100%) |
| Net Debt (333.4m) to EBITDA (70.1m) ratio: 4.76 <= 3.0 (WARN <= 3.5) |
| Current Ratio 1.43 (target 1.5–3.0; WARN 1.2–<1.5 or >3.0–5.0; CFO/TA gate active) |
| Outstanding Shares last Quarter (176.4m) change vs 12m ago 1.00% (target <= -2.0% for YES) |
| Gross Margin 50.62% (prev 49.58%; Δ 1.04pp) >=18% & Δ>=+0.5pp (WARN >=15% & Δ>=0) |
| Asset Turnover 78.25% (prev 72.56%; Δ 5.69pp) >=50% & Δ>=+2pp (WARN >=35% & Δ>=0) |
| Interest Coverage Ratio 0.20 (EBITDA TTM 70.1m / Interest Expense TTM 45.8m) >= 6 (WARN >= 3) |
Altman Z'' -6.26
| (A) 0.11 = (Total Current Assets 418.4m - Total Current Liabilities 291.9m) / Total Assets 1.11b |
| (B) -1.47 = Retained Earnings (Balance) -1.62b / Total Assets 1.11b |
| warn (B) unusual magnitude: -1.47 — check mapping/units |
| (C) 0.01 = EBIT TTM 8.96m / Avg Total Assets 1.11b |
| (D) -2.17 = Book Value of Equity -1.62b / Total Liabilities 745.2m |
| Total Rating: -6.26 = (6.56 * A) + (3.26 * B) + (6.72 * C) + (1.05 * D) |
ValueRay F-Score (Strict, 0-100) 46.40
| 1. Piotroski 5.0pt |
| 2. FCF Yield 6.34% |
| 3. FCF Margin 6.05% |
| 4. Debt/Equity 1.13 |
| 5. Debt/Ebitda 4.76 |
| 6. ROIC - WACC (= -6.40)% |
| 7. RoE -11.36% |
| 8. Rev. Trend 10.26% |
| 9. EPS Trend 28.89% |
What is the price of RBBN shares?
Over the past week, the price has changed by +3.11%, over one month by -8.02%, over three months by -21.99% and over the past year by -28.54%.
Is RBBN a buy, sell or hold?
- Strong Buy: 4
- Buy: 1
- Hold: 0
- Sell: 0
- Strong Sell: 0
What are the forecasts/targets for the RBBN price?
| Issuer | Target | Up/Down from current |
|---|---|---|
| Wallstreet Target Price | 5.8 | 93% |
| Analysts Target Price | 5.8 | 93% |
| ValueRay Target Price | 2.9 | -4% |
RBBN Fundamental Data Overview December 03, 2025
P/S = 0.5708
P/B = 1.4028
Beta = 1.014
Revenue TTM = 868.6m USD
EBIT TTM = 8.96m USD
EBITDA TTM = 70.1m USD
Long Term Debt = 326.1m USD (from longTermDebt, last quarter)
Short Term Debt = 20.4m USD (from shortTermDebt, last quarter)
Debt = 408.2m USD (from shortLongTermDebtTotal, last quarter)
Net Debt = 333.4m USD (from netDebt column, last quarter)
Enterprise Value = 829.3m USD (495.8m + Debt 408.2m - CCE 74.8m)
Interest Coverage Ratio = 0.20 (Ebit TTM 8.96m / Interest Expense TTM 45.8m)
FCF Yield = 6.34% (FCF TTM 52.6m / Enterprise Value 829.3m)
FCF Margin = 6.05% (FCF TTM 52.6m / Revenue TTM 868.6m)
Net Margin = -4.96% (Net Income TTM -43.1m / Revenue TTM 868.6m)
Gross Margin = 50.62% ((Revenue TTM 868.6m - Cost of Revenue TTM 428.9m) / Revenue TTM)
Gross Margin QoQ = 50.13% (prev 49.55%)
Tobins Q-Ratio = 0.75 (Enterprise Value 829.3m / Total Assets 1.11b)
Interest Expense / Debt = 2.84% (Interest Expense 11.6m / Debt 408.2m)
Taxrate = -34.89% (negative due to tax credits) (3.13m / -8.98m)
NOPAT = 12.1m (EBIT 8.96m * (1 - -34.89%)) [negative tax rate / tax credits]
Current Ratio = 1.43 (Total Current Assets 418.4m / Total Current Liabilities 291.9m)
Debt / Equity = 1.13 (Debt 408.2m / totalStockholderEquity, last quarter 360.1m)
Debt / EBITDA = 4.76 (Net Debt 333.4m / EBITDA 70.1m)
Debt / FCF = 6.34 (Net Debt 333.4m / FCF TTM 52.6m)
Total Stockholder Equity = 379.2m (last 4 quarters mean from totalStockholderEquity)
RoA = -3.90% (Net Income -43.1m / Total Assets 1.11b)
RoE = -11.36% (Net Income TTM -43.1m / Total Stockholder Equity 379.2m)
RoCE = 1.27% (EBIT 8.96m / Capital Employed (Equity 379.2m + L.T.Debt 326.1m))
RoIC = 1.69% (NOPAT 12.1m / Invested Capital 715.4m)
WACC = 8.09% (E(495.8m)/V(904.1m) * Re(11.59%) + D(408.2m)/V(904.1m) * Rd(2.84%) * (1-Tc(-0.35)))
Discount Rate = 11.59% (= CAPM, Blume Beta Adj.)
Shares Correlation 3-Years: 33.33 | Cagr: 0.97%
[DCF Debug] Terminal Value 56.33% ; FCFE base≈52.6m ; Y1≈34.5m ; Y5≈15.8m
Fair Price DCF = 1.10 (DCF Value 194.2m / Shares Outstanding 176.6m; 5y FCF grow -40.0% → 3.0% )
EPS Correlation: 28.89 | EPS CAGR: 44.73% | SUE: -0.74 | # QB: 0
Revenue Correlation: 10.26 | Revenue CAGR: -1.80% | SUE: -0.53 | # QB: 0
EPS next Quarter (2026-03-31): EPS=0.01 | Chg30d=-0.021 | Revisions Net=-1 | Analysts=5
EPS next Year (2026-12-31): EPS=0.27 | Chg30d=-0.063 | Revisions Net=-2 | Growth EPS=+57.7% | Growth Revenue=+5.7%
Additional Sources for RBBN Stock
Tweets: X | Stocktwits
Fund Manager Positions: Dataroma | Stockcircle