Ribbon Communications (NASDAQ:RBBN) Stock Hits Multi-Month High: Here is Why
Ribbon Communications (NASDAQ:RBBN) is a global player involved in delivering intellectual property, optical networking solutions, and communications software to entities involved in critical infrastructure sectors, service providers and enterprises.
The company works closely with all its customers so as to help them in modernizing their networks for becoming more competitive. It also provides them with a competitive advantage in the modern world in which fast, smart, and data-rich business practices are encouraged. Yesterday the Ribbon Communications stock soared amidst significant interest and clocked gains of 13.5% for the day.
The stock soared yesterday after it emerged that it had gone into a partnership for modernizing the operational network of Powerlink throughout the state. The significant development also drew the attention of the capital markets research firm Craig-Hallum. It announced that it had initiated coverage on the Ribbon Communications stock and set the target price at $5.5 a share.
The broader share price analysis of the Ribbon stock reveals that the highest price target is $7 a share and the lowest is $5.5 a share. The average price target is $6 a share, which reflects an upside of as much as 92.95% from the current price of $2.98 a share. As per the ratings of two analysts from Wall Street, the consensus for the stock is ‘Moderate Buy’.
The analysts projected that the Ribbon Communications stock could hit $6.33 a share by May 23, 2024. Analysts largely have a positive outlook about the stock and the majority classified it as either strong buy or buy.
On July 18, Ribbon Communications (NASDAQ:RBBN) announced that its IP Wave solutions had been selected to modernize the bandwidth network infrastructure across the Philippines by InifiniVAN. The company’s extensive IP Wave portfolio consists of the Apollo Optical Transport and NPT IP Routing solutions, which would be used by InfiniVAN to upgrade its network infrastructure.
The latest deal would help the company further boost its international presence. It should be noted that Ribbon is already performing strongly thanks to strong sales performance in India due to its partnership with telecom giant BhartiAirtel in IP routing and optical transport. It is a service provider to other operators in the region as well like Tata Teleservices. Additionally, the company also made a move into France with Unyc, a telecom service provider, which selected the STIR/SHAKEN solutions from Ribbon.
On July 19 the company announced that Powerlink, the electrical transmission operating entity in the state of Queensland in Australia had selected Ribbon for the purpose of modernizing its operational network across the state. Powerlink is a part of the National Electricity Market of Australia. Its network spans 1700 kilometers and consists of as much as 15,000 kilometers in terms of transmission lines. Powerlink would deploy the NPT family of routers from Ribbon for the purpose of building a protected and strong internal communications network. It would also deploy LightSoft Network Management System, an industry-leading product from Ribbon.