RingCentral (RNG) soared 27% on Wednesday, hitting $29.99 per share, following strong income results and a bullish analyst rating. The company reported a net income of $13.19 million, a significant improvement from a $14.7 million loss last year, with revenues increasing by 4.6%.

For the first half of the year, RingCentral saw a net income of $2.86 million, a turnaround from a $43 million loss in the same period last year. Total revenues also rose by 2% to $1.2 billion. Investment firm Oppenheimer upgraded RNG’s stock rating to “outperform” with a price target of $35.

Oppenheimer views RingCentral as a defensive play with upside potential at an attractive entry point, nearing its five-year low. They anticipate annual expansion of 50-100 basis points for the company. While RNG shows promise as an investment, there may be other AI stocks with higher returns and less downside risk.

Read more at Yahoo Finance: RingCentral (RNG) Soars 27% on Strong Income, Bullish Rating