Ribbon Communications Inc. RBBN recently teamed up with a leading provider of cloud-based remote connectivity services — LogMeIn, Inc. LOGM — to ensure the smooth functioning of unified communications and collaboration services. The latest move emphasizes Ribbon’s commitment to address the upsurge in data demand, especially at a time when majority of the population is forced to work from home to avert exposure to the coronavirus outbreak.
Considered to provide customers with reliable remote access and support solutions, LogMeIn provides a common platform that enables employees to work from home and keep businesses running smoothly with robust security features. Specifically designed to share and collaborate files with just a click, its remote monitoring and task automation features make it an ideal solution in an ever-changing IT environment. Apart from automating routine tasks, the Boston, MA-based company also provides advanced security solutions to mitigate the risks of cyber threats with its in-built antivirus software.
Markedly, LogMeIn has tapped Ribbon’s diversified portfolio of edge and cloud solutions to address the burgeoning demand of network traffic. With millions of people staying indoors, Ribbon is leveraging its much-acclaimed session border controllers (SBCs) to help enterprise customers ramp up their communications infrastructure amid this hour of crisis. Impressively, these SBCs will help LogMeIn to deliver best-in-class security solutions to remote workers with increased network capacity.
LogMeIn makes full use of Network-Wide licensing solutions to optimize SBC utilization. This, in turn, helps LogMeIn to address dynamic network traffic levels seamlessly. Apart from leveraging Ribbon’s extensive portfolio of cloud solutions, LogMeIn also tapped SBC 7000 and G9 Media Gateway to provide an avant-garde networking infrastructure with the highest level of media and transcoding capabilities. To support the remote workforces with utmost efficacy, LogMeIn’s diverse portfolio of remote work solutions like GoToMyPC and RescueAssist come in handy in these challenging times.
Interestingly, Ribbon had deployed its Work@Home solution in the last month. As remote work has now become the new normal, this cloud-based solution provides enterprises and contact centers with advanced remote working capabilities. Built as the remote version of its Smart Office software, the Work@Home platform includes added benefits like screen sharing and video chat. Currently, Ribbon is focused on delivering real-time and secure data as well as voice network capabilities for the cloud, network and enterprise edge with continued investment in high-growth markets.
The Zacks Consensus Estimate for the company’s current-year earnings has been revised 17.3% upward in the past 60 days to 61 cents. The stock is currently trading with a forward P/E of 4.9X. Shares of Ribbon have plunged 41.1% compared with 43% decline recorded by the industry in the past year.
Zacks Rank & Other Stocks to Consider
Ribbon currently carries a Zacks Rank #2 (Buy).
A few better-ranked stocks in the broader industry are Opera Limited OPRA and InterDigital, Inc. IDCC. While Opera sports a Zacks Rank #1 (Strong Buy), InterDigital carries a Zack Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
Opera’s bottom line surpassed the Zacks Consensus Estimate twice in the last four quarters. The company has a trailing four-quarter positive earnings surprise of 192.9%, on average.
InterDigital’s bottom line surpassed the Zacks Consensus Estimate thrice in the last four quarters. The company has a trailing four-quarter positive earnings surprise of 62%, on average.
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