RBBN (Ribbon Communications) Cash Conversion Cycle: 123.86 (As of Mar. 2026)


RBBN Ribbon Communications Inc RBBN
58 GF Score
Price $2.14
GF Value $2.99
Valuation Modestly Undervalued
! 3 Warning Signs
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What is Ribbon Communications Cash Conversion Cycle?

Ribbon Communications RBBN -8.94% 58 Cash Conversion Cycle is 123.86 as of Mar. 2026. GuruFocus rates RBBN with a GF Score™ of 58/100 and a GF Value™ of $2.99 (Modestly Undervalued). The stock has 3 warning signs investors should review.

Cash Conversion Cycle is one of several measures of management effectiveness. It equals Days Sales Outstanding + Days Inventory - Days Payable.

Ribbon Communications's Days Sales Outstanding for the three months ended in Mar. 2026 was 122.32.
Ribbon Communications's Days Inventory for the three months ended in Mar. 2026 was 78.7.
Ribbon Communications's Days Payable for the three months ended in Mar. 2026 was 77.16.
Therefore, Ribbon Communications's Cash Conversion Cycle (CCC) for the three months ended in Mar. 2026 was 123.86.


Ribbon Communications  (NAS:RBBN) Cash Conversion Cycle Explanation

Generally, the lower this number is, the better for the company. Although it should be combined with other metrics (such as ROE % and ROA %), it can be especially useful for comparing close competitors, because the company with the lowest CCC is often the one with better management.


Be Aware

CCC is most effective with retail-type companies, which have inventories that are sold to customers. Consulting businesses, software companies and insurance companies are all examples of companies for whom this metric is meaningless.

The CCC is one of several tools that can help you evaluate management, especially if it is calculated for several consecutive time periods and for several competitors. Decreasing or steady CCCs are good, while rising ones should motivate you to dig a bit deeper.


Ribbon Communications Cash Conversion Cycle Related Terms


Ribbon Communications Cash Conversion Cycle Historical Data

* Premium members only.

The historical data trend for Ribbon Communications's Cash Conversion Cycle can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Ribbon Communications Cash Conversion Cycle Chart

Ribbon Communications Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Cash Conversion Cycle
Get a 7-Day Free Trial Premium Member Only Premium Member Only 84.77 94.82 106.06 106.99 101.01

Ribbon Communications Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
Cash Conversion Cycle Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 116.35 94.28 96.89 91.32 123.86

RBBN vs XPER, SVCO, RMNI: Cash Conversion Cycle Comparison

For the Software - Application subindustry, Ribbon Communications's Cash Conversion Cycle, along with its competitors' market caps and Cash Conversion Cycle data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Ribbon Communications Cash Conversion Cycle vs Software Industry

For the Software industry and Technology sector, Ribbon Communications's Cash Conversion Cycle distribution charts can be found below:

* The bar in red indicates where Ribbon Communications's Cash Conversion Cycle falls into.


RBBN
58GF Score
Ribbon Communications Inc RBBN
Cash Conversion Cycle is just one metric. See GF Score™, valuation, warning signs, and more.
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Ribbon Communications Cash Conversion Cycle Calculation

Cash Conversion Cycle (CCC) measures how fast a company can convert cash on hand into even more cash on hand. This metric looks at the amount of time needed to sell inventory, the amount of time needed to collect receivables and the length of time the company is afforded to pay its bills without incurring penalties.

Cash Conversion Cycle is one of several measures of management effectiveness.

Ribbon Communications's Cash Conversion Cycle for the fiscal year that ended in Dec. 2025 is calculated as

Cash Conversion Cycle=Days Sales Outstanding +Days Inventory-Days Payable
=105.15+68.02-72.16
=101.01

Ribbon Communications's Cash Conversion Cycle for the quarter that ended in Mar. 2026 is calculated as:

Cash Conversion Cycle=Days Sales Outstanding+Days Inventory-Days Payable
=122.32+78.7-77.16
=123.86

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Frequently Asked Questions Learn more about Cash Conversion Cycle →
What does a Cash Conversion Cycle of 123.86 mean?
Ribbon Communications (RBBN) has a Cash Conversion Cycle of 123.86 as of Mar. 2026. Cash conversion cycle equals sum of days inventory and days sales outstanding less days payable. View historical data on Ribbon Communications and its competitors.
Is Ribbon Communications' Cash Conversion Cycle too high?
Ribbon Communications' current Cash Conversion Cycle is 123.86. The Software industry median Cash Conversion Cycle is 32.25. Ribbon Communications' value of 123.86 is 284.1% above this industry median. Overall, Ribbon Communications has a GF Score™ of 58/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Ribbon Communications' Cash Conversion Cycle compare to XPER and SVCO?
Ribbon Communications' Cash Conversion Cycle of 123.86 can be compared against companies in the Software industry. The industry median Cash Conversion Cycle is 32.25. Ribbon Communications' value of 123.86 is 284.1% above this benchmark. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Cash Conversion Cycle for a Software company?
The median Cash Conversion Cycle among Software companies is 32.25, based on 2,805 companies in the industry. Companies in the top quartile (top 25%) have a Cash Conversion Cycle significantly above this median, while those in the bottom quartile fall well below. However, Cash Conversion Cycle should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Ribbon Communications's current Cash Conversion Cycle of 123.86 is 284.1% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Cash Conversion Cycle mean?
A high Cash Conversion Cycle can signal that a stock is expensive relative to its fundamentals. Cash conversion cycle equals sum of days inventory and days sales outstanding less days payable. View historical data on Ribbon Communications and its competitors. For the Software industry, the median Cash Conversion Cycle is 32.25 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Ribbon Communications's current Cash Conversion Cycle is 123.86. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Ribbon Communications stock overvalued right now?
Based on GuruFocus' analysis, Ribbon Communications (RBBN) is currently considered Modestly Undervalued. The stock's GF Value™ is $2.99, compared to a current price of $2.14 — trading 28.4% below its estimated fair value. The current Cash Conversion Cycle is 123.86 and 284.1% above the Software industry median of 32.25. Ribbon Communications' overall GF Score™ is 58/100 with 3 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Cash Conversion Cycle calculated?
Cash Conversion Cycle is calculated from a company's financial statements. For Ribbon Communications (RBBN), the current Cash Conversion Cycle is 123.86 as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Ribbon Communications (RBBN) Overvalued in 2026?

Based on GuruFocus' analysis, Ribbon Communications stock appears to be undervalued. The current stock price of $2.14 is trading 28.4% below its estimated GF Value™ of $2.99. GuruFocus considers Ribbon Communications to be Modestly Undervalued.

Key valuation signals for RBBN:

  • Cash Conversion Cycle: 123.86
  • GF Value™: $2.99 vs. price of $2.14 (28.4% below fair value)
  • GF Score™: 58/100 with 3 warning signs
  • Industry Position: 284.1% above the Software median

No single metric tells the full story. See the RBBN stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Ribbon Communications Business Description

Other Exchanges NU42:Germany
Address 6500 Chase Oaks Boulevard, Suite 100, Plano, TX, USA, 75023
Ribbon Communications Inc provides communications technology to service providers and enterprises, offering software and high-performance hardware products, network solutions, and services for secure data and voice communications, as well as high-bandwidth networking for residential and enterprise customers across industries such as finance, education, government, utilities, and transportation. It operates through two segments: Cloud and Edge, which generate maximum revenue and deliver software-centric, cloud-native solutions for VoIP, VoLTE, VoNR, and unified communications, and IP Optical Networks, which support growing telecommunications traffic from 5G, distributed cloud computing, and other applications. The Company generates the majority of its revenue from the United States.
58GF Score

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Cash Conversion Cycle is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

$2.14
Price
$2.99
GF Value