Education
About Us
Working with TipRanks
Follow Us
Rimini Street Inc (RMNI)
NASDAQ:RMNI
Top Page
Rimini Street
(NASDAQ:RMNI)
Select Model
Select Model
Rating:54Neutral
Price Target:
$3.00
▼(-19.35% Downside)
Action:ReiteratedDate:02/20/26
The score reflects improved 2025 profitability and strong cash generation offset by significant balance-sheet weakness (negative equity) and limited/declining revenue. Technically, the stock remains in a weak downtrend despite oversold readings, while valuation is supportive due to a low P/E. Earnings guidance is constructive but includes notable near-term execution and margin risks.
Positive Factors
Strong cash generation
Rimini delivered materially positive operating and free cash flow in 2025 and ended the year with ~$120M cash. Durable cash generation increases runway for product investment, supports the AI go‑to‑market spend and buybacks, and reduces short‑term liquidity risk despite revenue volatility.
Growing contracted backlog (RPO)
An RPO backlog of $653M (up 11% YoY, +12% ex‑PeopleSoft) provides multi‑period revenue visibility and contractually backed future billings. This structural backlog underpins recurring revenue predictability, smoothing near‑term ups/downs and supporting management's medium‑term growth targets.
Differentiated Agentic AI product
Agentic AI is deployable over existing ERPs without migrations and has early measurable client benefits. That product positioning creates a sustainable competitive advantage: lower switching friction, clear ROI for clients, and an expansion path into higher‑value managed AI services and upsells.
Negative Factors
Persistently negative equity
A sustained negative shareholders' equity position constrains financial flexibility, complicates capital raises and weakens creditor confidence. Over months this structural balance‑sheet deficit limits leverage options, makes covenant/financing more costly, and raises solvency perception risk.
Flat-to-declining revenue and ARR
Revenue and ARR have been essentially flat to slightly down, limiting organic growth runway. Persistent top‑line stagnation reduces operating leverage, constrains reinvestment capacity, and forces reliance on new product adoption or cost cuts to restore durable margin expansion.
Customer retention pressure
An ~88% retention rate and elevated retention losses imply higher churn than ideal for a subscription model. Structurally this demands increased sales and marketing investment to replace revenue, pressuring margins and making growth more expensive and less predictable over the medium term.
Rimini Street (RMNI) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$340.99M
Dividend YieldN/A
Average Volume (3M)403.00K
Price to Earnings (P/E)9.4
Beta (1Y)0.84
Revenue Growth-0.16%
EPS GrowthN/A
CountryUS
Employees2,000
SectorTechnology
Sector Strength88
IndustrySoftware - Application
Share Statistics
EPS (TTM)0.07
Shares Outstanding91,664,000
10 Day Avg. Volume596,585
30 Day Avg. Volume402,999
Financial Highlights & Ratios
PEG Ratio-0.05
Price to Book (P/B)-13.17
Price to Sales (P/S)0.84
P/FCF Ratio6.40
Enterprise Value/Market Cap0.73
Enterprise Value/Revenue0.59
Enterprise Value/Gross Profit0.98
Enterprise Value/Ebitda3.59
Forecast
1Y Price Target
$5.94Price Target Upside59.68% Upside
Rating ConsensusStrong Buy
Number of Analyst Covering4
EPS Forecast (FY)0.35
Revenue Forecast (FY)$434.39M
Rimini Street Business Overview & Revenue Model
Company DescriptionRimini Street, Inc. provides enterprise software products, services, and support for various industries. The company offers software support services for Oracle and SAP enterprise software products. It sells its solutions primarily through direct sales organizations in North America, Latin America, Europe, Africa, the Middle East, Asia, and the Asia-Pacific. Rimini Street, Inc. was incorporated in 2005 and is headquartered in Las Vegas, Nevada.
How the Company Makes MoneyRimini Street generates revenue primarily through its subscription-based service model, where clients pay annual fees for support services. The company offers various tiers of support, with pricing that is typically lower than vendor-provided support services, allowing clients to save on maintenance costs. Key revenue streams include ongoing support contracts, which are renewed annually, and additional consulting or custom development services requested by clients. Significant partnerships with technology and consulting firms help enhance its service offerings and expand its client base, further contributing to its earnings. The company also benefits from a growing market trend towards third-party support, as businesses seek cost-effective alternatives to traditional vendor maintenance agreements.
Rimini Street Earnings Call Summary
Earnings Call Date:Feb 19, 2026
(Q4-2025)
| % Change Since: |
Next Earnings Date:May 06, 2026
Earnings Call Sentiment Neutral
The call presents a mixed picture: clear strategic and operational positives (strong RPO growth, successful Agentic AI product launch with measurable client benefits, improved cash and RPO, and return to GAAP profitability for the year) balanced against near-term operational pressures (declines in reported revenue and ARR on a GAAP basis, margin compression, lower adjusted EBITDA, higher sales and marketing spend to scale the new product line, and retention headwinds). Management expressed confidence in returning to growth in 2026 and provided constructive guidance, but the company faces execution and margin challenges in the near term.Q4-2025 Updates
Positive Updates
RPO and Billings Momentum
Remaining performance obligations (RPO) reached $653.0M as of Dec 31, 2025, up 11% year-over-year (and +12% excluding PeopleSoft-related RPO). Q4 billings were $171.3M (flat YoY) and full-year billings were $427.9M, up 1.2% YoY (and +4.2% YoY excluding PeopleSoft). Management reported stronger pipeline and improved close rates (over 30% in Q4).
Agentic AI Product Launch and Early Operational Gains
Launched Rimini Agentic UX (20 solutions in partnership with ServiceNow); solutions already in production and delivering measurable improvements such as 50%–60% faster approvals, 70%–80% reduction in order cycle times and >95% data accuracy. Management positioned these solutions as accretive, deployable over existing ERP systems without upgrades or migrations.
Large Deal Momentum and New Logos
Closed 19 new client transactions > $1.0M in TCV totaling $58.1M versus 22 transactions totaling $51.9M a year ago (TCV on those large deals increased ~11.9%). Added 73 new logos, including global and regional brand wins.
Stronger Cash Position and Improved Operating Cash Flow
Ended Q4 with $120.0M in cash versus $88.8M a year ago. Operating cash flow improved materially: full-year 2025 operating cash flow increased by $60.2M compared to a prior-year decrease of $38.8M (results include $37.9M litigation settlement proceeds).
GAAP Profitability Improvement and 2026 Guidance
Full-year 2025 GAAP net income was $0.39 per diluted share versus a prior-year GAAP net loss of $0.40 per diluted share. Company provided Q1 2026 revenue guidance of $101.5M–$103.5M and reiterated full-year 2026 guidance of revenue growth in the 4%–6% range with adjusted EBITDA margins of 12.5%–15.5%.
Underlying Revenue and ARR Strength Excluding PeopleSoft
When excluding Oracle PeopleSoft support, full-year revenue increased 1.0% and Q4 revenue decreased only 0.4%; management stated Q4 revenue would have grown 2.6% excluding one-time items. ARR metrics excluding PeopleSoft improved (management cited ARR increasing ~3.1% YoY excluding PeopleSoft).
Negative Updates
Reported Revenue and ARR Declines (GAAP)
Reported Q4 revenue was $109.8M, down 3.9% YoY, and full-year revenue was $421.5M, down 1.7% YoY. Annualized recurring revenue (ARR) was $411.4M in Q4, down 0.8% YoY on a reported basis.
Margin Compression and Lower Adjusted EBITDA
Gross margin was 60.4% for both Q4 and full year 2025 (vs. 63.7% in prior-year Q4). Non-GAAP operating margin (ex-litigation, reorg, stock comp) was 9.3% in Q4 vs 16.7% prior-year Q4. Adjusted EBITDA declined to $11.5M (10.4% of revenue) in Q4 from $20.0M (17.5%) the prior year; full-year adjusted EBITDA was $49.8M (11.8%) vs $53.1M (12.4%) prior year.
Rising Operating Expenses, Increased Sales & Marketing Spend
Sales & marketing expense increased to 37.7% of revenue in Q4 (36.0% full year) vs 32.8% of revenue in prior-year Q4 (34.9% full year). Management is hiring ~20 additional sellers (from mid-70s to early-90s) and raised quotas 12%–15%, increasing near-term expense to support the Agentic AI go-to-market.
Customer Retention Pressure
Service subscription revenue retention rate was approximately 88%, and management noted higher-than-expected retention losses in 2025 that pressured revenue. About 86% of subscription revenue is noncancelable for at least 12 months.
PeopleSoft Wind-Down Impact
PeopleSoft support revenue represented ~4% of Q4 revenue and ~5% of full-year revenue (down from ~8% at the wind-down start), creating a foreseeable headwind as the company continues to reduce PeopleSoft-related clients and revenue through the wind-down (to be completed no later than July 31, 2028).
Non-GAAP Net Income and EPS Declines
Non-GAAP net income for full-year 2025 was $0.23 per diluted share versus $0.48 prior year; Q4 non-GAAP net income was $0.06 per diluted share versus $0.12 prior-year Q4. Q4 GAAP EPS was $0.01 vs $0.07 prior-year Q4.
Company Guidance
Rimini guided Q1 2026 revenue of $101.5M–$103.5M and reiterated full‑year 2026 targets of 4%–6% revenue growth with adjusted EBITDA margins of 12.5%–15.5%; management said Q1’s tight range reflects GAAP impacts from the PeopleSoft wind‑down (PeopleSoft ≈4% of Q4 and ≈5% of FY2025 revenue and expected to decline sequentially) and that excluding PeopleSoft they expect Q1 growth, while an analyst noted an implied ~1.5% y/y Q1 decline on GAAP. They cited improving leading metrics behind the outlook including year‑end RPO of $653M (up 11% YoY, +12% ex‑PeopleSoft), ARR of $411.4M (Q4), FY2025 billings of $427.9M (+1.2% YoY; +4.2% ex‑PeopleSoft), Q4 billings of $171.3M, FY2025 revenue of $421.5M (Q4 revenue $109.8M), gross margin ~60.4%, cash of $120M, >30% close rates in Q4, and planned sales capacity expansion (roughly +20 sellers from mid‑70s to early‑90s) to drive back‑half acceleration.Rimini Street Financial Statement Overview
Summary
Profitability and cash flow improved in 2025 (positive net income and strong operating/free cash flow), but revenue is flat-to-down and the balance sheet is a major constraint due to persistently negative equity despite lower debt.Income Statement
Revenue has been essentially flat to slightly down recently (2025 down ~2% after a small decline in 2024), following stronger growth earlier in the period. Profitability rebounded meaningfully in 2025 with positive net income (~9% net margin) and solid EBITDA margin (~14%) versus a loss in 2024, but earnings have been volatile across years (profits in 2023, small loss in 2022, outsized profit in 2021). Overall: improving profitability off a weak year, but limited growth and uneven earnings quality keep the score mid-range.58
Neutral
Balance Sheet
The balance sheet is pressured by persistently negative stockholders’ equity across all periods provided (including 2025), which reduces financial flexibility and makes leverage metrics less meaningful (debt-to-equity is negative due to negative equity). Total debt is relatively low in 2025 (~$27.9M) compared with prior years (notably higher in 2021–2024), which is a positive de-risking signal, but the ongoing equity deficit remains the central weakness.32
Negative
Cash Flow
Cash generation is a relative strength: 2025 operating cash flow (~$60.2M) and free cash flow (~$55.7M) are strong and broadly align with net income (free cash flow is ~92% of net income). That said, cash flow has been volatile (2024 showed negative operating and free cash flow), and free cash flow growth is sharply negative in 2025 versus the prior year, reflecting a swing rather than steady compounding. Overall: solid latest-year cash conversion, but stability is a concern.62
Positive
| Breakdown | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|
Income Statement | |||||
| Total Revenue | 421.54M | 428.75M | 431.50M | 409.66M | 374.43M |
| Gross Profit | 254.60M | 261.02M | 268.98M | 257.28M | 237.97M |
| EBITDA | 65.86M | -22.18M | 50.42M | 16.11M | 29.53M |
| Net Income | 37.10M | -36.27M | 26.06M | -2.48M | 75.22M |
Balance Sheet | |||||
| Total Assets | 423.11M | 369.06M | 393.80M | 391.04M | 391.26M |
| Cash, Cash Equivalents and Short-Term Investments | 119.97M | 88.79M | 125.25M | 129.12M | 119.57M |
| Total Debt | 27.86M | 96.63M | 81.66M | 88.44M | 100.37M |
| Total Liabilities | 450.14M | 438.51M | 433.29M | 468.21M | 471.65M |
| Stockholders Equity | -27.03M | -69.44M | -39.50M | -77.17M | -80.39M |
Cash Flow | |||||
| Free Cash Flow | 55.65M | -42.23M | 5.25M | 30.57M | 64.84M |
| Operating Cash Flow | 60.22M | -38.85M | 12.47M | 34.90M | 66.94M |
| Investing Cash Flow | -4.57M | 6.45M | 3.08M | -24.45M | -2.11M |
| Financing Cash Flow | -26.60M | 14.02M | -6.89M | -13.57M | -26.57M |
Rimini Street Technical Analysis
Neutral
3.72
Price Trends
3.63
Positive
3.89
Negative
3.99
Negative
Market Momentum
-0.01
Negative
59.49
Neutral
85.60
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For RMNI, the sentiment is Neutral. The current price of 3.72 is above the 20-day moving average (MA) of 3.30, above the 50-day MA of 3.63, and below the 200-day MA of 3.99, indicating a neutral trend. The MACD of -0.01 indicates Negative momentum. The RSI at 59.49 is Neutral, neither overbought nor oversold. The STOCH value of 85.60 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for RMNI.
Rimini Street Risk Analysis
Rimini Street disclosed 48 risk factors in its most recent earnings report. Rimini Street reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
Rimini Street Peers Comparison
UnderperformOutperform
Sector (61)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
66 Neutral | $341.66M | -11.78 | -20.20% | ― | -6.23% | 28.57% | |
65 Neutral | $632.45M | 383.71 | 4.45% | ― | 22.97% | 49.49% | |
61 Neutral | $37.18B | 12.37 | -10.20% | 1.83% | 8.50% | -7.62% | |
54 Neutral | $340.99M | 9.44 | ― | ― | -0.16% | ― | |
51 Neutral | $287.59M | -4.26 | -25.48% | ― | -24.30% | -181.62% | |
51 Neutral | $342.73M | -1.60 | -25.34% | ― | -7.43% | 61.36% | |
46 Neutral | $205.82M | -4.51 | -41.00% | ― | 6.33% | -66.34% |
* Technology Sector Average
RMNI
Rimini Street
3.72
0.01
0.27%
ONTF
ON24
8.01
2.51
45.64%
SMRT
SmartRent
1.52
0.26
20.63%
DSP
Viant Technology
10.13
-9.62
-48.71%
BMBL
Bumble
3.04
-1.85
-37.83%
LAW
CS Disco
3.25
-1.39
-29.96%
Rimini Street Corporate Events
Business Operations and StrategyStock BuybackFinancial Disclosures
Rimini Street Reports 2025 Results, Highlights AI Momentum
Positive
Feb 19, 2026
Rimini Street, Inc. is a global provider of end-to-end enterprise software support, managed services and Agentic AI ERP innovation solutions, and is the leading third‑party support provider for Oracle, SAP and VMware software. The company focuses on helping organizations extend the life and value of existing ERP systems while layering next‑generation AI‑driven capabilities without costly or risky upgrades or migrations.
In a release dated February 19, 2026, Rimini Street reported fiscal fourth quarter and full‑year 2025 results showing modest top‑line pressure but growing contractual backlog and AI‑driven product momentum. Revenue for 2025 slipped 1.7% to $421.5 million but rose 1.0% excluding the wind‑down of Oracle PeopleSoft support, while record remaining performance obligations of $652.9 million, higher adjusted billings, a swing to GAAP net income of $37.1 million from a loss in 2024, and increased cash to $120.0 million highlighted improving fundamentals despite margin compression and lower non‑GAAP profitability.
Fourth quarter 2025 revenue declined 3.9% to $109.8 million, with U.S. sales down double digits and international revenue up slightly, but adjusted recurring revenue grew 3.1% and active clients edged up to 3,102, underscoring stable demand for core subscription services. Management emphasized accelerating sales growth after adjusting for PeopleSoft, the launch of next‑generation Agentic AI ERP solutions, streamlined global operations and share repurchases, as marquee customers such as Ypê, Tidewater, Silicon Labs and SP Electricity North West expanded multi‑year engagements that support Rimini Street’s positioning as an AI‑enabled alternative to traditional ERP maintenance models.
The most recent analyst rating on (RMNI) stock is a Hold with a $3.50 price target. To see the full list of analyst forecasts on Rimini Street stock, see the RMNI Stock Forecast page.
Business Operations and StrategyExecutive/Board Changes
Rimini Street Appoints New Chief Innovation Officer
Neutral
Nov 26, 2025
On November 24, 2025, Rimini Street, Inc. announced the transition of Mr. Vijay Kumar from Executive Vice President and Chief Operating Officer to Executive Vice President and Chief Innovation Officer. This change reflects the company’s strategic focus on innovation, potentially impacting its operational dynamics and market positioning.
The most recent analyst rating on (RMNI) stock is a Hold with a $4.00 price target. To see the full list of analyst forecasts on Rimini Street stock, see the RMNI Stock Forecast page.
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.