Is Five9 Stock a Good Investment?
Five9 Investment Advice | FIVN |
- Examine Five9's financial health by looking at its balance sheet, income statement, and cash flow statement. Analyze key financial ratios, such as Price-to-Earnings (P/E), Price-to-Sales (P/S), and Price-to-Book (P/B), to determine whether the stock is fairly valued or over/undervalued.
- Research Five9's leadership team and their track record. Good management can help Five9 navigate difficult times and make strategic decisions that benefit shareholders and increases its net worth.
- Consider the overall health of the Application Software space and any emerging trends that could impact Five9's business and its evolving consumer preferences.
- Compare Five9's performance and market position to its competitors. Analyze how Five9 is positioned in terms of product offerings, innovation, and market share.
- Check if Five9 pays a dividend and its dividend yield and payout ratio.
- Review what financial analysts are saying about Five9's stock and their price targets. However, remember that analysts' opinions can vary, and their predictions may not always be accurate.
It's important to note that investing in Five9 Inc stock, carries risks, and you should carefully consider your investment goals and risk tolerance before making any investment decisions. Also, remember that it's important for investors to have a long-term perspective and a well-diversified portfolio to manage the impact of stock market volatility on their investments. Below is a detailed guide on how to decide if Five9 Inc is a good investment.
Sell | Buy |
Strong Buy
Market Performance | Good | Details | |
Volatility | Very steady | Details | |
Hype Condition | Stale | Details | |
Current Valuation | Undervalued | Details | |
Odds Of Distress | Low | Details | |
Economic Sensitivity | Almost mirrors the market | Details | |
Investor Sentiment | Alarmed | Details | |
Analyst Consensus | Strong Buy | Details | |
Financial Leverage | Not Rated | Details | |
Reporting Quality (M-Score) | Unavailable | Details |
Examine Five9 Stock
Researching Five9's stock involves analyzing various aspects of the company and its industry to make an informed investment decision. The key areas to focus on are fundamentals, business model and competitive advantage. It is also important to analyze trends in revenue, net income, and cash flow, as well as key financial ratios, such as price-to-earnings (P/E), price-to-sales (P/S), and debt-to-equity (D/E). About 99.0% of the company shares are owned by institutional investors. The company has Price/Earnings To Growth (PEG) ratio of 0.73. Five9 Inc recorded a loss per share of 0.49. The entity had not issued any dividends in recent years.
To determine if Five9 is a good investment, evaluating the company's potential for future growth is also very important. This may include expanding into new markets, launching new products or services, or improving operational efficiency. Companies with strong growth prospects can be more attractive investments. This aspect of the research should be conducted in the context of the overall market and industry in which the company operates and should include an analysis of growth potential, competitive landscape, and any regulatory or economic factors that could impact the business. Some of the essential points regarding Five9's research are outlined below:
| The company reported the previous year's revenue of 910.49 M. Net Loss for the year was (81.76 M) with profit before overhead, payroll, taxes, and interest of 537.17 M. | |
| Over 99.0% of the company shares are owned by institutional investors | |
| Latest headline from news.google.com: Five9 Q4 Earnings Call Key Financial Metrics Coming February 20 - StockTitan |
Five9 Quarterly Good Will |
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Five9 uses earnings reports to provide investors with an update of all three financial statements, including the income statement, the balance sheet, and the cash flow statement. Therefore, it is also crucial when considering investing in Five9 Inc. Every quarterly earnings report provides investors with an overview of sales, expenses, and net income for the most recent period. It also may provide a comparison to Five9's previous reporting period. The quarterly earnings reports are usually disseminated to the public via Form 10-Q, which is a legal document filed with the Securities and Exchange Commission every quarter.
| 28th of February 2024 Upcoming Quarterly Report | View | |
| 2nd of May 2024 Next Financial Report | View | |
| 31st of December 2023 Next Fiscal Quarter End | View | |
| 28th of February 2024 Next Fiscal Year End | View | |
| 30th of September 2023 Last Quarter Report | View | |
| 31st of December 2022 Last Financial Announcement | View |
Earnings surprises can significantly impact Five9's stock price both in the short term and over time. Negative earnings surprises usually result in a price decline. However, it has been seen that positive earnings surprises lead to an immediate rise in a stock's price and a gradual increase over time. This is why we often hear news about some companies beating earning projections. Financial analysts spend a large amount of time predicting earnings per share (EPS) along with other important future indicators. Many analysts use forecasting models, management guidance, and additional fundamental information to derive an EPS estimate. Below are the table of largest EPS Surprises Five9's investors have experienced.
| Reported | Fiscal Date | Estimated EPS | Reported EPS | Surprise | |||
|---|---|---|---|---|---|---|---|
2020-05-04 | 2020-03-31 | 0.15 | 0.17 | 0.02 | 13 | ||
2016-05-10 | 2016-03-31 | -0.07 | -0.05 | 0.02 | 28 | ||
2017-02-16 | 2016-12-31 | -0.02 | 0.0026 | 0.0226 | 113 | ||
2019-05-01 | 2019-03-31 | 0.13 | 0.16 | 0.03 | 23 | ||
2018-02-21 | 2017-12-31 | 0.04 | 0.07 | 0.03 | 75 | ||
2022-11-07 | 2022-09-30 | 0.35 | 0.39 | 0.04 | 11 | ||
2015-02-23 | 2014-12-31 | -0.18 | -0.14 | 0.04 | 22 | ||
2017-08-03 | 2017-06-30 | -0.03 | -0.0732 | -0.0432 | 144 |
Five9 Target Price Consensus
Five9 target price is determined by taking all analyst projections and averaging them out. There is no one specific way to measure analysts' performance other than comparing it to past results via a very sophisticated attribution analysis. Five9's target price projections below should be used in combination with other traditional price prediction techniques such as stock price forecasting, investor sentiment analysis, technical analysis, earnings estimate, and various momentum models.
| 22 | Strong Buy |
Most Five9 analysts issue ratings four times a year, at intervals of three months. Ratings are usually accompanied by a target price to help potential investors understand Five9 stock's fair price compared to its market value. Analysts arrive at stock ratings after researching the public financial statements of Five9 Inc, talking to its executives and customers, or listening to those companies' conference calls.
Macroaxis Advice Exposure ValuationFive9 Target Price Projection
Five9's current and average target prices are 40.99 and 52.87, respectively. The current price of Five9 is the price at which Five9 Inc is currently trading. On the other hand, Five9's target price is what analysts think the stock is worth or could sell for in the future. The more significant the discrepancy between the two prices, the more it stimulates investors to act.Target Price
Analyst Consensus On Five9 Target Price
Five9 Analyst Ratings
Five9's analyst stock recommendations are determined by taking an average estimate of all analysts we track and classifying them as Strong Buy, Buy, Hold, Strong Sell, or Sell. Ratings generally communicate what analysts sense about Five9 stock, and they use a lot of effort and time to analyze it and arrive at a rating. That suggests that analyst recommendations are the outcome of an objective and thorough examination of Five9's financials, market performance, and future outlook by experienced professionals. Five9's historical ratings below, therefore, can serve as a valuable tool for investors.Know Five9's Top Institutional Investors
Have you ever been surprised when a price of an equity instrument such as Five9 is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading Five9 Inc backward and forwards among themselves. Five9's institutional investor refers to the entity that pools money to purchase Five9's securities or originate loans. Institutional investors include commercial and private banks, credit unions, insurance companies, pension funds, hedge funds, endowments, and mutual funds. Operating companies that invest excess capital in these types of assets may also be included in the term and may influence corporate governance by exercising voting rights in their investments.
| Shares | Anson Funds Management Lp | 2024-09-30 | 1.5 M | State Street Corp | 2024-09-30 | 1.3 M | Qube Research & Technologies | 2024-09-30 | 1.2 M | Geode Capital Management, Llc | 2024-09-30 | 1.2 M | Wellington Management Company Llp | 2024-09-30 | 1.2 M | Morgan Stanley - Brokerage Accounts | 2024-09-30 | 1.2 M | Deutsche Bank Ag | 2024-09-30 | 954.5 K | Norges Bank | 2024-06-30 | 929.5 K | Millennium Management Llc | 2024-09-30 | 910.8 K | Fmr Inc | 2024-09-30 | 11.2 M | Vanguard Group Inc | 2024-09-30 | 9 M |
Five9's market capitalization trends
The company currently falls under 'Mid-Cap' category with a current market capitalization of 3.08 B.Market Cap |
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Five9's profitablity analysis
| Last Reported | Projected for Next Year | ||
| Return On Tangible Assets | (0.06) | (0.06) | |
| Return On Capital Employed | (0.07) | (0.07) | |
| Return On Assets | (0.05) | (0.05) | |
| Return On Equity | (0.15) | (0.14) |
Determining Five9's profitability involves analyzing its financial statements and using various financial metrics to determine if Five9 is a good buy. For example, gross profit margin measures Five9's profitability after accounting for the cost of goods sold, while net profit margin measures profitability after accounting for all expenses. Other important metrics include return on assets, return on equity, and free cash flow. By reviewing multiple sources and metrics, you can gain a complete picture of Five9's profitability and make more informed investment decisions.
Five9's Earnings Breakdown by Geography
Evaluate Five9's management efficiency
Five9 Inc has return on total asset (ROA) of (0.02) % which means that it has lost $0.02 on every $100 spent on assets. This is way below average. Similarly, it shows a return on stockholder's equity (ROE) of (0.0693) %, meaning that it created substantial loss on money invested by shareholders. Five9's management efficiency ratios could be used to measure how well Five9 manages its routine affairs as well as how well it operates its assets and liabilities. As of the 1st of February 2025, Return On Tangible Assets is likely to drop to -0.06. In addition to that, Return On Capital Employed is likely to drop to -0.07. At this time, Five9's Intangible Assets are very stable compared to the past year. As of the 1st of February 2025, Net Tangible Assets is likely to grow to about 340.2 M, while Return On Tangible Assets are likely to drop (0.06).| Last Reported | Projected for Next Year | ||
| Book Value Per Share | 6.72 | 7.06 | |
| Tangible Book Value Per Share | 3.40 | 3.57 | |
| Enterprise Value Over EBITDA | (684.38) | (650.16) | |
| Price Book Value Ratio | 12.12 | 11.51 | |
| Enterprise Value Multiple | (684.38) | (650.16) | |
| Price Fair Value | 12.12 | 11.51 | |
| Enterprise Value | 381.9 M | 252.2 M |
The leadership approach at Five9's fosters a culture of excellence and accountability. Our analysis examines how this culture influences financial outcomes and stock valuation.
Beta 0.847 |
Basic technical analysis of Five9 Stock
As of the 1st of February, Five9 shows the Coefficient Of Variation of 509.38, downside deviation of 1.96, and Mean Deviation of 1.89. Five9 Inc technical analysis allows you to utilize historical prices and volume patterns in order to determine a pattern that computes the direction of the firm's future prices.Five9's insider trading activities
Some recent studies suggest that insider trading raises the cost of capital for securities issuers and decreases overall economic growth. Trading by specific Five9 insiders, such as employees or executives, is commonly permitted as long as it does not rely on Five9's material information that is not in the public domain. Local jurisdictions usually require such trading to be reported in order to monitor insider transactions. In many U.S. states, trading conducted by corporate officers, key employees, directors, or significant shareholders must be reported to the regulator or publicly disclosed, usually within a few business days of the trade. In these cases Five9 insiders are required to file a Form 4 with the U.S. Securities and Exchange Commission (SEC) when buying or selling shares of their own companies.
Five9's Outstanding Corporate Bonds
Five9 issues bonds to finance its operations. Corporate bonds make up one of the largest components of the U.S. bond market, which is considered the world's largest securities market. Five9 Inc uses the proceeds from bond sales for a wide variety of purposes, including financing ongoing mergers and acquisitions, buying new equipment, investing in research and development, buying back their own stock, paying dividends to shareholders, and even refinancing existing debt. Most Five9 bonds can be classified according to their maturity, which is the date when Five9 Inc has to pay back the principal to investors. Maturities can be short-term, medium-term, or long-term (more than ten years). Longer-term bonds usually offer higher interest rates but may entail additional risks.
| Dana 575 percent Corp BondUS235822AB96 | View | |
| HSBC Holdings PLC Corp BondUS404280DR76 | View | |
| PRU 5997 15 FEB 53 Corp BondUS33835PAA49 | View | |
| MPLX LP 4125 Corp BondUS55336VAK61 | View | |
| US338307AD33 Corp BondUS338307AD33 | View | |
| PRU 5791 15 FEB 33 Corp BondUS33830GAA94 | View | |
| US33834DAA28 Corp BondUS33834DAA28 | View |
Understand Five9's technical and predictive indicators
Using predictive indicators to make investment decisions involves analyzing Five9's various financial and market-based factors to help forecast future trends and identify investment opportunities. Select the indicators that are most relevant to your investment strategy. Each indicator has its own strengths and weaknesses, so it's essential to combine multiple indicators to get a more comprehensive view of the market and reduce the risk of making poor decisions based on limited data.
| Risk Adjusted Performance | 0.1716 | |||
| Market Risk Adjusted Performance | 0.8297 | |||
| Mean Deviation | 1.89 | |||
| Semi Deviation | 1.63 | |||
| Downside Deviation | 1.96 | |||
| Coefficient Of Variation | 509.38 | |||
| Standard Deviation | 2.71 | |||
| Variance | 7.35 | |||
| Information Ratio | 0.1673 | |||
| Jensen Alpha | 0.4785 | |||
| Total Risk Alpha | 0.3002 | |||
| Sortino Ratio | 0.2314 | |||
| Treynor Ratio | 0.8197 | |||
| Maximum Drawdown | 17.1 | |||
| Value At Risk | (3.44) | |||
| Potential Upside | 4.84 | |||
| Downside Variance | 3.84 | |||
| Semi Variance | 2.66 | |||
| Expected Short fall | (2.28) | |||
| Skewness | 1.47 | |||
| Kurtosis | 4.79 |
| Risk Adjusted Performance | 0.1716 | |||
| Market Risk Adjusted Performance | 0.8297 | |||
| Mean Deviation | 1.89 | |||
| Semi Deviation | 1.63 | |||
| Downside Deviation | 1.96 | |||
| Coefficient Of Variation | 509.38 | |||
| Standard Deviation | 2.71 | |||
| Variance | 7.35 | |||
| Information Ratio | 0.1673 | |||
| Jensen Alpha | 0.4785 | |||
| Total Risk Alpha | 0.3002 | |||
| Sortino Ratio | 0.2314 | |||
| Treynor Ratio | 0.8197 | |||
| Maximum Drawdown | 17.1 | |||
| Value At Risk | (3.44) | |||
| Potential Upside | 4.84 | |||
| Downside Variance | 3.84 | |||
| Semi Variance | 2.66 | |||
| Expected Short fall | (2.28) | |||
| Skewness | 1.47 | |||
| Kurtosis | 4.79 |
Consider Five9's intraday indicators
Five9 intraday indicators are useful technical analysis tools used by many experienced traders. Just like the conventional technical analysis, daily indicators help intraday investors to analyze the price movement with the timing of Five9 stock daily movement. By combining multiple daily indicators into a single trading strategy, you can limit your risk while still earning strong returns on your managed positions.
Five9 Corporate Filings
F3 | 10th of December 2024 The report used by insiders such as officers, directors, and major shareholders (beneficial owners holding more than 10% of any class of the company's equity securities) to declare their ownership of a company's stock | ViewVerify |
8K | 9th of December 2024 Report filed with the SEC to announce major events that shareholders should know about | ViewVerify |
F4 | 6th of December 2024 The report filed by a party regarding the acquisition or disposition of a company's common stock, as well as derivative securities such as options, warrants, and convertible securities | ViewVerify |
13A | 21st of November 2024 The form used by investors holding more than 5% of a company's stock, to report their beneficial ownership pursuant to Rule 13d-1 or Rule 13d-2 under the Securities Exchange Act of 1934 | ViewVerify |
Five9 Stock media impact
Far too much social signal, news, headlines, and media speculation about Five9 that are available to investors today. That information is available publicly through Five9 media outlets and privately through word of mouth or via Five9 internal channels. However, regardless of the origin, that massive amount of Five9 data is challenging to quantify into actionable patterns, especially for investors that are not very sophisticated with ever-evolving tools and techniques used in the investment management field.
A primary focus of Five9 news analysis is to determine if its current price reflects all relevant headlines and social signals impacting the current market conditions. A news analyst typically looks at the history of Five9 relative headlines and hype rather than examining external drivers such as technical or fundamental data. It is believed that price action tends to repeat itself due to investors' collective, patterned thinking related to Five9's headlines and news coverage data. This data is often completely overlooked or insufficiently analyzed for actionable insights to drive Five9 alpha.
Five9 Sentiment by Major News Outlets
Investor sentiment, mood or attitude towards Five9 can have a significant impact on its stock price or the market as a whole. This sentiment can be positive or negative, and various factors, such as economic indicators, news events, or market trends, can influence it. When investor sentiment is positive, investors are more likely to buy stocks, increasing demand and increasing the stock price. Positive investor sentiment can be driven by good news about the company or the broader market, such as solid earnings reports or positive economic data.
Note that negative investor sentiment can cause investors to sell stocks, leading to a decrease in demand and a drop in the stock price. Negative sentiment can be driven by factors such as poor earnings reports, negative news about the company or industry, or broader economic concerns. It's important to note that investor sentiment is just one of many factors that can affect stock prices. Other factors, such as company performance, industry trends, and global economic conditions, can also play a significant role in determining the value of a stock.
Five9 Inc Historical Investor Sentiment
Investor biases related to Five9's public news can be used to forecast risks associated with an investment in Five9. The trend in average sentiment can be used to explain how an investor holding Five9 can time the market purely based on public headlines and social activities around Five9 Inc. Please note that most equities that are difficult to arbitrage are affected by market sentiment the most.
Five9's market sentiment shows the aggregated news analyzed to detect positive and negative mentions from the text and comments. The data is normalized to provide daily scores for Five9 and other traded tickers. The bigger the bubble, the more accurate the estimated score. Higher bars for a given day show more participation in the average Five9 news discussions. The higher the estimate score, the more favorable the investor's outlook on Five9.
Five9 Maximum Pain Price Across April 17th 2025 Option Contracts
Five9's options can also be used to analyze investors' bias and current market sentiment in the context of behavioral finance. For example, Max pain usually refers to a trading concept that asserts that market manipulation can cause the market price of Five9 close to the expiration of its current option contract to expire worthlessly. According to most research, about 35% of options are not executed, with roughly 50% traded out before expiration. So, Max pain occurs when market makers reach a net favorable position across all options at a strike price where option holders stand to lose the most money. By contrast, option sellers may reap the most after selling more options than buying, causing them to expire worthlessly. Please continue to view the detailed analysis of Five9's options.
Five9 Corporate Management
| Scott Welch | Executive VP of Cloud Operations | Profile | |
| Niki Hall | Chief Officer | Profile | |
| Michael MBA | CEO Chairman | Profile | |
| Andy Dignan | Chief Officer | Profile | |
| Ajay Awatramani | Chief Officer | Profile |
Check out Investing Opportunities to better understand how to build diversified portfolios, which includes a position in Five9 Inc. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in real. You can also try the FinTech Suite module to use AI to screen and filter profitable investment opportunities.
Is Application Software space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Five9. If investors know Five9 will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Five9 listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth (0.79) | Earnings Share (0.49) | Revenue Per Share | Quarterly Revenue Growth 0.148 | Return On Assets |
The market value of Five9 Inc is measured differently than its book value, which is the value of Five9 that is recorded on the company's balance sheet. Investors also form their own opinion of Five9's value that differs from its market value or its book value, called intrinsic value, which is Five9's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Five9's market value can be influenced by many factors that don't directly affect Five9's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
In summary, please note that there is a difference between Five9's value and its price, as these two are different measures arrived at by various means. Investors typically determine if Five9 is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Five9's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.