Is Five9 Stock a Good Investment?

Five9 Investment Advice

FIVN

To provide specific investment advice or recommendations on Five9 Inc stock, we recommend investors consider the following general factors when evaluating Five9 Inc. This will help you to make an informed decision on whether to include Five9 in one of your diversified portfolios:

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 Hold

Five9 advice module can be used to check and cross-verify current investment recommendation provided by analysts reviewing the company's potential to grow using all of fundamental, technical, data market data available at the time. To make sure Five9 is not overpriced, please confirm all Five9 Inc fundamentals, including its gross profit, short ratio, current asset, as well as the relationship between the total debt and beta . Given that Five9 Inc has a price to earning of (16.27) X, we urge you to verify Five9 Inc market performance and probability of bankruptcy to ensure the company can sustain itself in the current economic cycle given your prevailing risk tolerance and investing horizon.

Market Performance	OK	Details
Volatility	Very steady	Details
Hype Condition	Over hyped	Details
Current Valuation	Undervalued	Details
Odds Of Distress	Low	Details
Economic Sensitivity	Responds to the market	Details
Investor Sentiment	Impartial	Details
Analyst Consensus	Strong Buy	Details
Financial Strenth (F Score)	Poor	Details
Financial Leverage	Not Rated	Details
Reporting Quality (M-Score)	Unlikely Manipulator	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 1.05. 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 412.05 M.
	Five9 Inc has a poor financial position based on the latest SEC disclosures
	Over 99.0% of the company shares are owned by institutional investors
	Latest headline from zacks.com: Best Growth Stocks to Buy for November 25th

Five9 Quarterly Good Will

365.45 Million

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

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
Wellington Management Company Llp	2024-06-30	1.6 M
Morgan Stanley - Brokerage Accounts	2024-06-30	1.6 M
Anson Funds Management Lp	2024-09-30	1.5 M
First Trust Advisors L.p.	2024-06-30	1.3 M
State Street Corp	2024-06-30	1.3 M
Geode Capital Management, Llc	2024-09-30	1.2 M
Deutsche Bank Ag	2024-06-30	1.1 M
Nuveen Asset Management, Llc	2024-06-30	1 M
Norges Bank	2024-06-30	929.5 K
Fmr Inc	2024-09-30	11.2 M
Vanguard Group Inc	2024-09-30	9 M

Note, although Five9's institutional investors appear to be way more sophisticated than retail investors, it remains unclear if professional active investment managers can reliably enhance risk-adjusted returns by an amount that exceeds fees and expenses.

Five9's market capitalization trends

The company currently falls under 'Mid-Cap' category with a current market capitalization of 3.08 B.

Market Cap

255.07 Million

Five9's profitablity analysis

	Last Reported	Projected for Next Year
Return On Tangible Assets	(0.07)	(0.07)
Return On Capital Employed	(0.07)	(0.08)
Return On Assets	(0.05)	(0.06)
Return On Equity	(0.15)	(0.16)

The company has Profit Margin (PM) of (0.04) %, which may suggest that it does not properly executes on its current pricing strategies or is unable to control all of the operational costs. This is way below average. Similarly, it shows Operating Margin (OM) of (0.02) %, which suggests for every $100 dollars of sales, it generated a net operating loss of $0.02.

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 26th of November 2024, Return On Tangible Assets is likely to drop to -0.07. In addition to that, Return On Capital Employed is likely to drop to -0.08. At this time, Five9's Intangible Assets are very stable compared to the past year. As of the 26th of November 2024, Net Tangible Assets is likely to grow to about 340.2 M, while Return On Tangible Assets are likely to drop (0.07).

	Last Reported	Projected for Next Year
Book Value Per Share	7.47	7.84
Tangible Book Value Per Share	3.78	3.97
Enterprise Value Over EBITDA	(595.12)	(565.36)
Price Book Value Ratio	10.54	10.01
Enterprise Value Multiple	(595.12)	(565.36)
Price Fair Value	10.54	10.01
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 26th of November, Five9 shows the Downside Deviation of 2.44, mean deviation of 2.18, and Coefficient Of Variation of 882.07. 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.

		Andy Dignan over two weeks ago Disposition of 51 shares by Andy Dignan of Five9 at 57.01 subject to Rule 16b-3
		Burkland Michael over a month ago Disposition of 12595 shares by Burkland Michael of Five9 at 30.27 subject to Rule 16b-3
		Daniel Burkland over two months ago Disposition of 2605 shares by Daniel Burkland of Five9 at 33.41 subject to Rule 16b-3
		Daniel Burkland over three months ago Disposition of 2605 shares by Daniel Burkland of Five9 at 33.41 subject to Rule 16b-3
		Walker Maria C over six months ago Insider Trading
		Michael Burkland over six months ago Disposition of 9745 shares by Michael Burkland of Five9 at 60.49 subject to Rule 16b-3
		Barry Zwarenstein over a year ago Sale by Barry Zwarenstein of 10000 shares of Five9
		Barry Zwarenstein over a year ago Sale by Barry Zwarenstein of 2332 shares of Five9
		Barry Zwarenstein over a year ago Sale by Barry Zwarenstein of 2500 shares of Five9
		Barry Zwarenstein over a year ago Sale by Barry Zwarenstein of 9249 shares of Five9
		Barry Zwarenstein over a year ago Sale by Barry Zwarenstein of 2500 shares of Five9
		Barry Zwarenstein over a year ago Sale by Barry Zwarenstein of 1448 shares of Five9

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.

	Boeing Co 2196 Corp Bond US097023DG73	View
	HSBC Holdings PLC Corp Bond US404280DR76	View
	PRU 5997 15 FEB 53 Corp Bond US33835PAA49	View
	US338307AD33 Corp Bond US338307AD33	View
	PRU 5791 15 FEB 33 Corp Bond US33830GAA94	View
	US33834DAA28 Corp Bond US33834DAA28	View

View All Five9 Corporate Bonds

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	0.0941
	Market Risk Adjusted Performance	0.2283
	Mean Deviation	2.18
	Semi Deviation	2.21
	Downside Deviation	2.44
	Coefficient Of Variation	882.07
	Standard Deviation	2.96
	Variance	8.75
	Information Ratio	0.0699
	Jensen Alpha	0.1485
	Total Risk Alpha	(0.13)
	Sortino Ratio	0.0846
	Treynor Ratio	0.2183
	Maximum Drawdown	15.67
	Value At Risk	(3.72)
	Potential Upside	4.84
	Downside Variance	5.97
	Semi Variance	4.9
	Expected Short fall	(2.44)
	Skewness	1.17
	Kurtosis	3.16

	Risk Adjusted Performance	0.0941
	Market Risk Adjusted Performance	0.2283
	Mean Deviation	2.18
	Semi Deviation	2.21
	Downside Deviation	2.44
	Coefficient Of Variation	882.07
	Standard Deviation	2.96
	Variance	8.75
	Information Ratio	0.0699
	Jensen Alpha	0.1485
	Total Risk Alpha	(0.13)
	Sortino Ratio	0.0846
	Treynor Ratio	0.2183
	Maximum Drawdown	15.67
	Value At Risk	(3.72)
	Potential Upside	4.84
	Downside Variance	5.97
	Semi Variance	4.9
	Expected Short fall	(2.44)
	Skewness	1.17
	Kurtosis	3.16

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.

	Accumulation Distribution	0.0375
	Daily Balance Of Power	0.4088
	Rate Of Daily Change	1.02
	Day Median Price	41.63
	Day Typical Price	41.41
	Market Facilitation Index	1.59
	Price Action Indicator	(0.33)
	Period Momentum Indicator	0.65

Five9 Corporate Filings

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	View Verify
13A	12th of November 2024 An amended filing to the original Schedule 13G	View Verify
8K	7th of November 2024 Report filed with the SEC to announce major events that shareholders should know about	View Verify
F4	12th of September 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	View Verify

Five9 time-series forecasting models is one of many Five9's stock analysis techniques aimed to predict future share value based on previously observed values. Time-series forecasting models ae widely used for non-stationary data. Non-stationary data are called the data whose statistical properties e.g. the mean and standard deviation are not constant over time but instead, these metrics vary over time. These non-stationary Five9's historical data is usually called time-series. Some empirical experimentation suggests that the statistical forecasting models outperform the models based exclusively on fundamental analysis to predict the direction of the market movement and maximize returns from investment trading.

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 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

When determining whether Five9 Inc offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of Five9's financial statements, including income statements, balance sheets, and cash flow statements, to assess its financial health. Key financial ratios are used to gauge profitability, efficiency, and growth potential of Five9 Inc Stock. Outlined below are crucial reports that will aid in making a well-informed decision on Five9 Inc Stock: