Five9 Target of Unusually High Options Trading (NASDAQ:FIVN)

Five9, Inc. (NASDAQ:FIVN) was the recipient of unusually large options trading on Friday. Stock investors bought 21,115 put options on the stock. This is an increase of 361% compared to the typical volume of 4,580 put options.

Analysts Set New Price Targets

Several research analysts recently weighed in on FIVN shares. Zacks Research cut shares of Five9 from a “strong-buy” rating to a “hold” rating in a report on Friday, November 7th. HSBC raised shares of Five9 to a “buy” rating in a research report on Thursday, December 18th. Piper Sandler reduced their target price on Five9 from $31.00 to $26.00 and set an “overweight” rating for the company in a report on Friday, November 7th. Needham & Company LLC reaffirmed a “buy” rating and set a $40.00 price target on shares of Five9 in a research report on Thursday, December 18th. Finally, Wells Fargo & Company cut their price objective on Five9 from $28.00 to $22.00 and set an “equal weight” rating on the stock in a research report on Friday, November 7th. Thirteen equities research analysts have rated the stock with a Buy rating, five have given a Hold rating and one has given a Sell rating to the company. According to data from MarketBeat.com, the company currently has a consensus rating of “Moderate Buy” and a consensus target price of $32.93.

Five9 Stock Performance

NASDAQ:FIVN opened at $19.99 on Friday. The company has a market capitalization of $1.56 billion, a P/E ratio of 55.53, a P/E/G ratio of 1.22 and a beta of 1.35. The business has a fifty day simple moving average of $21.00 and a two-hundred day simple moving average of $24.26. The company has a debt-to-equity ratio of 0.96, a current ratio of 4.61 and a quick ratio of 4.61. Five9 has a 1 year low of $17.71 and a 1 year high of $49.90.

Five9 (NASDAQ:FIVN) last posted its quarterly earnings results on Friday, August 22nd. The software maker reported $0.76 earnings per share for the quarter. Five9 had a return on equity of 10.59% and a net margin of 2.77%.The company had revenue of $283.27 million during the quarter. On average, analysts expect that Five9 will post 0.28 earnings per share for the current year.

Five9 announced that its board has initiated a stock repurchase program on Tuesday, November 11th that authorizes the company to buyback $50.00 million in outstanding shares. This buyback authorization authorizes the software maker to reacquire up to 3.2% of its stock through open market purchases. Stock buyback programs are typically an indication that the company’s board of directors believes its stock is undervalued.

Insider Buying and Selling

In related news, CEO Michael Burkland sold 17,992 shares of Five9 stock in a transaction that occurred on Thursday, December 4th. The stock was sold at an average price of $20.35, for a total transaction of $366,137.20. Following the transaction, the chief executive officer owned 349,570 shares of the company’s stock, valued at $7,113,749.50. The trade was a 4.89% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this link. Also, CFO Bryan M. Lee sold 13,219 shares of the stock in a transaction on Thursday, December 4th. The shares were sold at an average price of $20.35, for a total value of $269,006.65. Following the completion of the sale, the chief financial officer directly owned 224,269 shares of the company’s stock, valued at $4,563,874.15. The trade was a 5.57% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Over the last ninety days, insiders have sold 66,739 shares of company stock valued at $1,364,010. 1.60% of the stock is currently owned by company insiders.

Institutional Trading of Five9

A number of institutional investors have recently added to or reduced their stakes in FIVN. Global Retirement Partners LLC grew its holdings in Five9 by 81.7% during the 3rd quarter. Global Retirement Partners LLC now owns 1,228 shares of the software maker’s stock valued at $30,000 after buying an additional 552 shares in the last quarter. Nisa Investment Advisors LLC bought a new position in shares of Five9 in the second quarter valued at approximately $32,000. Quarry LP purchased a new position in Five9 during the third quarter valued at approximately $33,000. Advisory Services Network LLC purchased a new position in Five9 during the third quarter valued at approximately $38,000. Finally, Pilgrim Partners Asia Pte Ltd bought a new stake in Five9 during the 3rd quarter worth approximately $45,000. Hedge funds and other institutional investors own 96.64% of the company’s stock.

About Five9

Five9, Inc (NASDAQ: FIVN) is a leading provider of cloud-based contact center software designed to help organizations manage customer interactions across voice, email, chat, social media and other digital channels. Its platform offers features such as intelligent routing, analytics, workforce optimization and integrated customer relationship management (CRM) connectors. The company emphasizes AI-driven capabilities, including virtual agents and predictive dialing, to enhance both agent productivity and customer experience.

Founded in 2001 and headquartered in San Ramon, California, Five9 completed its initial public offering in February 2014.