Five9, Inc. (NASDAQ:FIVN) Receives Average Rating of “Moderate Buy” from Analysts

Shares of Five9, Inc. (NASDAQ:FIVN) have been given a consensus recommendation of “Moderate Buy” by the nineteen brokerages that are covering the firm, MarketBeat Ratings reports. One investment analyst has rated the stock with a sell rating, five have given a hold rating, twelve have issued a buy rating and one has assigned a strong buy rating to the company. The average twelve-month price target among analysts that have covered the stock in the last year is $32.0667.

FIVN has been the subject of several analyst reports. HSBC raised Five9 to a “buy” rating in a research note on Thursday, December 18th. Wells Fargo & Company cut their target price on shares of Five9 from $28.00 to $22.00 and set an “equal weight” rating on the stock in a research note on Friday, November 7th. Cantor Fitzgerald dropped their price objective on shares of Five9 from $36.00 to $32.00 and set an “overweight” rating on the stock in a research report on Friday, November 7th. Zacks Research upgraded shares of Five9 from a “hold” rating to a “strong-buy” rating in a report on Monday, January 5th. Finally, Morgan Stanley lowered their target price on shares of Five9 from $30.00 to $26.00 and set an “equal weight” rating for the company in a research note on Thursday, January 15th.

Five9 Stock Down 2.9%

Shares of NASDAQ:FIVN opened at $18.32 on Friday. The firm has a market capitalization of $1.43 billion, a PE ratio of 50.89, a price-to-earnings-growth ratio of 0.95 and a beta of 1.32. Five9 has a 1 year low of $16.96 and a 1 year high of $49.90. The company has a debt-to-equity ratio of 0.96, a current ratio of 4.61 and a quick ratio of 4.61. The firm’s 50-day moving average is $19.66 and its two-hundred day moving average is $23.12.

Five9 (NASDAQ:FIVN) last announced its earnings results on Thursday, November 6th. The software maker reported $0.78 earnings per share for the quarter, topping the consensus estimate of $0.73 by $0.05. Five9 had a net margin of 2.77% and a return on equity of 10.59%. The firm had revenue of $285.83 million for the quarter, compared to the consensus estimate of $285.15 million. During the same period in the prior year, the firm earned $0.67 EPS. The firm’s revenue for the quarter was up 8.2% on a year-over-year basis. Five9 has set its Q4 2025 guidance at 0.760-0.80 EPS. Analysts predict that Five9 will post 0.28 EPS for the current year.

Five9 declared that its board has initiated a stock buyback program on Tuesday, November 11th that allows the company to buyback $50.00 million in shares. This buyback authorization allows the software maker to purchase up to 3.2% of its shares through open market purchases. Shares buyback programs are generally an indication that the company’s board believes its stock is undervalued.

Insiders Place Their Bets

In related news, CEO Michael Burkland sold 17,992 shares of the business’s 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 completion of the sale, the chief executive officer owned 349,570 shares in the company, valued at $7,113,749.50. The trade was a 4.89% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. Also, insider Tiffany N. Meriweather sold 6,852 shares of the stock in a transaction that occurred on Thursday, December 4th. The shares were sold at an average price of $20.35, for a total transaction of $139,438.20. Following the completion of the transaction, the insider owned 212,126 shares in the company, valued at $4,316,764.10. This represents a 3.13% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. In the last quarter, insiders have sold 66,039 shares of company stock worth $1,347,231. 1.60% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently modified their holdings of the stock. Voss Capital LP lifted its position in shares of Five9 by 211.4% during the 2nd quarter. Voss Capital LP now owns 3,250,000 shares of the software maker’s stock valued at $86,060,000 after acquiring an additional 2,206,173 shares during the period. Norges Bank purchased a new stake in Five9 during the second quarter worth $39,056,000. Federated Hermes Inc. grew its holdings in Five9 by 124,372.3% in the second quarter. Federated Hermes Inc. now owns 830,230 shares of the software maker’s stock valued at $21,984,000 after purchasing an additional 829,563 shares during the last quarter. Anson Funds Management LP raised its stake in shares of Five9 by 98.5% during the 3rd quarter. Anson Funds Management LP now owns 1,534,272 shares of the software maker’s stock worth $37,129,000 after buying an additional 761,486 shares during the last quarter. Finally, Assenagon Asset Management S.A. boosted its position in shares of Five9 by 238.8% in the 3rd quarter. Assenagon Asset Management S.A. now owns 724,604 shares of the software maker’s stock worth $17,535,000 after buying an additional 510,714 shares in the last quarter. 96.64% of the stock is currently owned by hedge funds and other institutional investors.

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.