DA Davidson Forecasts Strong Price Appreciation for Five9 (NASDAQ:FIVN) Stock

Key Points

• DA Davidson raised Five9’s price target to $28 from $22 but maintained a “neutral” rating, implying roughly 18% downside from the stock’s $34.29 price. The broader analyst consensus is “Moderate Buy,” with a $31.50 target.
• Five9 shares rose 0.9% to $34.29, near their 52-week high, after the company reported quarterly EPS of $0.70 and revenue of $312.44 million, beating analyst estimates on both measures.
• Institutional investors own 96.64% of Five9, with several firms increasing their stakes, while insiders have sold 85,820 shares worth about $2.0 million over the past 90 days, primarily to cover tax obligations from equity vesting.

Five9 (NASDAQ:FIVN - Get Free Report) had its price target hoisted by DA Davidson from $22.00 to $28.00 in a research report issued to clients and investors on Monday,Benzinga reports. The firm presently has a "neutral" rating on the software maker's stock. DA Davidson's price objective indicates a potential downside of 18.34% from the stock's current price.

Several other equities analysts have also recently issued reports on FIVN. UBS Group lifted their price objective on Five9 from $25.00 to $36.00 and gave the company a "buy" rating in a research note on Friday. Zacks Research downgraded shares of Five9 from a "strong-buy" rating to a "hold" rating in a research report on Thursday, July 30th. Truist Financial boosted their target price on shares of Five9 from $23.00 to $35.00 and gave the stock a "buy" rating in a research note on Friday. Needham & Company LLC reaffirmed a "buy" rating and set a $40.00 price objective on shares of Five9 in a research report on Friday, May 1st. Finally, Cantor Fitzgerald raised their price objective on shares of Five9 from $32.00 to $34.00 and gave the stock an "overweight" rating in a report on Monday, August 3rd. Ten investment analysts have rated the stock with a Buy rating and eight have issued a Hold rating to the company. Based on data from MarketBeat, the company presently has a consensus rating of "Moderate Buy" and a consensus target price of $31.50.

Five9 Trading Up 0.9%

FIVN traded up $0.30 during mid-day trading on Monday, hitting $34.29. 1,249,217 shares of the stock were exchanged, compared to its average volume of 2,908,824. The firm's fifty day moving average is $23.94 and its two-hundred day moving average is $19.90. Five9 has a 1-year low of $13.29 and a 1-year high of $34.37. The company has a market cap of $2.63 billion, a PE ratio of 49.83 and a beta of 1.41. The company has a current ratio of 4.51, a quick ratio of 4.51 and a debt-to-equity ratio of 0.89.

Five9 (NASDAQ:FIVN - Get Free Report) last posted its quarterly earnings data on Thursday, August 6th. The software maker reported $0.70 EPS for the quarter, beating the consensus estimate of $0.68 by $0.02. The business had revenue of $312.44 million during the quarter, compared to analyst estimates of $306.61 million. Five9 had a net margin of 4.94% and a return on equity of 12.87%. The business's revenue for the quarter was up 10.3% compared to the same quarter last year. During the same quarter last year, the firm posted $0.76 earnings per share. Five9 has set its Q3 2026 guidance at 0.770-0.810 EPS and its FY 2026 guidance at 3.220-3.300 EPS. Equities analysts forecast that Five9 will post 1.39 earnings per share for the current fiscal year.

Insider Activity at Five9

In related news, CRO Matthew E. Tuckness sold 8,645 shares of the firm's stock in a transaction that occurred on Thursday, June 4th. The shares were sold at an average price of $24.81, for a total value of $214,482.45. Following the transaction, the executive owned 281,492 shares in the company, valued at approximately $6,983,816.52. This trade represents a 2.98% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is accessible through the SEC website. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, CFO Bryan M. Lee sold 16,620 shares of the stock in a transaction on Thursday, June 4th. The stock was sold at an average price of $24.81, for a total transaction of $412,342.20. Following the completion of the sale, the chief financial officer directly owned 311,462 shares of the company's stock, valued at $7,727,372.22. The trade was a 5.07% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders have sold a total of 85,820 shares of company stock valued at $2,014,057 in the last ninety days. 1.20% of the stock is owned by insiders.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently made changes to their positions in the company. Van Berkom & Associates Inc. grew its stake in Five9 by 28.0% in the fourth quarter. Van Berkom & Associates Inc. now owns 3,596,380 shares of the software maker's stock worth $72,107,000 after purchasing an additional 787,626 shares in the last quarter. Vanguard Group Inc. raised its stake in Five9 by 8.2% during the fourth quarter. Vanguard Group Inc. now owns 10,037,395 shares of the software maker's stock valued at $201,250,000 after buying an additional 759,237 shares in the last quarter. Anson Funds Management LP raised its stake in Five9 by 35.6% during the first quarter. Anson Funds Management LP now owns 2,086,675 shares of the software maker's stock valued at $31,655,000 after buying an additional 547,304 shares in the last quarter. Deutsche Bank AG bought a new position in Five9 during the 2nd quarter worth approximately $10,432,000. Finally, Bank of New York Mellon Corp bought a new position in Five9 during the 2nd quarter worth approximately $10,429,000. 96.64% of the stock is currently owned by hedge funds and other institutional investors.

Five9 Company Profile

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.

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