Five9 (NASDAQ:FIVN) Lowered to "Hold" Rating by Zacks Research

Key Points

• Zacks Research downgraded Five9 from “strong buy” to “hold.” Despite the downgrade, analysts’ overall consensus remains “Moderate Buy,” with an average price target of $25.93.
• Five9 reported quarterly adjusted EPS of $0.76, beating estimates of $0.69, while revenue rose 9.2% year over year to $305.32 million.
• Five9 shares opened at $27.51, near their 52-week high of $28.86. Insiders have sold 85,820 shares worth approximately $2.0 million over the past 90 days, primarily to cover tax obligations on vested equity awards.

Five9 (NASDAQ:FIVN - Get Free Report) was downgraded by research analysts at Zacks Research from a "strong-buy" rating to a "hold" rating in a research report issued to clients and investors on Thursday,Zacks.com reports.

Other research analysts also recently issued research reports about the company. Piper Sandler reissued a "neutral" rating and issued a $24.00 target price (up from $21.00) on shares of Five9 in a report on Friday, May 1st. Jefferies Financial Group restated a "hold" rating on shares of Five9 in a research note on Friday, May 1st. UBS Group upped their price target on shares of Five9 from $22.00 to $25.00 and gave the company a "buy" rating in a research report on Friday, May 1st. Cantor Fitzgerald increased their price objective on shares of Five9 from $22.00 to $24.00 and gave the stock an "overweight" rating in a research note on Friday, May 1st. Finally, DA Davidson raised their price objective on shares of Five9 from $19.00 to $22.00 and gave the stock a "neutral" rating in a report on Friday, May 1st. Ten equities research analysts have rated the stock with a Buy rating, seven have assigned a Hold rating and one has assigned a Sell rating to the company's stock. According to MarketBeat, the company has a consensus rating of "Moderate Buy" and an average price target of $25.93.

Five9 Stock Down 0.5%

NASDAQ:FIVN opened at $27.51 on Thursday. The company has a debt-to-equity ratio of 0.89, a quick ratio of 4.51 and a current ratio of 4.51. The firm has a market cap of $2.11 billion, a P/E ratio of 41.68, a P/E/G ratio of 1.22 and a beta of 1.46. Five9 has a fifty-two week low of $13.29 and a fifty-two week high of $28.86. The firm has a 50-day simple moving average of $23.23 and a two-hundred day simple moving average of $19.49.

Five9 (NASDAQ:FIVN - Get Free Report) last issued its earnings results on Thursday, April 30th. The software maker reported $0.76 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.69 by $0.07. Five9 had a net margin of 4.87% and a return on equity of 12.66%. The firm had revenue of $305.32 million for the quarter, compared to the consensus estimate of $299.92 million. During the same quarter in the prior year, the firm posted $0.62 earnings per share. The business's revenue was up 9.2% on a year-over-year basis. Analysts predict that Five9 will post 1.39 earnings per share for the current fiscal year.

Insider Buying and Selling at Five9

In other Five9 news, CRO Matthew E. Tuckness sold 8,645 shares of the stock in a transaction on Thursday, June 4th. The shares were sold at an average price of $24.81, for a total transaction of $214,482.45. Following the completion of the transaction, the executive owned 281,492 shares in the company, valued at $6,983,816.52. This trade represents a 2.98% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, EVP Panos Kozanian sold 5,869 shares of the company'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 $145,609.89. Following the sale, the executive vice president owned 161,671 shares in the company, valued at approximately $4,011,057.51. This trade represents a 3.50% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Over the last ninety days, insiders sold 85,820 shares of company stock worth $2,014,057. Company insiders own 1.20% of the company's stock.

Institutional Inflows and Outflows

Several institutional investors have recently bought and sold shares of FIVN. EverSource Wealth Advisors LLC lifted its holdings in Five9 by 378.7% during the first quarter. EverSource Wealth Advisors LLC now owns 1,728 shares of the software maker's stock worth $26,000 after buying an additional 1,367 shares during the period. Quarry LP purchased a new position in shares of Five9 in the 3rd quarter valued at $33,000. Optiver Holding B.V. increased its holdings in shares of Five9 by 575.9% in the 1st quarter. Optiver Holding B.V. now owns 2,325 shares of the software maker's stock valued at $35,000 after acquiring an additional 1,981 shares during the period. Rothschild Investment LLC raised its position in shares of Five9 by 3,572.0% in the 4th quarter. Rothschild Investment LLC now owns 1,836 shares of the software maker's stock worth $37,000 after acquiring an additional 1,786 shares in the last quarter. Finally, NewEdge Advisors LLC bought a new position in shares of Five9 in the 1st quarter worth $38,000. 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.

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