Zacks Research Downgrades Five9 (NASDAQ:FIVN) to Hold

Five9 (NASDAQ:FIVN) was downgraded by stock analysts at Zacks Research from a “strong-buy” rating to a “hold” rating in a research note issued on Tuesday,Zacks.com reports.

Several other analysts have also weighed in on FIVN. Truist Financial decreased their price target on Five9 from $40.00 to $23.00 and set a “buy” rating on the stock in a report on Friday, February 20th. Piper Sandler restated a “neutral” rating and set a $24.00 price target (up from $21.00) on shares of Five9 in a report on Friday, May 1st. Canaccord Genuity Group decreased their price target on Five9 from $40.00 to $33.00 and set a “buy” rating on the stock in a report on Friday, February 20th. Royal Bank Of Canada cut their price objective on Five9 from $35.00 to $25.00 and set an “outperform” rating on the stock in a research report on Friday, February 20th. Finally, Weiss Ratings raised Five9 from a “sell (d)” rating to a “sell (d+)” rating in a research report on Tuesday, May 19th. Eleven equities research analysts have rated the stock with a Buy rating, seven have assigned a Hold rating and one has given a Sell rating to the company. According to data from MarketBeat.com, the company has a consensus rating of “Moderate Buy” and an average price target of $26.53.

Five9 Stock Performance

NASDAQ:FIVN opened at $23.95 on Tuesday. The stock’s fifty day moving average is $18.56 and its 200 day moving average is $18.56. Five9 has a fifty-two week low of $13.29 and a fifty-two week high of $30.38. The firm has a market capitalization of $1.83 billion, a PE ratio of 36.29, a PEG ratio of 1.11 and a beta of 1.45. The company has a debt-to-equity ratio of 0.89, a quick ratio of 4.51 and a current ratio of 4.51.

Five9 (NASDAQ:FIVN) last released its quarterly earnings results on Thursday, April 30th. The software maker reported $0.76 earnings per share for the quarter, beating the consensus estimate of $0.69 by $0.07. Five9 had a return on equity of 12.66% and a net margin of 4.87%.The company had revenue of $305.32 million for the quarter, compared to analyst estimates of $299.92 million. During the same quarter in the prior year, the firm posted $0.62 EPS. Five9’s quarterly revenue was up 9.2% compared to the same quarter last year. Five9 has set its FY 2026 guidance at 3.220-3.300 EPS and its Q2 2026 guidance at 0.650-0.690 EPS. On average, sell-side analysts anticipate that Five9 will post 1.39 earnings per share for the current year.

Insider Activity

In other news, insider Tiffany N. Meriweather sold 21,320 shares of the stock in a transaction on Thursday, May 14th. The stock was sold at an average price of $20.98, for a total transaction of $447,293.60. Following the transaction, the insider owned 281,298 shares of the company’s stock, valued at approximately $5,901,632.04. This represents a 7.05% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link. Insiders own 1.20% of the company’s stock.

Hedge Funds Weigh In On Five9

Hedge funds and other institutional investors have recently made changes to their positions in the company. Quarry LP bought a new position in shares of Five9 during the 3rd quarter worth $33,000. Advisory Services Network LLC bought a new position in shares of Five9 during the 3rd quarter worth $38,000. EverSource Wealth Advisors LLC grew its position in shares of Five9 by 378.7% during the 1st 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 in the last quarter. Rothschild Investment LLC grew its position in shares of Five9 by 3,572.0% during the 4th quarter. Rothschild Investment LLC now owns 1,836 shares of the software maker’s stock worth $37,000 after buying an additional 1,786 shares in the last quarter. Finally, Optiver Holding B.V. grew its position in shares of Five9 by 575.9% during the 1st quarter. Optiver Holding B.V. now owns 2,325 shares of the software maker’s stock worth $35,000 after buying an additional 1,981 shares in the last quarter. Institutional investors own 96.64% of the company’s stock.

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.