Wells Fargo & Company Issues Pessimistic Forecast for Five9 (NASDAQ:FIVN) Stock Price

Five9 (NASDAQ:FIVN) had its price objective dropped by research analysts at Wells Fargo & Company from $36.00 to $28.00 in a research note issued on Friday, Benzinga reports. The firm presently has an “equal weight” rating on the software maker’s stock. Wells Fargo & Company‘s price objective indicates a potential downside of 0.43% from the stock’s previous close.

Other equities research analysts also recently issued reports about the stock. Rosenblatt Securities upped their price objective on shares of Five9 from $29.00 to $32.00 and gave the company a “buy” rating in a report on Friday, August 7th. Wall Street Zen lowered shares of Five9 from a “strong-buy” rating to a “buy” rating in a research report on Saturday, August 8th. Royal Bank Of Canada lifted their target price on shares of Five9 from $25.00 to $35.00 and gave the stock an “outperform” rating in a research note on Friday, August 7th. Piper Sandler boosted their price target on shares of Five9 from $24.00 to $30.00 and gave the company a “neutral” rating in a research report on Friday, August 7th. Finally, UBS Group boosted their price target on shares of Five9 from $36.00 to $48.00 and gave the company a “buy” rating in a research report on Friday, October 16th. Twelve equities research analysts have rated the stock with a Buy rating and nine have given a Hold rating to the company. According to MarketBeat, the stock presently has an average rating of “Moderate Buy” and a consensus target price of $33.94.

Five9 Stock Down 17.6%

Shares of NASDAQ FIVN opened at $28.12 on Friday. Five9 has a one year low of $13.29 and a one year high of $40.00. The company has a debt-to-equity ratio of 0.94, a current ratio of 4.15 and a quick ratio of 4.15. The business’s fifty day moving average price is $34.54 and its 200-day moving average price is $24.49. The stock has a market capitalization of $2.15 billion, a PE ratio of 41.97 and a beta of 1.56.

Five9 (NASDAQ:FIVN) last posted its quarterly earnings results on Thursday, November 5th. The software maker reported $0.82 earnings per share for the quarter, topping the consensus estimate of $0.80 by $0.02. Five9 had a return on equity of 13.00% and a net margin of 4.51%. The company had revenue of $323.30 million during the quarter, compared to the consensus estimate of $319.04 million. During the same quarter in the prior year, the company earned $0.78 EPS. The firm’s quarterly revenue was up 13.1% compared to the same quarter last year. On average, equities research analysts anticipate that Five9 will post 1.55 EPS for the current year.

Insider Buying and Selling

In related news, President Andy Dignan sold 17,767 shares of the stock in a transaction dated Friday, August 28th. The stock was sold at an average price of $35.03, for a total transaction of $622,378.01. Following the sale, the president owned 257,920 shares of the company’s stock, valued at approximately $9,034,937.60. This represents a 6.44% decrease in their position. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO Bryan M. Lee sold 19,308 shares of the stock in a transaction dated Friday, September 4th. The stock was sold at an average price of $33.34, for a total value of $643,728.72. Following the sale, the chief financial officer directly owned 290,643 shares in the company, valued at $9,690,037.62. This trade represents a 6.23% 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 83,831 shares of company stock valued at $2,821,366 in the last ninety days. 1.20% of the stock is owned by company insiders.

Institutional Investors Weigh In On Five9

Several hedge funds and other institutional investors have recently modified their holdings of FIVN. Aberdeen Group plc bought a new position in shares of Five9 in the third quarter valued at approximately $11,836,000. Fifth Third Bancorp grew its stake in Five9 by 4,736.0% during the third quarter. Fifth Third Bancorp now owns 14,895 shares of the software maker’s stock valued at $507,000 after acquiring an additional 14,587 shares in the last quarter. Maryland State Retirement & Pension System purchased a new position in Five9 during the third quarter valued at approximately $561,000. Lisanti Capital Growth LLC increased its holdings in Five9 by 3.8% during the 3rd quarter. Lisanti Capital Growth LLC now owns 201,110 shares of the software maker’s stock worth $6,840,000 after acquiring an additional 7,430 shares during the period. Finally, Illinois Municipal Retirement Fund bought a new stake in Five9 during the 3rd quarter worth approximately $1,521,000. 96.64% of the stock is currently owned by institutional investors.

Five9 News Summary

Here are the key news stories impacting Five9 this week:

• Positive Sentiment: Five9 reported Q3 adjusted EPS of $0.82 versus the $0.80 consensus and revenue of $323.3 million versus $319.0 million. Revenue rose 13% year over year, with subscription growth of 16%. Five9 Q3 results
• Positive Sentiment: Management’s FY 2026 adjusted EPS guidance of $3.17–$3.21 is above the cited $2.92 consensus. The company also highlighted 91% growth in AI revenue, supporting its opportunity to expand AI-powered customer service products. Q3 earnings call highlights
• Neutral Sentiment: Five9 agreed to acquire Level AI for $325 million in cash, adding tools for automating customer interactions and analyzing customer conversations. The deal could strengthen its AI platform, though its eventual financial contribution is uncertain. Level AI acquisition announcement
• Negative Sentiment: Gross margins narrowed year over year: GAAP gross margin was 53.4%, versus 55.0% a year earlier. Q4 EPS guidance of $0.88–$0.92 straddles the $0.90 consensus, while revenue guidance is broadly in line with expectations—limiting evidence of a near-term forecast beat. Q3 estimates and margins
• Negative Sentiment: Analyst responses were mixed but included a downgrade from Evercore to “in-line” with a $24 target and lower targets from Wells Fargo ($28), Truist ($35), and Barclays ($38). These cautious revisions may add pressure despite several firms retaining positive ratings. Wells Fargo analyst rating

Five9 Company Profile

Five9, Inc is a cloud-based software company that provides customer experience and contact center solutions. Its platform enables organizations to manage customer interactions across voice, chat, email, social media and other digital channels without relying on traditional on-premises contact center infrastructure.

The company’s Intelligent CX Platform includes tools for inbound and outbound communications, digital engagement, workforce optimization, workflow automation, analytics and reporting.