📊 FIVN Key Takeaways
Is FIVN a Good Investment? Thesis Analysis
Five9 demonstrates solid fundamental strength with robust gross margins (55.1%), strong free cash flow generation ($201.2M, 17.5% FCF margin), and excellent liquidity (4.51x current ratio). Explosive net income growth (+408.1% YoY) signals improving profitability, though low operating margins (2.5%) and modest ROE (5.0%) indicate operational leverage opportunities and capital efficiency challenges that need monitoring.
Why Buy FIVN? Key Strengths
- Exceptional gross margin of 55.1% reflecting strong pricing power and product quality
- Outstanding free cash flow generation at $201.2M with 17.5% FCF margin, providing financial flexibility
- Dramatic net income improvement of 408.1% YoY with EPS growth of 364.7%, indicating operational gains
- Strong liquidity position with 4.51x current ratio and $232.1M cash despite $747.5M long-term debt
- Healthy interest coverage ratio of 11.2x demonstrating comfortable debt servicing ability
FIVN Investment Risks to Consider
- Extremely thin operating margin of only 2.5% despite 55.1% gross margin indicates high operating expenses relative to revenue
- Low return on equity (5.0%) and return on assets (2.2%) suggest inefficient capital deployment and asset utilization
- Significant long-term debt of $747.5M creates leverage risk; debt-to-equity of 0.95x is elevated for the sector
- Operating income of only $28.9M on $1.1B revenue suggests limited operational profit cushion for business disruptions
- Modest revenue growth of 10.3% YoY may not justify the business model complexity and operational overhead
Key Metrics to Watch
- Operating margin expansion trend—critical to improve from current 2.5% level
- Return on equity trajectory—5.0% is suboptimal and needs improvement toward double digits
- Debt reduction progress—leverage management relative to operating cash flow generation
- Operating income growth sustainability—whether recent net income gains translate to core profitability
- Revenue growth acceleration—10.3% YoY is moderate; momentum in top-line growth is essential
FIVN Financial Metrics
💡 AI Analyst Insight
Strong liquidity with a 4.51x current ratio provides a solid financial cushion.
FIVN Profitability Ratios
FIVN vs Technology Sector
How Five9, Inc. compares to Technology sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is FIVN Overvalued or Undervalued?
Based on fundamental analysis, Five9, Inc. shows some fundamental concerns relative to the Technology sector in 2026.
Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.
FIVN Balance Sheet & Liquidity
FIVN 5-Year Financial Trend & Growth Analysis
5-Year Trend Summary: Five9, Inc.'s revenue has grown significantly by 89% over the 5-year period, indicating strong business expansion. The most recent EPS of $-1.13 indicates the company is currently unprofitable.
FIVN Growth Metrics (YoY)
FIVN Quarterly Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q3 2025 | $264.2M | -$4.5M | $-0.06 |
| Q2 2025 | $252.1M | $1.2M | $0.01 |
| Q1 2025 | $247.0M | $576.0K | $0.01 |
| Q3 2024 | $230.1M | -$4.5M | $-0.06 |
| Q2 2024 | $222.9M | -$12.8M | $-0.17 |
| Q1 2024 | $218.4M | -$7.1M | $-0.10 |
| Q3 2023 | $198.3M | -$20.4M | $-0.28 |
| Q2 2023 | $189.4M | -$21.7M | $-0.30 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
FIVN Capital Allocation
FIVN SEC 10-K & 10-Q Filing Analysis
Access official SEC EDGAR filings for Five9, Inc. (CIK: 0001288847)
📋 Recent SEC Filings
| Date | Form | Document | Action |
|---|---|---|---|
| Mar 6, 2026 | 4 | xslF345X05/wk-form4_1772831467.xml | View → |
| Mar 6, 2026 | 4 | xslF345X05/wk-form4_1772831371.xml | View → |
| Mar 6, 2026 | 4 | xslF345X05/wk-form4_1772831285.xml | View → |
| Mar 6, 2026 | 4 | xslF345X05/wk-form4_1772831183.xml | View → |
| Mar 6, 2026 | 4 | xslF345X05/wk-form4_1772831098.xml | View → |
❓ Frequently Asked Questions about FIVN
What is the AI rating for FIVN?
Five9, Inc. (FIVN) has an AI rating of BUY with 72% confidence, based on fundamental analysis of SEC EDGAR filings.
What are FIVN's key strengths?
Claude: Exceptional gross margin of 55.1% reflecting strong pricing power and product quality. Outstanding free cash flow generation at $201.2M with 17.5% FCF margin, providing financial flexibility.
What are the risks of investing in FIVN?
Claude: Extremely thin operating margin of only 2.5% despite 55.1% gross margin indicates high operating expenses relative to revenue. Low return on equity (5.0%) and return on assets (2.2%) suggest inefficient capital deployment and asset utilization.
What is FIVN's revenue and growth?
Five9, Inc. reported revenue of $1.1B.
Does FIVN pay dividends?
Five9, Inc. does not currently pay dividends.
Where can I find FIVN SEC filings?
Official SEC filings for Five9, Inc. (CIK: 0001288847) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is FIVN's EPS?
Five9, Inc. has a diluted EPS of $0.45.
How is the AI analysis conducted?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined rating reflects both perspectives for balanced insights.
Is FIVN a good stock to buy right now?
Based on our AI fundamental analysis in March 2026, Five9, Inc. has a BUY rating with 72% confidence. The AI analysis suggests favorable fundamentals based on SEC filings. This is not investment advice.
Is FIVN stock overvalued or undervalued?
Valuation metrics for FIVN: ROE of 5.0% (sector avg: 22%), net margin of 3.4% (sector avg: 18%). Compare these metrics with sector averages to assess valuation.
Should I buy FIVN stock in 2026?
Our dual AI analysis gives Five9, Inc. a combined BUY rating for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is FIVN's free cash flow?
Five9, Inc.'s operating cash flow is $226.2M, with capital expenditures of $25.0M. FCF margin is 17.5%.
How does FIVN compare to other Technology stocks?
Vs Technology sector averages: Net margin 3.4% (avg: 18%), ROE 5.0% (avg: 22%), current ratio 4.51 (avg: 2.5).