Five9 (NASDAQ:FIVN) Trading 14.9% Higher After Strong Earnings

Shares of Five9, Inc. (NASDAQ:FIVN) rose 14.9% on Friday after the company announced better than expected quarterly earnings. The company traded as high as $31.18 and last traded at $32.6040. 1,523,749 shares changed hands during trading, a decline of 47% from the average session volume of 2,874,995 shares. The stock had previously closed at $28.37.

The software maker reported $0.70 earnings per share for the quarter, topping the consensus estimate of $0.68 by $0.02. The business had revenue of $312.44 million for the quarter, compared to analysts’ expectations of $306.61 million. Five9 had a return on equity of 12.66% and a net margin of 4.87%.The business’s revenue was up 10.3% on a year-over-year basis. During the same quarter in the previous year, the firm earned $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.

Key Stories Impacting Five9

Here are the key news stories impacting Five9 this week:

• Positive Sentiment: Five9 reported second-quarter adjusted earnings of $0.70 per share, exceeding the $0.68 consensus estimate, while revenue of $312.44 million topped expectations of $306.61 million. Revenue increased 10.3% year over year, supporting the positive reaction. Five9 Beats Q2 Earnings and Revenue Estimates
• Positive Sentiment: Management raised the outlook for the third quarter, forecasting earnings of $0.77–$0.81 per share and revenue of $316 million–$322 million, above analyst estimates of $0.74 and $314.6 million, respectively. Five9 Q2 Sales Beat Estimates and Guidance Exceeds Expectations
• Positive Sentiment: Five9’s full-year 2026 earnings guidance of $3.22–$3.30 per share is well above the $2.88 analyst consensus, potentially prompting upward revisions to earnings estimates. Full-year revenue guidance was broadly in line with expectations. Five9 Earnings Guidance
• Positive Sentiment: Truist Financial raised its price target from $23 to $35 and assigned a buy rating, while Rosenblatt Securities increased its target from $29 to $32 and also maintained a buy rating. The target increases reinforce improving analyst sentiment following the earnings report. Analyst Price Target Revisions
• Neutral Sentiment: Although quarterly revenue grew, earnings declined from $0.76 per share in the year-earlier period to $0.70, indicating that profitability remains an important focus for investors.

Analyst Upgrades and Downgrades

A number of research analysts have weighed in on the stock. Royal Bank Of Canada reiterated an “outperform” rating on shares of Five9 in a research note on Friday. Cantor Fitzgerald upped their price objective on Five9 from $32.00 to $34.00 and gave the company an “overweight” rating in a research note on Monday. Barclays raised their target price on Five9 from $22.00 to $25.00 and gave the stock an “overweight” rating in a research report on Friday, May 1st. Piper Sandler reaffirmed a “neutral” rating and set a $24.00 price target (up from $21.00) on shares of Five9 in a research report on Friday, May 1st. Finally, Weiss Ratings upgraded Five9 from a “sell (d)” rating to a “sell (d+)” rating in a research note on Tuesday, May 19th. Ten research analysts have rated the stock with a Buy rating, seven have issued a Hold rating and one has assigned a Sell rating to the stock. According to MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and a consensus target price of $27.71.

Insider Activity at Five9

In related news, CRO Matthew E. Tuckness sold 8,645 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 transaction of $214,482.45. Following the sale, the executive owned 281,492 shares of the company’s stock, valued at approximately $6,983,816.52. This represents a 2.98% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is accessible through this hyperlink. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, President Andy Dignan sold 8,203 shares of the firm’s stock in a transaction on Thursday, June 4th. The shares were sold at an average price of $24.76, for a total transaction of $203,106.28. Following the completion of the transaction, the president directly owned 278,760 shares of the company’s stock, valued at approximately $6,902,097.60. The trade was a 2.86% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. 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 85,820 shares of company stock valued at $2,014,057 in the last quarter. 1.20% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently modified their holdings of the business. Amundi raised its position in shares of Five9 by 8.3% during the 1st quarter. Amundi now owns 40,291 shares of the software maker’s stock valued at $1,017,000 after buying an additional 3,079 shares in the last quarter. Guggenheim Capital LLC lifted its stake in Five9 by 95.7% during the second quarter. Guggenheim Capital LLC now owns 27,826 shares of the software maker’s stock worth $737,000 after purchasing an additional 13,606 shares during the last quarter. California Public Employees Retirement System boosted its holdings in shares of Five9 by 39.4% in the 2nd quarter. California Public Employees Retirement System now owns 121,700 shares of the software maker’s stock worth $3,223,000 after purchasing an additional 34,375 shares in the last quarter. Qube Research & Technologies Ltd boosted its holdings in shares of Five9 by 52.7% in the 2nd quarter. Qube Research & Technologies Ltd now owns 31,182 shares of the software maker’s stock worth $826,000 after purchasing an additional 10,755 shares in the last quarter. Finally, The Manufacturers Life Insurance Company increased its position in shares of Five9 by 147.2% during the 2nd quarter. The Manufacturers Life Insurance Company now owns 40,137 shares of the software maker’s stock valued at $1,063,000 after purchasing an additional 23,901 shares during the last quarter. Hedge funds and other institutional investors own 96.64% of the company’s stock.

Five9 Price Performance

The stock has a market capitalization of $2.57 billion, a P/E ratio of 50.97 and a beta of 1.42. 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 50-day moving average price of $23.75 and a 200 day moving average price of $19.79.

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.