FIVE9 INC (FIVN) Stock Fundamental Analysis
USA - NASDAQ:FIVN - US3383071012 - Common Stock
20.47 USD
-0.52 (-2.48%)
20.53 USD
+0.06 (+0.29%)
We assign a fundamental rating of 6 out of 10 to FIVN. FIVN was compared to 281 industry peers in the Software industry. FIVN has only an average score on both its financial health and profitability. FIVN is evaluated to be cheap and growing strongly. This does not happen too often!
1. Profitability
1.1 Basic Checks
FIVN had positive earnings in the past year.
FIVN had a positive operating cash flow in the past year.
In the past 5 years FIVN always reported negative net income.
FIVN had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
FIVN has a better Return On Assets (1.77%) than 63.35% of its industry peers.
FIVN has a better Return On Equity (4.03%) than 66.90% of its industry peers.
The Return On Invested Capital of FIVN (0.67%) is better than 60.85% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.77% | ||
| ROE | 4.03% | ||
| ROIC | 0.67% |
ROA(3y)-4.57%
ROA(5y)-4.42%
ROE(3y)-15.93%
ROE(5y)-17.6%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
Looking at the Profit Margin, with a value of 2.77%, FIVN is in the better half of the industry, outperforming 64.06% of the companies in the same industry.
FIVN has a better Operating Margin (1.17%) than 61.21% of its industry peers.
FIVN has a Gross Margin of 55.20%. This is in the lower half of the industry: FIVN underperforms 65.84% of its industry peers.
In the last couple of years the Gross Margin of FIVN has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 1.17% | ||
| PM (TTM) | 2.77% | ||
| GM | 55.2% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-0.82%
GM growth 5Y-1.69%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), FIVN is destroying value.
FIVN has more shares outstanding than it did 1 year ago.
FIVN has more shares outstanding than it did 5 years ago.
The debt/assets ratio for FIVN is higher compared to a year ago.
2.2 Solvency
FIVN has an Altman-Z score of 1.83. This is not the best score and indicates that FIVN is in the grey zone with still only limited risk for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 1.83, FIVN is in line with its industry, outperforming 47.33% of the companies in the same industry.
The Debt to FCF ratio of FIVN is 4.57, which is a neutral value as it means it would take FIVN, 4.57 years of fcf income to pay off all of its debts.
FIVN has a Debt to FCF ratio (4.57) which is comparable to the rest of the industry.
A Debt/Equity ratio of 0.96 indicates that FIVN is somewhat dependend on debt financing.
With a Debt to Equity ratio value of 0.96, FIVN is not doing good in the industry: 73.31% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.96 | ||
| Debt/FCF | 4.57 | ||
| Altman-Z | 1.83 |
ROIC/WACC0.07
WACC9.03%
2.3 Liquidity
FIVN has a Current Ratio of 4.61. This indicates that FIVN is financially healthy and has no problem in meeting its short term obligations.
Looking at the Current ratio, with a value of 4.61, FIVN belongs to the top of the industry, outperforming 87.54% of the companies in the same industry.
FIVN has a Quick Ratio of 4.61. This indicates that FIVN is financially healthy and has no problem in meeting its short term obligations.
Looking at the Quick ratio, with a value of 4.61, FIVN belongs to the top of the industry, outperforming 87.90% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 4.61 | ||
| Quick Ratio | 4.61 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 29.39% over the past year.
Measured over the past years, FIVN shows a very strong growth in Earnings Per Share. The EPS has been growing by 24.27% on average per year.
FIVN shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 12.48%.
The Revenue has been growing by 26.01% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)29.39%
EPS 3Y28.48%
EPS 5Y24.27%
EPS Q2Q%16.42%
Revenue 1Y (TTM)12.48%
Revenue growth 3Y19.56%
Revenue growth 5Y26.01%
Sales Q2Q%8.2%
3.2 Future
FIVN is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 10.03% yearly.
Based on estimates for the next years, FIVN will show a quite strong growth in Revenue. The Revenue will grow by 9.93% on average per year.
EPS Next Y19.95%
EPS Next 2Y14.42%
EPS Next 3Y13.69%
EPS Next 5Y10.03%
Revenue Next Year11.31%
Revenue Next 2Y10.43%
Revenue Next 3Y10.05%
Revenue Next 5Y9.93%
3.3 Evolution
The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
FIVN is valuated cheaply with a Price/Earnings ratio of 6.94.
92.53% of the companies in the same industry are more expensive than FIVN, based on the Price/Earnings ratio.
FIVN's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 25.91.
The Price/Forward Earnings ratio is 6.36, which indicates a rather cheap valuation of FIVN.
Based on the Price/Forward Earnings ratio, FIVN is valued cheaper than 94.66% of the companies in the same industry.
FIVN's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 34.57.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.94 | ||
| Fwd PE | 6.36 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of FIVN indicates a rather cheap valuation: FIVN is cheaper than 80.43% of the companies listed in the same industry.
93.24% of the companies in the same industry are more expensive than FIVN, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 9.62 | ||
| EV/EBITDA | 19.35 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
FIVN's earnings are expected to grow with 13.69% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.35
PEG (5Y)0.29
EPS Next 2Y14.42%
EPS Next 3Y13.69%
5. Dividend
5.1 Amount
FIVN does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
20.47
-0.52 (-2.48%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)
Earnings (Next)
Inst Owners124.13%
Inst Owner Change-0.51%
Ins Owners1.46%
Ins Owner Change1.37%
Market Cap1.58B
Revenue(TTM)1.13B
Net Income(TTM)31.28M
Analysts77.93
Price Target36.31 (77.38%)
Short Float %9.45%
Short Ratio3.9
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)9.56%
Min EPS beat(2)4.4%
Max EPS beat(2)14.72%
EPS beat(4)4
Avg EPS beat(4)13.97%
Min EPS beat(4)4.4%
Max EPS beat(4)26.36%
EPS beat(8)8
Avg EPS beat(8)16.47%
EPS beat(12)12
Avg EPS beat(12)22.89%
EPS beat(16)16
Avg EPS beat(16)27.75%
Revenue beat(2)1
Avg Revenue beat(2)-0.38%
Min Revenue beat(2)-1.69%
Max Revenue beat(2)0.92%
Revenue beat(4)3
Avg Revenue beat(4)0.48%
Min Revenue beat(4)-1.69%
Max Revenue beat(4)2.01%
Revenue beat(8)6
Avg Revenue beat(8)0.45%
Revenue beat(12)9
Avg Revenue beat(12)0.75%
Revenue beat(16)12
Avg Revenue beat(16)1.22%
PT rev (1m)0%
PT rev (3m)0%
EPS NQ rev (1m)0.13%
EPS NQ rev (3m)0.38%
EPS NY rev (1m)0.02%
EPS NY rev (3m)4.78%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.02%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.52%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.94 | ||
| Fwd PE | 6.36 | ||
| P/S | 1.4 | ||
| P/FCF | 9.62 | ||
| P/OCF | 8.22 | ||
| P/B | 2.04 | ||
| P/tB | 4.46 | ||
| EV/EBITDA | 19.35 |
EPS(TTM)2.95
EY14.41%
EPS(NY)3.22
Fwd EY15.73%
FCF(TTM)2.13
FCFY10.4%
OCF(TTM)2.49
OCFY12.17%
SpS14.59
BVpS10.03
TBVpS4.59
PEG (NY)0.35
PEG (5Y)0.29
Graham Number25.81
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.77% | ||
| ROE | 4.03% | ||
| ROCE | 0.85% | ||
| ROIC | 0.67% | ||
| ROICexc | 1.18% | ||
| ROICexgc | 2.25% | ||
| OM | 1.17% | ||
| PM (TTM) | 2.77% | ||
| GM | 55.2% | ||
| FCFM | 14.59% |
ROA(3y)-4.57%
ROA(5y)-4.42%
ROE(3y)-15.93%
ROE(5y)-17.6%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-0.82%
GM growth 5Y-1.69%
F-Score7
Asset Turnover0.64
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.96 | ||
| Debt/FCF | 4.57 | ||
| Debt/EBITDA | 11.95 | ||
| Cap/Depr | 57.26% | ||
| Cap/Sales | 2.48% | ||
| Interest Coverage | 1.29 | ||
| Cash Conversion | 309.64% | ||
| Profit Quality | 525.71% | ||
| Current Ratio | 4.61 | ||
| Quick Ratio | 4.61 | ||
| Altman-Z | 1.83 |
F-Score7
WACC9.03%
ROIC/WACC0.07
Cap/Depr(3y)87.17%
Cap/Depr(5y)98.35%
Cap/Sales(3y)4.74%
Cap/Sales(5y)5.63%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)29.39%
EPS 3Y28.48%
EPS 5Y24.27%
EPS Q2Q%16.42%
EPS Next Y19.95%
EPS Next 2Y14.42%
EPS Next 3Y13.69%
EPS Next 5Y10.03%
Revenue 1Y (TTM)12.48%
Revenue growth 3Y19.56%
Revenue growth 5Y26.01%
Sales Q2Q%8.2%
Revenue Next Year11.31%
Revenue Next 2Y10.43%
Revenue Next 3Y10.05%
Revenue Next 5Y9.93%
EBIT growth 1Y117.86%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year76.06%
EBIT Next 3Y32.85%
EBIT Next 5Y25.32%
FCF growth 1Y66.36%
FCF growth 3YN/A
FCF growth 5Y25.8%
OCF growth 1Y53.93%
OCF growth 3Y70.27%
OCF growth 5Y22.82%
FIVE9 INC / FIVN FAQ
What is the ChartMill fundamental rating of FIVE9 INC (FIVN) stock?
ChartMill assigns a fundamental rating of 6 / 10 to FIVN.
What is the valuation status of FIVE9 INC (FIVN) stock?
ChartMill assigns a valuation rating of 9 / 10 to FIVE9 INC (FIVN). This can be considered as Undervalued.
How profitable is FIVE9 INC (FIVN) stock?
FIVE9 INC (FIVN) has a profitability rating of 4 / 10.
Can you provide the PE and PB ratios for FIVN stock?
The Price/Earnings (PE) ratio for FIVE9 INC (FIVN) is 6.94 and the Price/Book (PB) ratio is 2.04.
Can you provide the financial health for FIVN stock?
The financial health rating of FIVE9 INC (FIVN) is 5 / 10.