FIVE9 INC (FIVN) Stock Fundamental Analysis
USA - NASDAQ:FIVN - US3383071012 - Common Stock
25.84 USD
-0.26 (-1%)
25.76 USD
-0.08 (-0.31%)
We assign a fundamental rating of 5 out of 10 to FIVN. FIVN was compared to 280 industry peers in the Software industry. FIVN scores quite bad on profitability, while its financial health is fine. Not spectacular, but in line with the averages. An interesting combination arises when we look at growth and value: FIVN is growing strongly while it also seems undervalued.
1. Profitability
1.1 Basic Checks
In the past year FIVN was profitable.
In the past year FIVN had a positive cash flow from operations.
In the past 5 years FIVN always reported negative net income.
In the past 5 years FIVN always reported a positive cash flow from operatings.
1.2 Ratios
With a decent Return On Assets value of 0.52%, FIVN is doing good in the industry, outperforming 62.50% of the companies in the same industry.
Looking at the Return On Equity, with a value of 1.23%, FIVN is in the better half of the industry, outperforming 64.64% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.52% | ||
| ROE | 1.23% | ||
| ROIC | N/A |
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
FIVN has a Profit Margin of 0.80%. This is in the better half of the industry: FIVN outperforms 63.21% of its industry peers.
The Gross Margin of FIVN (54.93%) is worse than 66.43% of its industry peers.
In the last couple of years the Gross Margin of FIVN has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | 0.8% | ||
| GM | 54.93% |
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
FIVN does not have a ROIC to compare to the WACC, probably because it is not profitable.
Compared to 1 year ago, FIVN has more shares outstanding
Compared to 5 years ago, FIVN has more shares outstanding
The debt/assets ratio for FIVN is higher compared to a year ago.
2.2 Solvency
FIVN has an Altman-Z score of 1.97. 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.
FIVN's Altman-Z score of 1.97 is in line compared to the rest of the industry. FIVN outperforms 47.50% of its industry peers.
The Debt to FCF ratio of FIVN is 5.28, which is a neutral value as it means it would take FIVN, 5.28 years of fcf income to pay off all of its debts.
FIVN's Debt to FCF ratio of 5.28 is in line compared to the rest of the industry. FIVN outperforms 57.86% of its industry peers.
A Debt/Equity ratio of 1.04 is on the high side and indicates that FIVN has dependencies on debt financing.
FIVN's Debt to Equity ratio of 1.04 is on the low side compared to the rest of the industry. FIVN is outperformed by 74.64% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.04 | ||
| Debt/FCF | 5.28 | ||
| Altman-Z | 1.97 |
ROIC/WACCN/A
WACC9.58%
2.3 Liquidity
FIVN has a Current Ratio of 4.44. This indicates that FIVN is financially healthy and has no problem in meeting its short term obligations.
The Current ratio of FIVN (4.44) is better than 85.71% of its industry peers.
FIVN has a Quick Ratio of 4.44. This indicates that FIVN is financially healthy and has no problem in meeting its short term obligations.
The Quick ratio of FIVN (4.44) is better than 85.71% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 4.44 | ||
| Quick Ratio | 4.44 |
3. Growth
3.1 Past
FIVN shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 33.33%, which is quite impressive.
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 14.21%.
Measured over the past years, FIVN shows a very strong growth in Revenue. The Revenue has been growing by 26.01% on average per year.
EPS 1Y (TTM)33.33%
EPS 3Y28.48%
EPS 5Y24.27%
EPS Q2Q%46.15%
Revenue 1Y (TTM)14.21%
Revenue growth 3Y19.56%
Revenue growth 5Y26.01%
Sales Q2Q%12.37%
3.2 Future
The Earnings Per Share is expected to grow by 10.03% on average over the next years. This is quite good.
The Revenue is expected to grow by 9.93% on average over the next years. This is quite good.
EPS Next Y19.94%
EPS Next 2Y14.35%
EPS Next 3Y13.37%
EPS Next 5Y10.03%
Revenue Next Year11.31%
Revenue Next 2Y10.39%
Revenue Next 3Y9.86%
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 reasonably with a Price/Earnings ratio of 9.10.
Based on the Price/Earnings ratio, FIVN is valued cheaply inside the industry as 90.71% of the companies are valued more expensively.
FIVN is valuated cheaply when we compare the Price/Earnings ratio to 27.30, which is the current average of the S&P500 Index.
Based on the Price/Forward Earnings ratio of 8.03, the valuation of FIVN can be described as reasonable.
Based on the Price/Forward Earnings ratio, FIVN is valued cheaper than 94.64% of the companies in the same industry.
FIVN is valuated cheaply when we compare the Price/Forward Earnings ratio to 22.73, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.1 | ||
| Fwd PE | 8.03 |
4.2 Price Multiples
FIVN's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. FIVN is cheaper than 62.86% of the companies in the same industry.
FIVN's Price/Free Cash Flow ratio is rather cheap when compared to the industry. FIVN is cheaper than 91.07% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 14.01 | ||
| EV/EBITDA | 51.98 |
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.
A more expensive valuation may be justified as FIVN's earnings are expected to grow with 13.37% in the coming years.
PEG (NY)0.46
PEG (5Y)0.37
EPS Next 2Y14.35%
EPS Next 3Y13.37%
5. Dividend
5.1 Amount
FIVN does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
25.84
-0.26 (-1%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)
Earnings (Next)
Inst Owners114.84%
Inst Owner Change7.1%
Ins Owners0.84%
Ins Owner Change2.32%
Market Cap2.00B
Analysts77.93
Price Target36.31 (40.52%)
Short Float %9.99%
Short Ratio3.36
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)20.54%
Min EPS beat(2)14.72%
Max EPS beat(2)26.36%
EPS beat(4)4
Avg EPS beat(4)16.08%
Min EPS beat(4)10.4%
Max EPS beat(4)26.36%
EPS beat(8)8
Avg EPS beat(8)18.28%
EPS beat(12)12
Avg EPS beat(12)23.35%
EPS beat(16)16
Avg EPS beat(16)28.69%
Revenue beat(2)2
Avg Revenue beat(2)0.8%
Min Revenue beat(2)0.67%
Max Revenue beat(2)0.92%
Revenue beat(4)4
Avg Revenue beat(4)1.29%
Min Revenue beat(4)0.67%
Max Revenue beat(4)2.01%
Revenue beat(8)7
Avg Revenue beat(8)0.73%
Revenue beat(12)9
Avg Revenue beat(12)0.86%
Revenue beat(16)13
Avg Revenue beat(16)1.51%
PT rev (1m)0%
PT rev (3m)-3.49%
EPS NQ rev (1m)-0.01%
EPS NQ rev (3m)2.37%
EPS NY rev (1m)4.77%
EPS NY rev (3m)4.79%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.2%
Revenue NY rev (1m)0.52%
Revenue NY rev (3m)0.52%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.1 | ||
| Fwd PE | 8.03 | ||
| P/S | 1.81 | ||
| P/FCF | 14.01 | ||
| P/OCF | 11.45 | ||
| P/B | 2.78 | ||
| P/tB | 6.82 | ||
| EV/EBITDA | 51.98 |
EPS(TTM)2.84
EY10.99%
EPS(NY)3.22
Fwd EY12.45%
FCF(TTM)1.84
FCFY7.14%
OCF(TTM)2.26
OCFY8.73%
SpS14.31
BVpS9.29
TBVpS3.79
PEG (NY)0.46
PEG (5Y)0.37
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.52% | ||
| ROE | 1.23% | ||
| ROCE | N/A | ||
| ROIC | N/A | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | N/A | ||
| PM (TTM) | 0.8% | ||
| GM | 54.93% | ||
| FCFM | 12.89% |
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
ROICexcg growth 3YN/A
ROICexcg 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 Turnover0.65
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.04 | ||
| Debt/FCF | 5.28 | ||
| Debt/EBITDA | 22.97 | ||
| Cap/Depr | 63% | ||
| Cap/Sales | 2.88% | ||
| Interest Coverage | N/A | ||
| Cash Conversion | 538.57% | ||
| Profit Quality | 1614.16% | ||
| Current Ratio | 4.44 | ||
| Quick Ratio | 4.44 | ||
| Altman-Z | 1.97 |
F-Score7
WACC9.58%
ROIC/WACCN/A
Cap/Depr(3y)82.74%
Cap/Depr(5y)95.69%
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)33.33%
EPS 3Y28.48%
EPS 5Y24.27%
EPS Q2Q%46.15%
EPS Next Y19.94%
EPS Next 2Y14.35%
EPS Next 3Y13.37%
EPS Next 5Y10.03%
Revenue 1Y (TTM)14.21%
Revenue growth 3Y19.56%
Revenue growth 5Y26.01%
Sales Q2Q%12.37%
Revenue Next Year11.31%
Revenue Next 2Y10.39%
Revenue Next 3Y9.86%
Revenue Next 5Y9.93%
EBIT growth 1Y78.39%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year76.06%
EBIT Next 3Y32.85%
EBIT Next 5Y25.32%
FCF growth 1Y69.46%
FCF growth 3YN/A
FCF growth 5Y25.8%
OCF growth 1Y47.12%
OCF growth 3Y70.27%
OCF growth 5Y22.82%