FIVE9 INC (FIVN) Stock Fundamental Analysis
NASDAQ:FIVN - Nasdaq - US3383071012 - Common Stock - Currency: USD
Overall FIVN gets a fundamental rating of 4 out of 10. We evaluated FIVN against 283 industry peers in the Software industry. FIVN has a bad profitability rating. Also its financial health evaluation is rather negative. FIVN is growing strongly while it also seems undervalued. This is an interesting combination
1. Profitability
1.1 Basic Checks
In the past year FIVN was profitable.
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
With a decent Return On Assets value of -0.25%, FIVN is doing good in the industry, outperforming 63.60% of the companies in the same industry.
FIVN has a Return On Equity of -0.77%. This is in the better half of the industry: FIVN outperforms 64.66% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.25% | ||
| ROE | -0.77% | ||
| 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's Gross Margin of 54.50% is on the low side compared to the rest of the industry. FIVN is outperformed by 65.02% of its industry peers.
In the last couple of years the Gross Margin of FIVN has declined.
The Profit Margin and Operating Margin are not available for FIVN so they could not be analyzed.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 54.5% |
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.
The number of shares outstanding for FIVN has been increased compared to 1 year ago.
Compared to 5 years ago, FIVN has more shares outstanding
Compared to 1 year ago, FIVN has a worse debt to assets ratio.
2.2 Solvency
FIVN has an Altman-Z score of 1.42. This is a bad value and indicates that FIVN is not financially healthy and even has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 1.42, FIVN is in line with its industry, outperforming 43.11% of the companies in the same industry.
The Debt to FCF ratio of FIVN is 9.58, which is on the high side as it means it would take FIVN, 9.58 years of fcf income to pay off all of its debts.
FIVN's Debt to FCF ratio of 9.58 is in line compared to the rest of the industry. FIVN outperforms 49.12% of its industry peers.
FIVN has a Debt/Equity ratio of 1.12. This is a high value indicating a heavy dependency on external financing.
Looking at the Debt to Equity ratio, with a value of 1.12, FIVN is doing worse than 74.91% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.12 | ||
| Debt/FCF | 9.58 | ||
| Altman-Z | 1.42 |
ROIC/WACCN/A
WACC9.35%
2.3 Liquidity
A Current Ratio of 2.02 indicates that FIVN has no problem at all paying its short term obligations.
With a decent Current ratio value of 2.02, FIVN is doing good in the industry, outperforming 61.48% of the companies in the same industry.
FIVN has a Quick Ratio of 2.02. 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 2.02, FIVN is in the better half of the industry, outperforming 61.84% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.02 | ||
| Quick Ratio | 2.02 |
3. Growth
3.1 Past
FIVN shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 22.07%, which is quite impressive.
The Earnings Per Share has been growing by 24.27% on average over the past years. This is a very strong growth
The Revenue has grown by 14.44% in the past year. This is quite good.
The Revenue has been growing by 26.01% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)22.07%
EPS 3Y28.48%
EPS 5Y24.27%
EPS Q2Q%29.17%
Revenue 1Y (TTM)14.44%
Revenue growth 3Y19.56%
Revenue growth 5Y26.01%
Sales Q2Q%13.24%
3.2 Future
Based on estimates for the next years, FIVN will show a quite strong growth in Earnings Per Share. The EPS will grow by 9.98% on average per year.
Based on estimates for the next years, FIVN will show a quite strong growth in Revenue. The Revenue will grow by 11.02% on average per year.
EPS Next Y14.46%
EPS Next 2Y13.22%
EPS Next 3Y13.19%
EPS Next 5Y9.98%
Revenue Next Year10.74%
Revenue Next 2Y10.22%
Revenue Next 3Y9.92%
Revenue Next 5Y11.02%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
The estimated forward Revenue growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
4. Valuation
4.1 Price/Earnings Ratio
FIVN is valuated reasonably with a Price/Earnings ratio of 10.23.
90.46% 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 25.82.
Based on the Price/Forward Earnings ratio of 8.43, the valuation of FIVN can be described as reasonable.
Based on the Price/Forward Earnings ratio, FIVN is valued cheaper than 93.64% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of FIVN to the average of the S&P500 Index (21.76), we can say FIVN is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.23 | ||
| Fwd PE | 8.43 |
4.2 Price Multiples
FIVN's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. FIVN is cheaper than 72.44% 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 85.87% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 16.34 | ||
| EV/EBITDA | 36.4 |
4.3 Compensation for Growth
FIVN's 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 13.19% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.71
PEG (5Y)0.42
EPS Next 2Y13.22%
EPS Next 3Y13.19%
5. Dividend
5.1 Amount
FIVN does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
26.59
-0.37 (-1.37%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)
Earnings (Next)
Inst Owners111.71%
Inst Owner Change-2.19%
Ins Owners0.5%
Ins Owner Change2.43%
Market Cap2.03B
Analysts77.93
Price Target37.72 (41.86%)
Short Float %10.83%
Short Ratio4.18
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)18.38%
Min EPS beat(2)10.4%
Max EPS beat(2)26.36%
EPS beat(4)4
Avg EPS beat(4)16.52%
Min EPS beat(4)10.4%
Max EPS beat(4)26.36%
EPS beat(8)8
Avg EPS beat(8)20.29%
EPS beat(12)12
Avg EPS beat(12)29.31%
EPS beat(16)16
Avg EPS beat(16)31.65%
Revenue beat(2)2
Avg Revenue beat(2)1.34%
Min Revenue beat(2)0.67%
Max Revenue beat(2)2.01%
Revenue beat(4)4
Avg Revenue beat(4)1.25%
Min Revenue beat(4)0.67%
Max Revenue beat(4)2.01%
Revenue beat(8)7
Avg Revenue beat(8)0.87%
Revenue beat(12)9
Avg Revenue beat(12)1.04%
Revenue beat(16)13
Avg Revenue beat(16)1.86%
PT rev (1m)-33.75%
PT rev (3m)-29.29%
EPS NQ rev (1m)15.57%
EPS NQ rev (3m)11.4%
EPS NY rev (1m)6.06%
EPS NY rev (3m)8.41%
Revenue NQ rev (1m)-0.31%
Revenue NQ rev (3m)-1.32%
Revenue NY rev (1m)-0.17%
Revenue NY rev (3m)0.26%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.23 | ||
| Fwd PE | 8.43 | ||
| P/S | 1.89 | ||
| P/FCF | 16.34 | ||
| P/OCF | 12.73 | ||
| P/B | 3.05 | ||
| P/tB | 8.59 | ||
| EV/EBITDA | 36.4 |
EPS(TTM)2.6
EY9.78%
EPS(NY)3.15
Fwd EY11.86%
FCF(TTM)1.63
FCFY6.12%
OCF(TTM)2.09
OCFY7.85%
SpS14.1
BVpS8.71
TBVpS3.1
PEG (NY)0.71
PEG (5Y)0.42
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.25% | ||
| ROE | -0.77% | ||
| ROCE | N/A | ||
| ROIC | N/A | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 54.5% | ||
| FCFM | 11.54% |
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-ScoreN/A
Asset Turnover0.51
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.12 | ||
| Debt/FCF | 9.58 | ||
| Debt/EBITDA | 18.81 | ||
| Cap/Depr | 46.48% | ||
| Cap/Sales | 3.27% | ||
| Interest Coverage | N/A | ||
| Cash Conversion | 401.84% | ||
| Profit Quality | N/A | ||
| Current Ratio | 2.02 | ||
| Quick Ratio | 2.02 | ||
| Altman-Z | 1.42 |
F-ScoreN/A
WACC9.35%
ROIC/WACCN/A
Cap/Depr(3y)76.73%
Cap/Depr(5y)92.09%
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)22.07%
EPS 3Y28.48%
EPS 5Y24.27%
EPS Q2Q%29.17%
EPS Next Y14.46%
EPS Next 2Y13.22%
EPS Next 3Y13.19%
EPS Next 5Y9.98%
Revenue 1Y (TTM)14.44%
Revenue growth 3Y19.56%
Revenue growth 5Y26.01%
Sales Q2Q%13.24%
Revenue Next Year10.74%
Revenue Next 2Y10.22%
Revenue Next 3Y9.92%
Revenue Next 5Y11.02%
EBIT growth 1Y60.05%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year57%
EBIT Next 3Y29.86%
EBIT Next 5Y24.7%
FCF growth 1Y183.45%
FCF growth 3YN/A
FCF growth 5Y25.8%
OCF growth 1Y70.16%
OCF growth 3Y70.27%
OCF growth 5Y22.82%