FIVE9 INC (FIVN) Stock Fundamental Analysis
NASDAQ:FIVN - Nasdaq - US3383071012 - Common Stock - Currency: USD
FIVN gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 282 industry peers in the Software industry. Both the profitability and financial health of FIVN have multiple concerns. FIVN has both an excellent growth and valuation score. This means it is growing and it is still cheap. This is a rare combination!
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 -0.25%, FIVN is doing good in the industry, outperforming 63.12% of the companies in the same industry.
Looking at the Return On Equity, with a value of -0.77%, FIVN is in the better half of the industry, outperforming 64.54% of the companies in the same industry.
| 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
With a Gross Margin value of 54.50%, FIVN is not doing good in the industry: 65.25% of the companies in the same industry are doing better.
FIVN's Gross Margin has declined in the last couple of years.
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.
FIVN has more shares outstanding than it did 1 year ago.
FIVN has more shares outstanding than it did 5 years ago.
FIVN has a worse debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of 1.49, we must say that FIVN is in the distress zone and has some risk of bankruptcy.
FIVN has a Altman-Z score (1.49) which is in line with its industry peers.
FIVN has a debt to FCF ratio of 9.58. This is a negative value and a sign of low solvency as FIVN would need 9.58 years to pay back of all of its debts.
FIVN has a Debt to FCF ratio of 9.58. This is comparable to the rest of the industry: FIVN outperforms 50.00% 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.
FIVN has a worse Debt to Equity ratio (1.12) than 74.47% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.12 | ||
| Debt/FCF | 9.58 | ||
| Altman-Z | 1.49 |
ROIC/WACCN/A
WACC9.44%
2.3 Liquidity
A Current Ratio of 2.02 indicates that FIVN has no problem at all paying its short term obligations.
FIVN has a better Current ratio (2.02) than 62.06% of its industry peers.
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.
With a decent Quick ratio value of 2.02, FIVN is doing good in the industry, outperforming 62.41% 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
FIVN shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 14.44%.
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)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
The Earnings Per Share is expected to grow by 12.44% on average over the next years. This is quite good.
Based on estimates for the next years, FIVN will show a quite strong growth in Revenue. The Revenue will grow by 9.83% on average per year.
EPS Next Y14.48%
EPS Next 2Y13.52%
EPS Next 3Y13.58%
EPS Next 5Y12.44%
Revenue Next Year10.74%
Revenue Next 2Y10.26%
Revenue Next 3Y9.94%
Revenue Next 5Y9.83%
3.3 Evolution
Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of 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
Based on the Price/Earnings ratio of 11.01, the valuation of FIVN can be described as reasonable.
91.13% of the companies in the same industry are more expensive than FIVN, based on the Price/Earnings ratio.
FIVN is valuated cheaply when we compare the Price/Earnings ratio to 27.69, which is the current average of the S&P500 Index.
Based on the Price/Forward Earnings ratio of 9.03, the valuation of FIVN can be described as reasonable.
Based on the Price/Forward Earnings ratio, FIVN is valued cheaply inside the industry as 93.97% of the companies are valued more expensively.
Compared to an average S&P500 Price/Forward Earnings ratio of 37.36, FIVN is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.01 | ||
| Fwd PE | 9.03 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, FIVN is valued a bit cheaper than the industry average as 69.15% of the companies are valued more expensively.
Based on the Price/Free Cash Flow ratio, FIVN is valued cheaper than 86.52% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 17.6 | ||
| EV/EBITDA | 40.65 |
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 13.58% in the coming years.
PEG (NY)0.76
PEG (5Y)0.45
EPS Next 2Y13.52%
EPS Next 3Y13.58%
5. Dividend
5.1 Amount
FIVN does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
28.63
-0.53 (-1.82%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)
Earnings (Next)
Inst Owners114.99%
Inst Owner Change-0.37%
Ins Owners0.84%
Ins Owner Change2.59%
Market Cap2.18B
Analysts78
Price Target37.3 (30.28%)
Short Float %10.55%
Short Ratio3.77
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)-0.85%
PT rev (3m)-34.48%
EPS NQ rev (1m)0%
EPS NQ rev (3m)15.48%
EPS NY rev (1m)0%
EPS NY rev (3m)6.08%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.31%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.17%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.01 | ||
| Fwd PE | 9.03 | ||
| P/S | 2.03 | ||
| P/FCF | 17.6 | ||
| P/OCF | 13.72 | ||
| P/B | 3.29 | ||
| P/tB | 9.25 | ||
| EV/EBITDA | 40.65 |
EPS(TTM)2.6
EY9.08%
EPS(NY)3.17
Fwd EY11.07%
FCF(TTM)1.63
FCFY5.68%
OCF(TTM)2.09
OCFY7.29%
SpS14.09
BVpS8.71
TBVpS3.1
PEG (NY)0.76
PEG (5Y)0.45
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 | 1.49 |
F-ScoreN/A
WACC9.44%
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 Y14.48%
EPS Next 2Y13.52%
EPS Next 3Y13.58%
EPS Next 5Y12.44%
Revenue 1Y (TTM)14.44%
Revenue growth 3Y19.56%
Revenue growth 5Y26.01%
Sales Q2Q%13.24%
Revenue Next Year10.74%
Revenue Next 2Y10.26%
Revenue Next 3Y9.94%
Revenue Next 5Y9.83%
EBIT growth 1Y60.05%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year64.31%
EBIT Next 3Y32.74%
EBIT Next 5Y25.35%
FCF growth 1Y183.45%
FCF growth 3YN/A
FCF growth 5Y25.8%
OCF growth 1Y70.16%
OCF growth 3Y70.27%
OCF growth 5Y22.82%