FIVE9 INC (FIVN) Stock Fundamental Analysis
NASDAQ:FIVN - Nasdaq - US3383071012 - Common Stock - Currency: USD
Taking everything into account, FIVN scores 4 out of 10 in our fundamental rating. FIVN was compared to 282 industry peers in the Software industry. Both the profitability and financial health of FIVN have multiple concerns. FIVN is evaluated to be cheap and growing strongly. This does not happen too often!
1. Profitability
1.1 Basic Checks
In the past year FIVN was profitable.
FIVN had a positive operating cash flow in the past year.
FIVN had negative earnings in each of the past 5 years.
In the past 5 years FIVN always reported a positive cash flow from operatings.
1.2 Ratios
The Return On Assets of FIVN (-0.25%) is better than 63.12% of its industry peers.
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
FIVN has a worse Gross Margin (54.50%) than 65.25% of its industry peers.
FIVN's Gross Margin has declined in the last couple of years.
FIVN does not have Profit Margin and Operating Margin available, so we won't be analyzing them here.
| 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 1.47, we must say that FIVN is in the distress zone and has some risk of bankruptcy.
FIVN has a Altman-Z score (1.47) which is in line with its industry peers.
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.
The Debt to FCF ratio of FIVN (9.58) is comparable to the rest of the industry.
A Debt/Equity ratio of 1.12 is on the high side and indicates that FIVN has dependencies on debt financing.
The Debt to Equity ratio of FIVN (1.12) is worse than 74.47% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.12 | ||
| Debt/FCF | 9.58 | ||
| Altman-Z | 1.47 |
ROIC/WACCN/A
WACC9.48%
2.3 Liquidity
A Current Ratio of 2.02 indicates that FIVN has no problem at all paying its short term obligations.
Looking at the Current ratio, with a value of 2.02, FIVN is in the better half of the industry, outperforming 62.06% of the companies in the same industry.
A Quick Ratio of 2.02 indicates that FIVN has no problem at all paying its short term obligations.
FIVN has a better Quick ratio (2.02) than 62.41% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.02 | ||
| Quick Ratio | 2.02 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 22.07% over the past year.
The Earnings Per Share has been growing by 24.27% on average over the past years. This is a very strong growth
Looking at the last year, FIVN shows a quite strong growth in Revenue. The Revenue has grown by 14.44% in the last year.
FIVN shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 26.01% yearly.
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
The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
FIVN is valuated reasonably with a Price/Earnings ratio of 11.09.
Based on the Price/Earnings ratio, FIVN is valued cheaply inside the industry as 91.13% of the companies are valued more expensively.
FIVN's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 28.04.
Based on the Price/Forward Earnings ratio of 9.10, the valuation of FIVN can be described as reasonable.
Based on the Price/Forward Earnings ratio, FIVN is valued cheaper than 93.97% of the companies in the same industry.
FIVN is valuated cheaply when we compare the Price/Forward Earnings ratio to 37.64, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.09 | ||
| Fwd PE | 9.1 |
4.2 Price Multiples
FIVN's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. FIVN is cheaper than 69.86% of the companies in the same industry.
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 | 17.73 | ||
| EV/EBITDA | 39.63 |
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 13.58% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.77
PEG (5Y)0.46
EPS Next 2Y13.52%
EPS Next 3Y13.58%
5. Dividend
5.1 Amount
No dividends for FIVN!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
28.84
+0.21 (+0.73%)
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 Cap2.20B
Analysts78
Price Target37.3 (29.33%)
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 | 11.09 | ||
| Fwd PE | 9.1 | ||
| P/S | 2.05 | ||
| P/FCF | 17.73 | ||
| P/OCF | 13.82 | ||
| P/B | 3.31 | ||
| P/tB | 9.32 | ||
| EV/EBITDA | 39.63 |
EPS(TTM)2.6
EY9.02%
EPS(NY)3.17
Fwd EY10.99%
FCF(TTM)1.63
FCFY5.64%
OCF(TTM)2.09
OCFY7.24%
SpS14.09
BVpS8.71
TBVpS3.1
PEG (NY)0.77
PEG (5Y)0.46
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 | 1.47 |
F-ScoreN/A
WACC9.48%
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%