Five9 (FIVN) To Report Earnings Tomorrow: Here Is What To Expect

Jabin Bastian /
2022/07/27 4:46 am EDT

Call center software provider Five9 (NASDAQ: FIVN) will be reporting earnings tomorrow after market close. Here's what you need to know.

Last quarter Five9 reported revenues of $182.7 million, up 32.5% year on year, beating analyst revenue expectations by 6.96%. It was a strong quarter for the company, with a solid beat of analyst estimates.

Is Five9 buy or sell heading into the earnings? Read our full analysis here, it's free.

This quarter analysts are expecting Five9's revenue to grow 25.2% year on year to $180 million, slowing down from the 44% year-over-year increase in revenue the company had recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.18 per share.

Five9 Total Revenue

Majority of analysts covering the company have reconfirmed their estimates over the last thirty days, suggesting they are expecting the business to stay the course heading into the earnings. The company has a history of exceeding Wall St's expectations, beating revenue estimates every single time over the past two years on average by 8.7%.

With Five9 being the first among its peers to report earnings this season, we don't have anywhere else to look at to get a hint at how this quarter will unravel for productivity software stocks, but the whole sector has been facing a sell-off since late last year, with stocks down on average 10.6% over the last month. Five9 is down 5.94% during the same time, and is heading into the earnings with analyst price target of $138.7, compared to share price of $94.42.

One way to find opportunities in the market is to watch for generational shifts in the economy. Almost every company is slowly finding itself becoming a technology company and facing cybersecurity risks and as a result, the demand for cloud-native cybersecurity is skyrocketing. This company is leading a massive technological shift in the industry and with revenue growth of 70% year on year and best-in-class SaaS metrics it should definitely be on your radar.

The author has no position in any of the stocks mentioned.