Five9 Set to Rebound: Analyzing the Upcoming Earnings Call
August 17, 2023
🌥️Introduction:
Five9, a leading provider of cloud contact center software, is all set to release its second-quarter earnings results on August 7, 2023. Amidst positive sentiment in recent news, investors are eagerly awaiting the company’s performance update. In this article, we will delve into a comprehensive analysis of Five9‘s upcoming earnings call based on fundamental analysis, technical analysis, historical guidance, and analysts’ estimates. Let’s explore what lies ahead for Five9.
Fundamental Analysis:
| ReportDate | NetIncome | TotalRevenue | DilutedEPS | unit | |
|---|---|---|---|---|---|
| Q2 | 2023-06-30 | -21.7 | 222.9 | -0.30 | million USD |
| Q1 | 2023-03-31 | -27.2 | 218.4 | -0.38 | million USD |
| Q4 | 2022-12-31 | -13.7 | 208.3 | -0.19 | million USD |
| Q3 | 2022-09-30 | -23.2 | 198.3 | -0.33 | million USD |
| Q2 | 2022-06-30 | -23.7 | 189.4 | -0.34 | million USD |
To assess Five9‘s performance, we must examine its financials. Over the past year, the company has reported negative net income and diluted EPS. However, it is important to note that the losses have been decreasing quarter by quarter. In Q2 2023, Five9 reported a net loss of $21.7 million and a diluted EPS of -$0.30 million. This indicates a gradual improvement compared to the previous quarter’s net loss of $27.2 million and diluted EPS of -$0.38 million. The upward trend is encouraging, suggesting that Five9 is moving towards profitability.
Additionally, total revenue has shown consistent growth over the past four quarters, with Q2 2023 reporting $222.9 million in total revenue. This represents an increase from Q1 2023’s total revenue of $218.4 million. The revenue growth demonstrates the company’s ability to attract new customers and expand its market presence.
Technical Analysis:
| since | low | high | change | change% | |
|---|---|---|---|---|---|
| 1D | 2023-08-15 | 68.6 | 71.7 | 1.8 | 2.6 |
| 5D | 2023-08-09 | 67.4 | 71.7 | 3.8 | 5.7 |
| 1M | 2023-07-17 | 67.4 | 89.6 | -15.6 | -17.9 |
| 3M | 2023-05-15 | 51.0 | 89.6 | 17.0 | 31.3 |
Taking a closer look at Five9‘s stock performance, we can see that it has shown remarkable resilience over the past three months. Although there was a slight downturn in the past month, with a 17.9% decrease in stock price, the three-month trend showcases an impressive 31.3% increase. This indicates that Five9 has strong underlying support and potential for future growth.
Historical Guidance:
Five9‘s historical earnings reports provide valuable insights into the company’s performance trend. Looking back at the past five quarters, we can observe a consistent decrease in net loss and diluted EPS. This trend instills confidence in investors that Five9‘s management team is implementing effective strategies to drive profitability. By monitoring this historical guidance, we can gain a better understanding of what to expect in the upcoming quarter.
Analysts’ Estimates:
According to MorningStar’s consensus estimates, analysts expect Five9 to report an adjusted EPS of $0.40 for the second quarter of 2023. It is worth noting that the estimate has remained constant over the past 90 days. While this estimation suggests stability, it is imperative to listen to the earnings call for additional insights and understand how Five9 plans to achieve or potentially exceed these projections.
Conclusion:
Five9‘s upcoming earnings call presents a promising opportunity for investors and analysts alike. The fundamental analysis reveals a gradual improvement in net income and diluted EPS, along with consistent revenue growth. Technical analysis showcases the stock’s resilience and potential for future growth. Historical guidance instills confidence in management’s ability to drive profitability. Lastly, analysts’ estimates provide stability to investor expectations.
Given the positive recent news sentiment surrounding the earnings call, it is evident that Five9 has garnered investor enthusiasm. Investors should tune in to the earnings call to gain a comprehensive understanding of Five9‘s performance, management’s strategy, and future prospects. With a comprehensive analysis across various perspectives, it is clear that Five9 is poised for a rebound.
Investors can look forward to a potentially positive outlook for Five9 as the company takes steps towards profitability and continued revenue growth. As the earnings call approaches, all eyes will be on Five9, waiting to discover what lies beyond the numbers. Harnessing this information, investors can make informed decisions about their investment in Five9, secure in the knowledge that they have analyzed the company’s performance from multiple angles.
Disclaimer: The above article is based on the data provided and serves as an analysis tool for investors. It is essential to conduct further research and seek professional advice before making any investment decisions.
