Traders Purchase Large Volume of Call Options on Five9 (NASDAQ:FIVN)

Five9, Inc. (NASDAQ:FIVN) saw some unusual options trading activity on Tuesday. Stock traders acquired 8,504 call options on the company. This represents an increase of approximately 2,115% compared to the typical daily volume of 384 call options.

Five9 Price Performance

NASDAQ FIVN opened at $17.77 on Wednesday. The company has a market cap of $1.39 billion, a price-to-earnings ratio of 49.36, a PEG ratio of 0.87 and a beta of 1.32. The company has a debt-to-equity ratio of 0.96, a current ratio of 4.61 and a quick ratio of 4.61. The stock’s fifty day moving average price is $19.30 and its 200 day moving average price is $22.21. Five9 has a 1 year low of $15.70 and a 1 year high of $49.90.

Five9 declared that its board has authorized a share repurchase program on Tuesday, November 11th that allows the company to repurchase $50.00 million in shares. This repurchase authorization allows the software maker to reacquire up to 3.2% of its shares through open market purchases. Shares repurchase programs are often a sign that the company’s management believes its stock is undervalued.

Insider Buying and Selling at Five9

In other news, CFO Bryan M. Lee sold 13,219 shares of Five9 stock in a transaction that occurred on Thursday, December 4th. The shares were sold at an average price of $20.35, for a total transaction of $269,006.65. Following the sale, the chief financial officer owned 224,269 shares in the company, valued at $4,563,874.15. This trade represents a 5.57% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available at the SEC website. Also, insider Tiffany N. Meriweather sold 6,852 shares of Five9 stock in a transaction dated Thursday, December 4th. The stock was sold at an average price of $20.35, for a total value of $139,438.20. Following the completion of the sale, the insider directly owned 212,126 shares in the company, valued at $4,316,764.10. This trade represents a 3.13% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Over the last quarter, insiders sold 65,339 shares of company stock valued at $1,330,186. 1.60% of the stock is currently owned by corporate insiders.

Institutional Trading of Five9

Several institutional investors have recently bought and sold shares of the business. Global Retirement Partners LLC boosted its position in Five9 by 81.7% during the third quarter. Global Retirement Partners LLC now owns 1,228 shares of the software maker’s stock worth $30,000 after acquiring an additional 552 shares during the last quarter. Nisa Investment Advisors LLC acquired a new stake in Five9 in the 2nd quarter valued at about $32,000. Quarry LP purchased a new position in Five9 in the 3rd quarter worth approximately $33,000. Rothschild Investment LLC boosted its holdings in shares of Five9 by 3,572.0% during the 4th quarter. Rothschild Investment LLC now owns 1,836 shares of the software maker’s stock worth $37,000 after purchasing an additional 1,786 shares during the last quarter. Finally, Advisory Services Network LLC acquired a new position in shares of Five9 during the 3rd quarter worth approximately $38,000. 96.64% of the stock is owned by institutional investors and hedge funds.

Analyst Upgrades and Downgrades

Several equities research analysts have recently commented on FIVN shares. Zacks Research lowered shares of Five9 from a “strong-buy” rating to a “hold” rating in a report on Tuesday, February 3rd. Cantor Fitzgerald reduced their price objective on shares of Five9 from $36.00 to $32.00 and set an “overweight” rating for the company in a research note on Friday, November 7th. Morgan Stanley dropped their target price on Five9 from $30.00 to $26.00 and set an “equal weight” rating on the stock in a research report on Thursday, January 15th. Barclays cut their price target on Five9 from $29.00 to $25.00 and set an “overweight” rating on the stock in a report on Monday, January 12th. Finally, Needham & Company LLC restated a “buy” rating and set a $40.00 price objective on shares of Five9 in a research note on Thursday, December 18th. Twelve equities research analysts have rated the stock with a Buy rating, six have issued a Hold rating and one has issued a Sell rating to the company’s stock. Based on data from MarketBeat, the company currently has an average rating of “Moderate Buy” and an average target price of $32.07.

Five9 Company Profile

Five9, Inc (NASDAQ: FIVN) is a leading provider of cloud-based contact center software designed to help organizations manage customer interactions across voice, email, chat, social media and other digital channels. Its platform offers features such as intelligent routing, analytics, workforce optimization and integrated customer relationship management (CRM) connectors. The company emphasizes AI-driven capabilities, including virtual agents and predictive dialing, to enhance both agent productivity and customer experience.

Founded in 2001 and headquartered in San Ramon, California, Five9 completed its initial public offering in February 2014.