Stock fact sheet · data as of
Five9, Inc. (FIVN): fair value, margin of safety and Wheel Score
Technology · Software - Application · United States · High Growth
Is FIVN undervalued?
Five9, Inc. (FIVN) closed at 35.10 on 16 Oct 2026, close to the GLS average fair value of 31.94 (9.9% above fair value). 3 of the 8 models that produced a number sit above the price, 5 below - the market and our models roughly agree. With little margin of safety either way, the case for or against the stock rests on the quality numbers and the option premium rather than on price.
There is a wide gap between Lynch (5.35) and Payback Time (78.02). When the models are this far apart the "fair value" is really a range, and the margin of safety above should be read with that range in mind.
The nightly engine files FIVN under High Growth: revenue and earnings growing fast enough that the growth-based models carry the valuation.
Nine valuation models for FIVN
Each model turns the latest filed numbers into a value per share; the GLS fair value is the simple average of the ones that produce a positive number. The last two rows are shown for reference and never enter the average. The Quote page lets you switch any model off and add your own margin of safety.
| Model | Value | vs price | What it measures |
|---|---|---|---|
| DCF | 25.96 | -26% | Present value of the projected free cash flows, discounted at the cost of capital |
| Graham Number | 13.58 | -61% | The most a defensive investor pays for the earnings and book value per share |
| Graham Growth | 17.02 | -52% | Graham's growth formula: EPS × (8.5 + 2 × growth), adjusted for bond yields |
| Lynch | 5.35 | -85% | EPS × the earnings growth rate (PEG of 1), growth capped at 25% |
| GLS Growth | 48.25 | +37% | EPS compounded ten years at the blended growth rate, discounted back at 15% a year |
| 10 Cap | 58.60 | +67% | Owner's earnings (operating cash flow less maintenance capex) capitalised at 10% |
| Payback Time | 78.02 | +122% | Eight years of compounded free cash flow: the price at which the business pays for itself |
| DDM | - | - | Dividend discount model: next year's dividend ÷ (10% − 3% growth); needs a dividend; no value tonight |
| EPV | 8.76 | -75% | Earnings power value: current EPS capitalised at 9% with no growth |
| Zombie (liquidation) | -1.78 | -105% | Current assets less all liabilities, per share: the balance-sheet floor. Not in the average |
| Wall St target | 34.00 | -3% | Analysts' average 12-month price target. Not in the average |
Quality and financial health
Five9, Inc. scores 6 of 9 on the Piotroski F-score: a middling result that passes the Sunday Scan's "6 or more" rule. Some of the nine tests on profitability, leverage and efficiency are failed, so the accounts are worth a look before selling a put on the name. On durability FIVN scores 6.1/10 on the GLS Moat - a middle reading; the Scorecard on the Quote page's Financials tab shows which ten-year lines are steady and which are not.
Returns on capital are thin or negative - ROIC 2.4%, ROE 5.0%, ROA 2.2% - with debt at 1.08 times equity and a free-cash-flow yield of 7.6%.
Five9, Inc. pays no dividend, so the DDM model does not apply and a covered-call holder earns only the premium and any price gain. Revenue comes mainly from Reportable 100% (quarter Q2 FY2026).
Institutional ownership scores 10/10, insider activity 1/10 and Congressional trading 5/10 on the GLS smart-money scales.
| Piotroski F-score | 6 / 9 | ROIC | 2.4% |
|---|---|---|---|
| GLS Moat | 6.1 / 10 | ROE | 5.0% |
| Debt / equity | 1.08 | ROA | 2.2% |
| Free-cash-flow yield | 7.6% | Payout ratio | 0% |
| Institutions | 10 / 10 | Insiders · Congress | 1 · 5 / 10 |
Wheel Score 63: Fair
A Wheel Score of 63 puts Five9, Inc. in the Fair band - below the 70 the Sunday Scan requires. Value 8/25, Health 13/20, Moat 9/15, Premium 15/20 and Stability 17/20; the weakest part is Value (8/25).
Implied volatility is 79% on the near-the-money contracts 20-60 days out - above the 60% ceiling of the sweet spot. Premiums are large, but the Wheel Score tapers the Premium points (15 of 20) because volatility this high usually comes with a reason. The option chain is deep: 78,097 contracts of open interest across all expiries, which means tight fills at most strikes.
Volume runs at 2.0M shares a day on a market cap of $2.6B, with a beta of 1.54 - a high beta, so the stock tends to move more than the market and a strike can be gapped through; the Stability part of the Wheel Score gives that 17 of 20.
| Part | Points | From | |
|---|---|---|---|
| Value | 8 / 25 | -10% margin of safety | |
| Health | 13 / 20 | Piotroski 6/9 | |
| Moat | 9 / 15 | moat 6.1/10 | |
| Premium | 15 / 20 | implied volatility 79% | |
| Stability | 17 / 20 | 2.0M shares/day, $2.6B cap, beta 1.54 |
The Wheel Score ranks ~7,400 US stocks for selling cash-secured puts and covered calls; it is updated nightly and is not a recommendation. The walkthrough lesson shows how the score fits into a trade, start to finish.
Upcoming events
The next earnings report is due on 9 Nov 2026 (after the close), 24 days away; a 30-45-day put sold today would expire after it, which is worth weighing against the premium.
Earnings, dividend, IPO, split and economic calendars for the whole market, filterable to your watchlists.
Similar stocks in Software - Application
The 12 companies below are the closest to Five9, Inc. by market cap within the Software - Application industry, each with its own fact sheet; the Compare page puts up to eight of them side by side.
| Stock | Close | Fair value | MoS | Wheel | Mkt cap |
|---|---|---|---|---|---|
| GRND Grindr Inc. | 15.10 | 28.83 | +48% | 89Prime | $2.6B |
| KC Kingsoft Cloud Holdings Limited | 8.84 | 187.92 | +95% | 45Weak | $2.6B |
| PLUS ePlus inc. | 94.75 | 50.08 | -89% | 58Fair | $2.5B |
| ALRM Alarm.com Holdings, Inc. | 57.64 | 91.22 | +37% | 85Prime | $2.8B |
| VIA Via Transportation, Inc. | 31.35 | 30.40 | -3% | 45Weak | $2.4B |
| ADEA Adeia Inc. | 21.74 | 21.03 | -3% | 66Good | $2.4B |
| ASAN Asana, Inc. | 10.42 | 9.56 | -9% | 45Weak | $2.4B |
| LIFX Life360, Inc. | 11.82 | 11.09 | -7% | 37No options | $2.9B |
| BLKB Blackbaud, Inc. | 51.39 | 58.35 | +12% | 76Good | $2.3B |
| DBD Diebold Nixdorf, Incorporated | 66.57 | 138.29 | +52% | 73Good | $2.3B |
| SPSC SPS Commerce, Inc. | 85.27 | 86.96 | +2% | 79Good | $3.1B |
| NCNO nCino, Inc. | 21.12 | 17.15 | -23% | 62Fair | $2.2B |
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Start free See the Sunday ScanQuestions about FIVN
Is FIVN undervalued right now?
Not meaningfully: at 35.10 the stock trades within a few percent of the GLS average fair value of 31.94 (9.9% above fair value, data as of 16 Oct 2026).
What is the Wheel Score of FIVN and what does it mean?
FIVN scores 63 out of 100 (Fair). The Wheel Score blends the margin of safety (25 points), Piotroski health (20), the GLS moat (15), the option premium on offer (20) and trading stability (20) into one number that ranks stocks for the wheel strategy - selling cash-secured puts, then covered calls if assigned. 80 and above is Prime, 65-79 Good, 50-64 Fair, under 50 Weak.
What is the GLS fair value for FIVN?
31.94 per share as of 16 Oct 2026 - the simple average of the 8 valuation models (out of nine: DCF, Graham Number, Graham Growth, Lynch, GLS Growth, 10 Cap, Payback Time, DDM and EPV) that produced a positive value. The models run every night on the latest filings; the Quote page lets you switch any of them off and add a margin of safety of your own.
When does Five9, Inc. report earnings next?
The next earnings report is due on 9 Nov 2026 (after the close), 24 days from the data date of 16 Oct 2026. The Calendars page lists every upcoming report with its time of day.
Does FIVN have listed options, and how liquid are they?
Yes. The nightly snapshot found 320 listed contracts with 78,097 open interest across all expiries and implied volatility of 79% on the near-the-money contracts. The Options scanner lists the cash-secured put and covered call set-ups with premium and annualised yield worked out.