Back to top

Image: Bigstock

Five9 (FIVN) to Report Q4 Earnings: What's in the Cards?

Read MoreHide Full Article

Five9, Inc. (FIVN - Free Report) is scheduled to report fourth-quarter and full-year 2017 results after market close on Feb 21. The question lingering on investors’ minds is whether or not this contact-center based cloud software provider will be able to deliver a positive surprise.

Last quarter, the company came up with a positive earnings surprise of 500%. Five9 beat earnings estimates in the trailing four quarters, with an average surprise of 200%.

Estimates

The Zacks Consensus Estimate for the quarter under review is pegged at 4 cents per share. We note that the company broke even in the year-ago quarter. Estimates have remained stable in the last 30 days. Further, analysts polled by Zacks expect revenues of $52.2 million, up roughly 18.1% from the year-ago quarter.

Let's see how things are shaping up for this announcement.

Factors Likely to Influence Q4 Results

We believe the company’s strong partnerships with the likes of industry leaders such as Salesforce (CRM - Free Report) , Oracle (ORCL - Free Report) , Zendesk, and Microsoft (MSFT - Free Report) Dynamics 365 have enabled it to offer customers greater flexibility, enhanced experience and cloud-based solutions. This in turn is expected to positively impact revenues.

As organizations are increasingly looking for ways to minimize costs and improve customer support, the cloud-based contact center solution industry has been witnessing accelerated growth over the past few quarters. Five9’s ongoing execution has placed it well to capitalize on this opportunity. The addition of a prominent “online and mobile payment service provider” to its clientele is a testament to the fact.

Moreover, the company’s consistent focus on enriching its offerings is expected to boost top-line performance and consequently financials.

Five9, Inc. Price and EPS Surprise

Five9, Inc. Price and EPS Surprise | Five9, Inc. Quote

What the Zacks Model Unveils?

According to the Zacks model, a company with a Zacks Rank #1 (Strong Buy), 2 (Buy) or #3 (Hold) has a good chance of beating estimates if it also has a positive Earnings ESP. The Sell-rated stocks (Zacks Rank #4 or #5) are best avoided. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.

Five9 has a Zacks Rank #3 and an Earnings ESP of 0.00%, which makes surprise prediction difficult.

You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Wall Street’s Next Amazon

Zacks EVP Kevin Matras believes this familiar stock has only just begun its climb to become one of the greatest investments of all time. It’s a once-in-a-generation opportunity to invest in pure genius.

Click for details >>

Published in