This Five9 Analyst Slashes Forecasts Ahead Of Q1 Results

Five9 Inc FIVN is gearing up to report its quarterly results on May 1.

The 2025 and 2026 revenue estimates have been lowered to reflect macro uncertainty arising from tariffs, according to Rosenblatt Securities.

The Five9 Analyst: Analyst Catharine Trebnick reiterated a Buy rating while slashing the price target from $58 to $36.

The Five9 Thesis: The recently announced plans to cut its workforce by 4% will have a positive impact on the company's operating margins in 2025, Trebnick said in the note.

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The analyst raised the 2025 pro forma earnings to reflect improved margins, from $2.58 per share to $2.60 per share. The 2026 estimate was kept unchanged at $3.00 per share, which is slightly higher than the Street’s expectations of $2.98 per share.

Trebnick cut the 2025 revenue projection from $1,142.5 million $1,136 million, reflecting 9% growth, below the lower end of the current guidance range and Street expectations of $1,139 million to reflect macro uncertainty. He trimmed the 2026 revenue estimate from $1,261 million to $1,249 million, below the consensus estimate of $1,255 million.

"We see the company as a significant beneficiary of AI adoption in CCaaS and believe the company has a more open system, which aligns with organizations evaluating new CCaaS solutions based on platform flexibility," Trebnick wrote.

FIVN Price Action: Shares of Five9 had risen by 2.93% to $23.87 at the time of publication on Thursday.

Read More: Five9 Leans Into Artificial Intelligence While It Cuts Workforce

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