Five9 (FIVN) Upgraded to Strong Buy: Here's What You Should Know

Core Viewpoint - Five9 (FIVN) has been upgraded to a Zacks Rank 1 (Strong Buy), indicating a positive outlook on its earnings estimates, which significantly influence stock prices [1][2]. Earnings Estimates and Stock Price Impact - The Zacks rating system is based on changes in earnings estimates, which are strongly correlated with near-term stock price movements [3][5]. - Institutional investors often adjust their valuations based on earnings estimates, leading to significant stock transactions that affect price movements [3]. Five9's Earnings Outlook - For the fiscal year ending December 2025, Five9 is expected to earn $2.76 per share, unchanged from the previous year, but the Zacks Consensus Estimate has increased by 44.1% over the past three months [7]. Zacks Rating System - The Zacks Rank system classifies stocks into five groups based on earnings estimates, with Zacks Rank 1 stocks historically generating an average annual return of +25% since 1988 [6]. - Only the top 5% of Zacks-covered stocks receive a "Strong Buy" rating, indicating superior earnings estimate revisions [8][9].