Five9 CEO Mike Burkland Announces Retirement, Shares Surge 7.6%

Five9 CEO Mike Burkland is retiring and transitioning to executive chairman, causing a 7.6% surge in shares. Analysts predict a one-year average price target of $36.57, indicating a potential 41.58% upside, while GuruFocus projects a GF Value of $73.32, reflecting a 183.86% upside.

Five9, Inc. (FIVN) has announced significant leadership changes and a subsequent surge in its stock price. On July 31, 2025, the company's CEO, Michael Burkland, announced his retirement, effective upon the appointment of a successor. Burkland will transition to the role of Executive Chairman for up to six months to facilitate a smooth transition. Concurrently, Bryan Lee was appointed as the new Chief Financial Officer (CFO), having previously served in an interim capacity [1].

The news of Burkland's retirement and Lee's appointment led to a 7.6% increase in FIVN's shares post-market on Thursday [2]. Analysts have responded positively to the changes, with a one-year average price target of $36.57, indicating a potential 41.58% upside [2]. GuruFocus projects a GF Value of $73.32, reflecting an 183.86% upside [3].

In the second quarter of 2025, Five9 reported strong financial performance, with revenue up 12% year-over-year to $283 million, beating analyst expectations. Adjusted earnings per share (EPS) came in at $0.76, a 17% increase over consensus forecasts. The company's AI segment saw a 42% increase in revenue, now making up 10% of its subscription revenue, and AI bookings tripled in the period [3]. Despite these positive earnings, the company's overall financial health score is considered "fair performance" by InvestingPro [4].

Looking ahead, Five9 sees Q3 2025 EPS of $0.72-$0.74 and revenue of $283.00M-$286.00M, with FY 2025 EPS projected at $2.86-$2.90 and revenue at $1.14B-$1.15B [4]. The company's strategic focus on AI and partnerships, along with effective cash flow management, positions it well for future growth, despite challenges such as high debt levels and current unprofitability [1].

References:
[1] TipRanks. "Five9 Announces CEO Retirement and CFO Appointment." [https://www.tipranks.com/news/company-announcements/five9-announces-ceo-retirement-and-cfo-appointment](https://www.tipranks.com/news/company-announcements/five9-announces-ceo-retirement-and-cfo-appointment)
[2] Seeking Alpha. "Five9 CEO to Retire, Will Become Executive Chairman; Shares Up 7.6% Post-Market." [https://seekingalpha.com/news/4476028-five9-ceo-to-retire-will-become-executive-chairman-shares-up](https://seekingalpha.com/news/4476028-five9-ceo-to-retire-will-become-executive-chairman-shares-up)
[3] Finimize. "Five9 Delivers Earnings Beat and Sees AI-Fueled Growth." [https://finimize.com/content/five9-delivers-earnings-beat-and-sees-ai-fueled-growth](https://finimize.com/content/five9-delivers-earnings-beat-and-sees-ai-fueled-growth)
[4] Investing.com. "Five9 Earnings Miss by $0.10, Revenue Topped Estimates." [https://za.investing.com/news/earnings/five9-earnings-missed-by-010-revenue-topped-estimates-3815012](https://za.investing.com/news/earnings/five9-earnings-missed-by-010-revenue-topped-estimates-3815012)