Five9's Valuation Amidst AI-Driven Software Sell Off: A Closer Look
ByAinvest
Wednesday, Feb 4, 2026 11:33 am ET1min read
FIVN--
Five9 (FIVN) shares declined sharply due to sector-wide software sell-off and concerns about AI's impact on traditional SaaS. The stock is trading at a large discount to analyst targets and intrinsic estimates, raising questions about genuine value or anticipated limited future growth. The fair value of $33.43 per share is driven by record adjusted EBITDA margin expansion and positive free cash flow trends. However, the stock's high P/E ratio of 41.8x and discount rate baked in may be a concern for investors.
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