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Five9 (FIVN) Return-on-Tangible-Equity : -11.48% (As of Mar. 2024)


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What is Five9 Return-on-Tangible-Equity?

Return-on-Tangible-Equity is calculated as Net Income divided by its average total shareholder tangible equity. Total shareholder tangible equity equals to Total Stockholders Equity minus Intangible Assets. Five9's annualized net income for the quarter that ended in Mar. 2024 was $-28.3 Mil. Five9's average shareholder tangible equity for the quarter that ended in Mar. 2024 was $246.5 Mil. Therefore, Five9's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2024 was -11.48%.

The historical rank and industry rank for Five9's Return-on-Tangible-Equity or its related term are showing as below:

FIVN' s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: -789.59   Med: -61.33   Max: -0.27
Current: -27.08

During the past 13 years, Five9's highest Return-on-Tangible-Equity was -0.27%. The lowest was -789.59%. And the median was -61.33%.

FIVN's Return-on-Tangible-Equity is ranked worse than
79.81% of 2378 companies
in the Software industry
Industry Median: 7.685 vs FIVN: -27.08

Five9 Return-on-Tangible-Equity Historical Data

The historical data trend for Five9's Return-on-Tangible-Equity can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Five9 Return-on-Tangible-Equity Chart

Five9 Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Return-on-Tangible-Equity
Get a 7-Day Free Trial Premium Member Only Premium Member Only -3.04 -36.45 -156.17 -154.95 -42.07

Five9 Quarterly Data
Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
Return-on-Tangible-Equity Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only -82.36 -41.49 -32.94 -19.88 -11.48

Competitive Comparison of Five9's Return-on-Tangible-Equity

For the Software - Infrastructure subindustry, Five9's Return-on-Tangible-Equity, along with its competitors' market caps and Return-on-Tangible-Equity data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Five9's Return-on-Tangible-Equity Distribution in the Software Industry

For the Software industry and Technology sector, Five9's Return-on-Tangible-Equity distribution charts can be found below:

* The bar in red indicates where Five9's Return-on-Tangible-Equity falls into.



Five9 Return-on-Tangible-Equity Calculation

Five9's annualized Return-on-Tangible-Equity for the fiscal year that ended in Dec. 2023 is calculated as

Return-on-Tangible-Equity=Net Income/( (Total Tangible Equity+Total Tangible Equity)/ count )
(A: Dec. 2023 )  (A: Dec. 2022 )(A: Dec. 2023 )
=Net Income/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets )/ count )
(A: Dec. 2023 )  (A: Dec. 2022 )(A: Dec. 2023 )
=-81.764/( (116.353+272.35 )/ 2 )
=-81.764/194.3515
=-42.07 %

Five9's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2024 is calculated as

Return-on-Tangible-Equity=Net Income/( (Total Tangible Equity+Total Tangible Equity)/ count )
(Q: Mar. 2024 )  (Q: Dec. 2023 )(Q: Mar. 2024 )
=Net Income/( (Total Stockholders Equity - Intangible Assets+Total Stockholders Equity - Intangible Assets)/ count )
(Q: Mar. 2024 )  (Q: Dec. 2023 )(Q: Mar. 2024 )
=-28.308/( (272.35+220.654)/ 2 )
=-28.308/246.502
=-11.48 %

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

In the calculation of annual Return-on-Tangible-Equity, the net income of the last fiscal year and the average total shareholder tangible equity over the fiscal year are used. In calculating the quarterly data, the net income data used here is four times the quarterly (Mar. 2024) net income data. Return-on-Tangible-Equity is displayed in the 10-year financial page.


Five9  (NAS:FIVN) Return-on-Tangible-Equity Explanation

Return-on-Tangible-Equity measures the rate of return on the ownership interest (shareholder's tangible equity) of the common stock owners. It measures a firm's efficiency at generating profits from every unit of shareholders' tangible equity (shareholders equity minus intangibles). Return-on-Tangible-Equity shows how well a company uses investment funds to generate earnings growth. Return-on-Tangible-Equitys between 15% and 20% are considered desirable.


Be Aware

Net Income is used.

Because a company can increase its Return-on-Tangible-Equity by having more financial leverage, it is important to watch the leverage ratio when investing in high Return-on-Tangible-Equity companies. Like Return-on-Tangible-Asset, Return-on-Tangible-Equity is calculated with only 12 months data. Fluctuations in company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective.

Asset light businesses require very few assets to generate very high earnings. Their Return-on-Tangible-Equitys can be extremely high.


Five9 Return-on-Tangible-Equity Related Terms

Thank you for viewing the detailed overview of Five9's Return-on-Tangible-Equity provided by GuruFocus.com. Please click on the following links to see related term pages.


Five9 (FIVN) Business Description

Industry
Traded in Other Exchanges
Address
3001 Bishop Drive, Suite 350, San Ramon, CA, USA, 94583
Five9 offers cloud-native contact center software enabling digital customer service, sales, and marketing engagement. The company's Virtual Contact Center platform combines core telephony functionality, omnichannel engagement, and various modules into a unified cloud contact-center-as-a-service, or CCaaS, platform. Five9's modules include digital self-service, agent assist technology, workflow automation, as well as workforce optimization solutions that optimize call center efficiency, and manage interaction quality and agent performance.
Executives
Panos Kozanian officer: EVP, Product Engineering 3001 BISHOP DR., STE. #350, SAN RAMON CA 94583
Leena Mansharamani officer: SVP, Chief Accounting Officer 3001 BISHOP DR., STE. #350, SAN RAMON CA 94583
Michael Burkland officer: CEO, President and Chairman C/O FIVE9, INC., 4000 EXECUTIVE PARKWAY, SUITE 400, SAN RAMON CA 94583
Daniel P. Burkland officer: EVP, Sales & Business Dev. C/O FIVE9, INC., 4000 EXECUTIVE PARKWAY, SUITE 400, SAN RAMMON CA 94583
Barry Zwarenstein officer: Chief Financial Officer C/O IOMEGA CORP, 4435 EASTGATE MALL 3RD FLOOR, SAN DIEGO CA 92121
Jonathan D Mariner director 2200 WEST DON TYSON PARKWAY, SPRINGDALE AR 72762
Julie Iskow director 2900 UNIVERSITY BOULEVARD, AMES X1 50010
Kimberly Alexy director 500 MCCARTHY BLVD., MILPITAS CA 95035
Jack L Acosta director C/O FIVE9, INC., 4000 EXECUTIVE PARKWAY, SUITE 400, SAN RAMON CA 94583
Rowan M Trollope director, officer: Chief Executive Officer 4000 EXECUTIVE PARKWAY, SUITE #400, SAN RAMON CA 94583
Michael J Burdiek director 39 PARKER, IRVINE CA 92618
Scott Welch officer: EVP, Cloud Operations C/O FIVE9, INC., 4000 EXECUTIVE PARKWAY, SUITE 400, SAN RAMON CA 94583
David G Dewalt director
Ana G. Pinczuk director 5725 DELPHI DRIVE, TROY MI 48098
Robert Zollars director 3061 ZANKER RD, SAN JOSEC CA 95134