Recent News
On December 17, 2025 Five9 announced Amit Mathradas will become CEO effective February 2, 2026. On February 17, 2026 the company amended its cooperation agreement with Anson Funds to confirm board nominations and extend certain standstill provisions. A February 27, 2026 notice to long-term shareholders surfaced offering a mechanism for corporate reforms available to eligible holders. Analysts updated coverage in January and February, including a Morgan Stanley reassessment published mid-January.
Technical Analysis
ADX/DI+/DI-: ADX at 19.64 signals no prevailing trend, while DI+ at 21.11 (decreasing) and DI- at 19.10 (increasing) produce a bearish directional picture; directional indicators point toward seller advantage despite low trend strength.
MACD & Signal: MACD sits at -0.39 with the signal at -0.24 and shows a peak-and-reversal pattern, indicating bearish momentum; the MACD remains below its signal line, reinforcing short-term downside momentum.
Price vs. Moving Averages & Bands: Last close $15.73 trades below the 20-day average $17.35, 50-day average $17.84 and 200-day average $22.74, which biases price action lower; price lies just above the lower 2x Bollinger band ($15.28), implying proximity to short-term support while volatility stays elevated relative to the 52‑week band.
MRO: MRO at -6.1 (dip & reversal) indicates the market price sits below the target and suggests potential upside pressure; this oscillator’s negative reading paired with a dip-and-reverse pattern implies mean-reversion potential into the short term.
RSI: RSI at 43.19 with a peak-and-reversal shows weakening momentum and confirms the presence of selling pressure rather than oversold exhaustion.
Volume & Beta: Intraday volume (~1.81M) sits below the 10-day and 50-day averages, suggesting recent moves lack conviction; 42-day beta 2.27 and 52-week beta 1.85 indicate outsized sensitivity to market moves and elevated volatility risk.
Fundamental Analysis
Revenue for the period measured $300,282,000 and net income $19,713,000, with EBIT $26,084,000 and EBITDA $27,763,000; these cash generation figures support liquidity and operational resilience. Free cash flow totaled $67,311,000, yielding 4.56% on the current enterprise measures. WMDST values the stock as under-valued.
Profitability: EBIT margin reached 8.69%, up 14.41% quarter-over-quarter and up 56.98% year-over-year; that margin sits below the industry peer mean of 46.53% and far below the industry peer median of 60.27%, indicating room for margin convergence if operating leverage and AI services expand.
Earnings & Guidance: Reported EPS $0.80 beat the $0.78 estimate by $0.02, a 2.56% surprise; management issued forward guidance for 2026 revenue in a range that establishes an explicit growth target for the coming year.
Cash & Balance Sheet: Cash and short-term investments $696,919,000 produce a cash ratio of 3.27 and a current ratio of 4.51, reflecting strong short-term liquidity. Net debt stands at $503,406,000 with debt-to-equity 102.45% and debt-to-assets 44.98%, indicating leverage at roughly mid-cap SaaS levels but manageable given interest coverage ~8.54x.
Growth & Efficiency: Reported revenue growth reads 5.06% (latest figure) with revenue growth year-over-year at -7.76% and an anomalously large quarter-over-quarter figure reported at 458.56% in the supplied metrics; asset turnover 16.88% and receivables turnover ~2.61 point to modest capital efficiency relative to software peers’ benchmarks (industry peer mean asset turnover 13.02%).
Valuation Metrics: Trailing P/E ~23.88, price-to-book ~1.88, EV-to-revenue multiples consistent with EVR 5.27 and forward P/E ~23.66. Free cash flow yield 4.56% compares favorably to the provided industry peer mean for free cash flow yield. These valuation inputs underpin WMDST’s under-valued determination when weighted against cash generation and governance improvements.
MOST-RECENT QUARTERLY REPORT
| REPORT PERIOD ENDING: | 2025-12-31 |
| REPORT DATE: | 2026-02-19 |
| NEXT REPORT DATE: | 2026-05-21 |
| CASH FLOW | Begin Period Cash Flow | $ 195.4 M |
| Operating Cash Flow | $ 83.6 M | |
| Capital Expenditures | $ -16.25 M | |
| Change In Working Capital | $ -14.83 M | |
| Dividends Paid | — | |
| Cash Flow Delta | $ 38.7 M | |
| End Period Cash Flow | $ 234.1 M | |
| INCOME STATEMENT | REVENUE | |
| Total Revenue | $ 300.3 M | |
| Forward Revenue | $ 267.7 M | |
| COSTS | ||
| Cost Of Revenue | $ 133.8 M | |
| Depreciation | $ 1.7 M | |
| Depreciation and Amortization | $ 1.7 M | |
| Research and Development | $ 36.1 M | |
| Total Operating Expenses | $ 280.5 M | |
| PROFITABILITY | ||
| Gross Profit | $ 166.4 M | |
| EBITDA | $ 27.8 M | |
| EBIT | $ 26.1 M | |
| Operating Income | $ 19.8 M | |
| Interest Income | $ 6.3 M | |
| Interest Expense | $ 3.1 M | |
| Net Interest Income | $ 3.2 M | |
| Income Before Tax | $ 23.0 M | |
| Tax Provision | $ 3.3 M | |
| Tax Rate | 14.403 % | |
| Net Income | $ 19.7 M | |
| Net Income From Continuing Operations | $ 19.7 M | |
| EARNINGS | ||
| EPS Estimate | $ 0.78 | |
| EPS Actual | $ 0.80 | |
| EPS Difference | $ 0.02 | |
| EPS Surprise | 2.564 % | |
| Forward EPS | $ 0.91 | |
| BALANCE SHEET | ASSETS | |
| Total Assets | $ 1.8 B | |
| Intangible Assets | $ 417.4 M | |
| Net Tangible Assets | $ 368.4 M | |
| Total Current Assets | $ 959.7 M | |
| Cash and Short-Term Investments | $ 696.9 M | |
| Cash | $ 232.1 M | |
| Net Receivables | $ 112.9 M | |
| Inventory | — | |
| Long-Term Investments | $ 7.1 M | |
| LIABILITIES | ||
| Accounts Payable | $ 30.0 M | |
| Short-Term Debt | — | |
| Total Current Liabilities | $ 213.0 M | |
| Net Debt | $ 503.4 M | |
| Total Debt | $ 805.1 M | |
| Total Liabilities | $ 1.0 B | |
| EQUITY | ||
| Total Equity | $ 785.8 M | |
| Retained Earnings | $ -378.23 M | |
| VALUATION & PER-SHARE METRICS | EQUITY & PER-SHARE METRICS | |
| Book Value Per-Share | $ 10.18 | |
| Shares Outstanding | 77.194 M | |
| Revenue Per-Share | $ 3.89 | |
| VALUATION | Market Capitalization | $ 1.5 B |
| Enterprise Value | $ 1.6 B | |
| Enterprise Multiple | 57.022 | |
| Enterprise Multiple QoQ | 20.914 % | |
| Enterprise Multiple YoY | -54.512 % | |
| Enterprise Multiple IPRWA | high: 416.607 mean: 72.049 median: 61.115 FIVN: 57.022 low: -363.609 |
|
| EV/R | 5.272 | |
| CAPITAL STRUCTURE | ||
| Asset To Equity | 2.278 | |
| Asset To Liability | 1.782 | |
| Debt To Capital | 0.506 | |
| Debt To Assets | 0.45 | |
| Debt To Assets QoQ | -0.332 % | |
| Debt To Assets YoY | 112.824 % | |
| Debt To Assets IPRWA | high: 0.87 FIVN: 0.45 mean: 0.169 median: 0.087 low: 0.001 |
|
| Debt To Equity | 1.025 | |
| Debt To Equity QoQ | -0.463 % | |
| Debt To Equity YoY | 47.054 % | |
| Debt To Equity IPRWA | high: 2.989 FIVN: 1.025 mean: 0.249 median: 0.147 low: -1.778 |
|
| PRICE-BASED VALUATION | ||
| Price To Book (P/B) | 1.877 | |
| Price To Book QoQ | -22.83 % | |
| Price To Book YoY | -61.18 % | |
| Price To Book IPRWA | high: 26.941 mean: 10.87 median: 9.178 FIVN: 1.877 low: -16.001 |
|
| Price To Earnings (P/E) | 23.883 | |
| Price To Earnings QoQ | -79.45 % | |
| Price To Earnings YoY | -52.454 % | |
| Price To Earnings IPRWA | high: 522.411 mean: 127.489 median: 102.121 FIVN: 23.883 low: -262.004 |
|
| PE/G Ratio | 0.085 | |
| Price To Sales (P/S) | 4.912 | |
| Price To Sales QoQ | -25.546 % | |
| Price To Sales YoY | -54.501 % | |
| Price To Sales IPRWA | high: 116.554 mean: 45.099 median: 44.141 FIVN: 4.912 low: 0.808 |
|
| FORWARD MULTIPLES | ||
| Forward P/E | 23.656 | |
| Forward PE/G | 0.084 | |
| Forward P/S | 5.509 | |
| EFFICIENCY | OPERATIONAL | |
| Operating Leverage | 3.993 | |
| ASSET & SALES | ||
| Asset Turnover Ratio | 0.169 | |
| Asset Turnover Ratio QoQ | 2.54 % | |
| Asset Turnover Ratio YoY | 22.921 % | |
| Asset Turnover Ratio IPRWA | high: 0.4 FIVN: 0.169 mean: 0.13 median: 0.125 low: 0.0 |
|
| Receivables Turnover | 2.611 | |
| Receivables Turnover Ratio QoQ | 4.007 % | |
| Receivables Turnover Ratio YoY | -4.108 % | |
| Receivables Turnover Ratio IPRWA | high: 5.582 FIVN: 2.611 mean: 1.566 median: 1.485 low: 0.392 |
|
| Inventory Turnover | — | |
| Inventory Turnover Ratio QoQ | — | |
| Inventory Turnover Ratio YoY | — | |
| Inventory Turnover Ratio IPRWA | — | |
| Days Sales Outstanding (DSO) | 34.944 | |
| CASH CYCLE | ||
| Cash Conversion Cycle Days (CCC) | 13.506 | |
| Cash Conversion Cycle Days QoQ | -6.222 % | |
| Cash Conversion Cycle Days YoY | — | |
| Cash Conversion Cycle Days IPRWA | high: 214.534 FIVN: 13.506 mean: -48.019 median: -67.075 low: -215.655 |
|
| CAPITAL DEPLOYMENT | ||
| Cash Conversion Ratio | 0.402 | |
| CapEx To Revenue | -0.054 | |
| CapEx To Depreciation | -9.681 | |
| CAPITAL, LIQUIDITY & COVERAGE | CAPITAL STRUCTURE | |
| Total Capital | $ 1.5 B | |
| Net Invested Capital | $ 1.5 B | |
| Invested Capital | $ 1.5 B | |
| Net Tangible Assets | $ 368.4 M | |
| Net Working Capital | $ 746.7 M | |
| LIQUIDITY | ||
| Cash Ratio | 3.272 | |
| Current Ratio | 4.506 | |
| Current Ratio QoQ | -2.36 % | |
| Current Ratio YoY | 131.557 % | |
| Current Ratio IPRWA | high: 7.11 FIVN: 4.506 mean: 1.812 median: 1.386 low: 0.466 |
|
| Quick Ratio | — | |
| Quick Ratio QoQ | — | |
| Quick Ratio YoY | — | |
| Quick Ratio IPRWA | — | |
| COVERAGE & LEVERAGE | ||
| Debt To EBITDA | 28.999 | |
| Cost Of Debt | 0.326 % | |
| Interest Coverage Ratio | 8.541 | |
| Interest Coverage Ratio QoQ | 21.485 % | |
| Interest Coverage Ratio YoY | 136.535 % | |
| Interest Coverage Ratio IPRWA | high: 148.909 median: 66.552 mean: 45.537 FIVN: 8.541 low: -122.007 |
|
| Operating Cash Flow Ratio | 0.118 | |
| TIMING / LIQUIDITY | ||
| Days Payables Outstanding (DPO) | 21.438 | |
| DIVIDENDS | ||
| Dividend Coverage Ratio | — | |
| Dividend Payout Ratio | — | |
| Dividend Rate | — | |
| Dividend Yield | — | |
| PERFORMANCE | GROWTH | |
| Asset Growth Rate | 1.225 % | |
| Revenue Growth | 5.055 % | |
| Revenue Growth QoQ | 458.564 % | |
| Revenue Growth YoY | -7.755 % | |
| Revenue Growth IPRWA | high: 19.11 % mean: 6.014 % FIVN: 5.055 % median: 4.635 % low: -9.105 % |
|
| Earnings Growth | 280.952 % | |
| Earnings Growth QoQ | -488.227 % | |
| Earnings Growth YoY | 1468.688 % | |
| Earnings Growth IPRWA | FIVN: 280.952 % high: 153.333 % mean: 13.613 % median: 7.865 % low: -163.636 % |
|
| MARGINS | ||
| Gross Margin | 55.427 % | |
| Gross Margin QoQ | 0.731 % | |
| Gross Margin YoY | -0.99 % | |
| Gross Margin IPRWA | high: 94.68 % mean: 71.902 % median: 68.036 % FIVN: 55.427 % low: 37.597 % |
|
| EBIT Margin | 8.687 % | |
| EBIT Margin QoQ | 14.408 % | |
| EBIT Margin YoY | 56.975 % | |
| EBIT Margin IPRWA | high: 78.69 % median: 60.268 % mean: 46.527 % FIVN: 8.687 % low: -68.729 % |
|
| Return On Sales (ROS) | 6.592 % | |
| Return On Sales QoQ | 17.442 % | |
| Return On Sales YoY | 19.118 % | |
| Return On Sales IPRWA | high: 76.917 % median: 47.094 % mean: 36.64 % FIVN: 6.592 % low: -76.387 % |
|
| CASH FLOW | ||
| Free Cash Flow (FCF) | $ 67.3 M | |
| Free Cash Flow Yield | 4.564 % | |
| Free Cash Flow Yield QoQ | 124.717 % | |
| Free Cash Flow Yield YoY | 322.202 % | |
| Free Cash Flow Yield IPRWA | high: 5.274 % FIVN: 4.564 % mean: 0.211 % median: 0.164 % low: -1.998 % |
|
| Free Cash Growth | 75.742 % | |
| Free Cash Growth QoQ | -2.362 % | |
| Free Cash Growth YoY | 34.442 % | |
| Free Cash Growth IPRWA | high: 265.627 % FIVN: 75.742 % mean: -23.54 % median: -77.08 % low: -192.165 % |
|
| Free Cash To Net Income | 3.415 | |
| Cash Flow Margin | 8.352 % | |
| Cash Flow To Earnings | 1.272 | |
| VALUE & RETURNS | ||
| Economic Value Added | $ 0.03 | |
| Return On Assets (ROA) | 1.108 % | |
| Return On Assets QoQ | 7.053 % | |
| Return On Assets YoY | 94.386 % | |
| Return On Assets IPRWA | high: 16.838 % median: 5.909 % mean: 4.892 % FIVN: 1.108 % low: -10.846 % |
|
| Return On Capital Employed (ROCE) | 1.654 % | |
| Return On Equity (ROE) | 0.025 | |
| Return On Equity QoQ | 8.24 % | |
| Return On Equity YoY | 34.82 % | |
| Return On Equity IPRWA | high: 0.298 median: 0.098 mean: 0.086 FIVN: 0.025 low: -0.282 |
|
| DuPont ROE | 2.526 % | |
| Return On Invested Capital (ROIC) | 1.468 % | |
| Return On Invested Capital QoQ | 5.764 % | |
| Return On Invested Capital YoY | -168.985 % | |
| Return On Invested Capital IPRWA | high: 20.316 % median: 9.056 % mean: 7.291 % FIVN: 1.468 % low: -11.474 % |
|