Can Five9's Strong Partner Ecosystem Drive the Next Growth Phase?

Five9 FIVN is anchoring its growth strategy around its strategic partner ecosystem as enterprises shift toward AI-driven customer experience platforms. Rather than relying on incremental seat expansion, Five9 is aligning its cloud contact center platform with enterprise systems of record, allowing customers to modernize customer service operations while preserving existing workflows. This approach allows Five9 to scale alongside digital transformation initiatives while embedding its platform more deeply into core service environments.

The ecosystem-driven strategy is strengthening Five9’s ability to secure larger, more complex enterprise deployments as partner integrations become central to customer service modernization. The ServiceNow partnership remains a key pillar, with Five9 Fusion for ServiceNow enabling unified voice and digital interactions powered by AI. As enterprises increasingly standardize service operations on ServiceNow, FIVN’s routing and orchestration capabilities are becoming more embedded within daily workflows, supporting higher platform usage and improved subscription durability.

Salesforce and Google Cloud partnerships further reinforce this model and are expected to support broader enterprise adoption. Alignment with Salesforce could enable deeper expansion across shared customers as enterprises layer advanced customer engagement capabilities onto customer relationship management platforms. The Google Marketplace partnership is positioned to expand Five9’s reach among cloud-native enterprises modernizing legacy contact center infrastructure. These partner-led motions contributed to revenues of $286 million in the third quarter of 2025, reflecting 8% year-over-year growth, with subscription revenues rising 10%. The Zacks Consensus Estimate for 2025 revenues is pegged at $1.15 billion, indicating 10.04% year-over-year growth. These dynamics suggest that partner depth, rather than standalone product expansion, could play a central role in shaping Five9’s next growth phase.

FIVN Faces Intense Competition

FIVN faces competition from NICE NICE and RingCentral RNG, which both operate in cloud-based customer communications and contact center software. NICE competes more directly in contact center platforms, with the company emphasizing analytics and workforce optimization as part of its broader offering. RingCentral overlaps through its contact center product, but RingCentral remains more centered on unified communications. While NICE and RingCentral address enterprise customer service needs from different angles, FIVN differentiates itself through deeper workflow integration with enterprise systems rather than modular add-ons or distribution-led expansion.

FIVN's Price Performance, Valuation & Estimates

Shares of Five9 have declined 25.2% in the past six months, underperforming the Zacks Internet - Software industry’s decline of 4.5% and Zacks Computer and Technology sector’s return of 23.2% .

FIVN’s Price Performance

From a valuation standpoint, Five9 shares are trading at a forward 12-month price-to-earnings ratio of 17.03X, lower than the industry’s 33.38X. FIVN carries a Value Score of A.

FIVN’s Valuation

The Zacks Consensus Estimate for Five9’s 2025 earnings is pegged at $2.93 per share, up by five cents over the past 60 days. The earnings figure suggests a 18.62% year over year growth.

Five9, Inc. Price and Consensus

Five9, Inc. price-consensus-chart | Five9, Inc. Quote

Five9 currently carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

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This article originally published on Zacks Investment Research (zacks.com).

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