Five9, Inc. (FIVN) vs Shift4 Payments, Inc. (FOUR)

Five9, Inc. and Shift4 Payments, Inc. are both Software Infrastructure companies. Shift4 Payments, Inc. is the larger, with a market value of $3.0B against $2.7B — 1.1× the size. Five9, Inc. trades at the lower P/E: 47.1× against 61.0×. Shift4 Payments, Inc. grew revenue faster over the last twelve months: 32.4% against 8.87%. Five9, Inc. has the higher net margin (4.94% vs 0.92%) and the lower return on invested capital (4.04% vs 4.12%). Across the 21 metrics below, Five9, Inc. leads on 14 and Shift4 Payments, Inc. on 7.

Valuation

Metric FIVN FOUR Software Infrastructure median
P/E 47.07 61.03 28.02
P/S 2.24 1.27 3.07
P/B 3.44 3.51 3.36
Price to free cash flow 15.85 19.60 17.12
EV/EBITDA 13.19 10.89 14.91
EV/Sales 2.67 2.14 3.03
Earnings yield 2.12% 1.64% 0.13%
Free cash flow yield 6.31% 5.10% 1.15%

Profitability

Metric FIVN FOUR Software Infrastructure median
Gross margin 54.91% 35.91% 61.23%
Operating margin 4.68% 8.11% 0.00%
Net margin 4.94% 0.92% 0.00%
Free cash flow margin 14.14% 6.50% 1.67%
Return on equity 7.92% 3.20% 0.59%
Return on assets 3.36% 0.56% 0.00%
Return on invested capital 4.04% 4.12% 0.00%

Growth

Metric FIVN FOUR Software Infrastructure median
Revenue growth (TTM) 8.87% 32.44% 13.41%
EPS growth (last fiscal year) 364.71% (64.36%) —
Revenue growth, 5-year CAGR 21.45% 40.37% 15.81%
Net income growth, 5-year CAGR 0.00% 0.00% 0.00%

Health

Metric FIVN FOUR Software Infrastructure median
Debt to equity 0.94 2.60 0.06
Current ratio 4.15 1.21 1.55
Net debt to EBITDA 0.22 4.44 0.08

Dividend

Metric FIVN FOUR Software Infrastructure median
Dividend yield — — 1.53%
Payout ratio 0.00 0.00 0.00

Size

Metric FIVN FOUR Software Infrastructure median
Market cap 2.74b 3.04b 835.96m

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