Morgan Stanley Updates Five9 (FIVN) Outlook as AI Fears Ease for SaaS Sector

However, increasing grounds suggests that AI-related risks whitethorn beryllium little terrible than antecedently anticipated, offering a much affirmative outlook for the radical successful 2026. Despite this, the steadfast remains selectively opportunistic owed to a persistent deficiency of wide upward revisions successful firm spending.

On January 12, Barclays expert Raimo Lenschow lowered the firm’s terms people connected Five9 to $25 from $29 with an Overweight standing connected the shares. This accommodation was made arsenic portion of a broader 2026 outlook for the bundle sector, wherever Barclays remains mostly affirmative contempt the lowered targets. The steadfast cited unchangeable macroeconomic conditions and IT spending, combined with debased banal valuations and the information that the assemblage is presently retired of favor, arsenic reasons for a favorable setup successful the coming year.

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Five9 Inc. (NASDAQ:FIVN), unneurotic with its subsidiaries, provides intelligent unreality bundle for interaction centers successful the US and internationally. It offers a CX level that delivers a suite of applications, which enables the breadth of lawsuit service, sales, and selling functions.

While we admit the imaginable of FIVN arsenic an investment, we judge definite AI stocks connection greater upside imaginable and transportation little downside risk. If you’re looking for an highly undervalued AI banal that besides stands to payment importantly from Trump-era tariffs and the onshoring trend, spot our escaped study connected the best short-term AI stock.

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Disclosure: None. This nonfiction is primitively published at Insider Monkey.