Nucor earnings beat by $0.08, revenue fell short of estimates
Piper Sandler raised its price target on Nice Systems Ltd (NASDAQ:NICE) to $182.00 from $153.00 on Friday, while maintaining a Neutral rating on the stock. This analysis aligns with several key metrics available on InvestingPro, which offers comprehensive financial analysis for both companies discussed in this article.
The research firm cited Nice’s recent success in winning major enterprise deals, including two contracts exceeding $100 million in annual recurring revenue (ARR). These significant deals are expected to impact the company’s financial performance primarily in 2026-2027 and could potentially lead to cloud revenue re-acceleration.
Piper Sandler noted that while the enterprise transition cycle from on-premise to cloud contact center as a service (CCaaS) has progressed slower than initially anticipated over recent years, both Nice and Five9 (NASDAQ:FIVN) have secured substantial enterprise clients during this period.
The firm specifically highlighted Nice’s long-standing success in winning eight-figure ARR deals and converting its installed customer base from on-premise workforce engagement management (WEM) to CCaaS and WEM as a service (WEMaaS) solutions.
Despite the price target increase, Piper Sandler indicated it continues to prefer Five9 over Nice at current valuation levels, though it acknowledged Nice has "a few pending near-term catalysts" that could positively impact the stock.
In other recent news, Five9, Inc. reported its first-quarter results for 2025, exceeding expectations in both revenue and earnings. Despite this strong performance, the company decided to maintain its revenue guidance for the rest of the year, reflecting caution due to macroeconomic uncertainties. UBS adjusted its price target for Five9 from $55 to $35, retaining a Buy rating, while Cantor Fitzgerald upheld an Overweight rating with a $36 target. DA Davidson maintained a Neutral rating with a $25 price target, citing limited visibility into Five9’s top-line growth. The company’s annual meeting saw the election of three directors and approval of executive compensation, with KPMG LLP ratified as the independent auditor for 2025. Five9 also aims to achieve the Rule of 40 by 2027, which combines revenue growth and adjusted EBITDA margins. This objective is supported by expectations of 10-15% revenue growth and 25-30% profit margins. Additionally, Five9 plans to present at the William Blair Growth Stock Conference in June, offering insights into its market approach and future plans.
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