Grabar Law Office is investigating claims on behalf of long-term Five9, Inc. (NASDAQ: FIVN) shareholders as an underlying securities fraud class action complaint has survived a motion to dismiss. The investigation concerns whether certain officers of the company have breached their fiduciary duties they owed to the company.

Five9, Inc. (NASDAQ: FIVN) sells subscription-based software that allows customers to run remote, cloud-based call centers. Five9’s software offerings include multiple AI products. Five9’s business includes two streams: its net new sales and its existing customer base.

WHY?  A federal securities fraud class action was filed against Five9 and two of its Officers.  That Complaint alleges that Five9 (NASDAQ: FIVN), through certain of its officers, misrepresented the purported strength of the Company's net new business bookings and visibility into its installed customer base, and that when these statements were made, Five9 was in the throes of a “challenging bookings quarter” due to constrained and scrutinized customer budgets and sales execution issues, forcing the Company to cut its annual revenue guidance and take remedial action to address sales execution issues.

On February 23, 2026, a federal court determined, among other things, that “plaintiffs allege with particularity that defendants knew, and failed to disclose, that Five9 was performing below its own projections and expectations in the first half of 2024.” Evidence presented is sufficient for plaintiffs to plead that certain of Defendants’ statements about the strength of Five9’s sales, including that “the net new side of our business is very strong” and “we are seeing very strong bookings momentum on the net new side,” were false or misleading, and plaintiffs allege with particularity that defendants’ June 2024 statements about macro factors were false or misleading.

Plaintiffs further established a strong inference of deliberate recklessness or intent to deceive with respect to certain false and misleading statements.

WHAT CAN YOU DO NOW? If you have held Five9 (NASDAQ: FIVN) shares continuously since prior to June 4, 2024, you can seek corporate reforms, the return of funds back to the Company, and a court approved incentive award at no cost you whatsoever. Contact Joshua H. Grabar at jgrabar@grabarlaw.com or call 267-507-6085 to learn more.