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Five9 Inc. (FIVN) Performed Poorly, Became a Detractor in Wasatch Global’s Q1 Portfolio

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Wasatch Global Investors, an investment management firm, published its “Wasatch Core Growth Fund” first quarter 2021 investor letter – a copy of which can be downloaded here. A return of 5.59% was recorded by the fund for the Q1 of 2021, trailing the benchmark, Russell 2000 Index, that increased 12.70% and the Russell 2000 Growth Index that rose 4.88% for the same period. You can view the fund’s top 5 holdings to have a peek at their top bets for 2021.

Wasatch Global Investors, in its Q1 2021 investor letter, mentioned Five9, Inc. (NASDAQ: FIVN), and shared their insights on the company. Five9, Inc. is a San Ramon, California-based software company that currently has an $11.4 billion market capitalization. Since the beginning of the year, FIVN delivered a -2.44% return, while its 12-month gains are up by 61.76%. As of May 07, 2021, the stock closed at $170.14 per share.

Here is what Wasatch Global Investors has to say about Five9, Inc. in its Q1 2021 investor letter:

"Five9, Inc. (FIVN) was also a detractor. Five9 provides contact-center software that’s managed and hosted from the cloud. The company offers real-time and historical reporting, quality monitoring, and workforce and customer-relationship-management integrations. Five9 has benefited as it has helped to facilitate the industry’s transition toward cloud-based solutions. (Current and future holdings are subject to risk.)."

Software
Software

Our calculations show that Five9, Inc. (NASDAQ: FIVN) does not belong in our list of the 30 Most Popular Stocks Among Hedge Funds. As of the end of the fourth quarter of 2020, Five9, Inc. was in 47 hedge fund portfolios. FIVN delivered a -2.62% return in the past 3 months.

The top 10 stocks among hedge funds returned 231.2% between 2015 and 2020, and outperformed the S&P 500 Index ETFs by more than 126 percentage points. We know it sounds unbelievable. You have been dismissing our articles about top hedge fund stocks mostly because you were fed biased information by other media outlets about hedge funds’ poor performance. You could have doubled the size of your nest egg by investing in the top hedge fund stocks instead of dumb S&P 500 ETFs. Here you can watch our video about the top 5 hedge fund stocks right now. All of these stocks had positive returns in 2020.

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Disclosure: None. This article is originally published at Insider Monkey.