Critical Review: Xylo Technologies (NASDAQ:XYLO) vs. Five9 (NASDAQ:FIVN)

Xylo Technologies (NASDAQ:XYLO) and Five9 (NASDAQ:FIVN) are both business services companies, but which is the better stock? We will compare the two companies based on the strength of their institutional ownership, dividends, earnings, profitability, analyst recommendations, valuation and risk.

Institutional and Insider Ownership

0.3% of Xylo Technologies shares are owned by institutional investors. Comparatively, 96.6% of Five9 shares are owned by institutional investors. 2.2% of Xylo Technologies shares are owned by company insiders. Comparatively, 1.8% of Five9 shares are owned by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.

Analyst Recommendations

This is a summary of current ratings and recommmendations for Xylo Technologies and Five9, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Xylo Technologies	0	0	0	0	0.00
Five9	0	5	14	0	2.74

Five9 has a consensus price target of $57.65, indicating a potential upside of 104.13%. Given Five9’s stronger consensus rating and higher probable upside, analysts clearly believe Five9 is more favorable than Xylo Technologies.

Earnings and Valuation

This table compares Xylo Technologies and Five9″s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Xylo Technologies	$57.64 million	0.07	-$16.02 million	N/A	N/A
Five9	$1.04 billion	2.05	-$81.76 million	($0.20)	-141.20

Xylo Technologies has higher earnings, but lower revenue than Five9.

Profitability

This table compares Xylo Technologies and Five9’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Xylo Technologies	N/A	N/A	N/A
Five9	-1.23%	3.62%	0.99%

Volatility & Risk

Xylo Technologies has a beta of 0.76, meaning that its share price is 24% less volatile than the S&P 500. Comparatively, Five9 has a beta of 1.01, meaning that its share price is 1% more volatile than the S&P 500.

Summary

Five9 beats Xylo Technologies on 9 of the 12 factors compared between the two stocks.

About Xylo Technologies

Xylo Technologies Ltd, a technology-based company, provides medical-related devices and products in the United States, Europe, Asia, Israel, and internationally. The company operates through Corporate, E-commerce, Online Advertising & Internet Traffic Routing, Online Event Management, and Others segments. It offers Medigus Ultrasonic Surgical Endostapler, an endoscopy system, which is used for the treatment of gastroesophageal reflux disease. The company also develops biological gels to protect patients against biological threats and reduce the intrusion of allergens and viruses through the upper airways and eye cavities. In addition, it provides digital advertising platform; and operates online stores for the sale of various consumer products on the Amazon online marketplace, as well as an online event management and ticketing platform. Further, the company develops wireless vehicle battery charging technologies and modular electronic vehicles. The company was formerly known as Medigus Ltd. and changed its name to Xylo Technologies Ltd in April 2024. Xylo Technologies Ltd was incorporated in 1999 and is headquartered in Tel Aviv-Yafo, Israel.

About Five9

Five9, Inc., together with its subsidiaries, provides intelligent cloud software for contact centers in the United States, India, and internationally. It offers a virtual contact center cloud platform that delivers a suite of applications, which enables the breadth of contact center-related customer service, sales, and marketing functions. The company’s platform comprises of including interactive virtual agent, agent assist, workflow automation, workforce engagement management, AI insights, and AI summaries that allows to manage and optimize customer interactions across voice, chat, email, web, social media, and mobile channels directly or through its application programming interfaces. It also matches each customer interaction with an agent resource and delivers customer data to the agent in real-time through integrations with adjacent enterprise applications, such as CRM software, to optimize the customer experience and enhance agent productivity. The company serves customers in various industries, such as banking and financial services, business process outsourcers, retail, healthcare, technology, and education. Five9, Inc. was incorporated in 2001 and is headquartered in San Ramon, California.