Five Below, Inc. is a specialty value retailer in the United States. It sells a broad assortment of products including candy and snacks, chilled drinks, apparel and accessories, personal care and beauty items, party goods, home décor, craft supplies, electronics accessories, sporting goods, toys, and seasonal merchandise. The company was formerly known as Cheap Holdings, Inc. and changed its name to Five Below, Inc. in August 2002. It was incorporated in 2002 and is headquartered in Philadelphia, Pennsylvania.
Five Below Raises Fiscal 2026 Outlook After Q2 Earnings Beat
Five Below raised its fiscal 2026 outlook after second-quarter results exceeded expectations, lifting both its sales and earnings guidance. Adjusted earnings came in at $1.68 per share, topping the Zacks Consensus Estimate of $1.34, while net sales rose 22.9% year over year to $1.26 billion, above the consensus estimate of $1.192 billion. Comparable sales increased 14.1%, marking a fifth consecutive quarter of double-digit growth. The company now expects fiscal 2026 net sales of $5.63-$5.71 billion, up from $5.40-$5.48 billion, with comparable-sales growth of 10%-12% versus the prior 6%-8%, and adjusted earnings per share of $9.83-$10.31, up from $8.65-$9.05. Adjusted operating margin is expected to rise about 250 basis points year over year to roughly 12.5% at the midpoint, helped by merchandise-margin gains, fixed-cost leverage and lower tariff costs, though the guidance assumes tariff rates currently in place and faces higher outbound transportation fuel costs and a tougher shrink comparison.
Five Below Director Michael F. Devine III Sells 4,250 Shares for $1.1 Million
Michael F. Devine III, a director of Five Below, Inc., sold 4,250 shares of common stock on Sept. 4, 2026, a transaction valued at $1.1 million, according to a recent SEC Form 4 filing. The shares were sold in multiple transactions at prices ranging from $251.18 to $251.46, resulting in a weighted average execution price of $250.61 per share. Following the sale, Devine holds 12,953 shares directly, representing a 0.0234% ownership interest in the company, with that remaining stake valued at approximately $3.2 million based on the $247.12 closing price on Sept. 9, 2026. Five Below, headquartered in Philadelphia, reported trailing-twelve-month revenue of $5.3 billion and net income of $619.2 million, and carries a market capitalization of $14.0 billion with a workforce of 16,200 employees.
Five Below Insiders Sell $3.7 Million in Shares After 39% Stock Run-Up
Two Five Below insiders sold roughly $3.7 million in company stock days after the discount retailer posted strong second-quarter results and raised its full-year guidance. Director Michael Devine sold about 4,250 shares on Sept. 4 in two batches, roughly 3,400 shares at $250.44 each and 850 shares at $251.28 each, for a total of about $1.1 million, leaving him 12,953 shares worth approximately $3.1 million at the current price of $243. Chief Operating Officer Kenneth Bull sold about 1,510 shares the same day at prices ranging from $240 to $255, averaging $248, for roughly $2.6 million, and still holds about 75,064 shares worth approximately $18.2 million. The sales followed Five Below's Sept. 2 earnings report, in which net sales rose 23% to $1.3 billion, comparable store sales surged 14%, adjusted operating income jumped 105% to $113 million, and adjusted net income climbed 108% to $93.4 million, or $1.68 per share. The company raised its full-year outlook to $5.63 billion to $5.71 billion in net sales, 10% to 12% comparable sales growth, and adjusted earnings per share of $9.83 to $10.31, and launched a $600 million share buyback program. Analysts upgraded their targets after the report, with Morgan Stanley raising its target by $65 to $300 per share and UBS lifting its target by $40 to $325 per share.
Five Below Posts 14.1% Q2 Comp Growth, Raises Full-Year Guidance
Five Below reported 14.1% comparable sales growth in the second quarter, extending its streak of double-digit comps to five consecutive quarters. The Q2 increase topped the 12.4% comp posted a year earlier, with demand spread across all customer groups and product categories, evidence that the turnaround under CEO Winnie Park, who joined in December 2024, is well underway. Management raised full-year comparable sales guidance to a midpoint of 11% and adjusted earnings per share to $10.07, a 51% year-over-year increase. Gross margins expanded by 220 basis points to 35.6%, helping drive adjusted operating income up over 100% to $113 million. The retailer recently opened its 2,000th store and is adding roughly 150 net new stores this year toward a long-term target of more than 3,500 locations, funded by a balance sheet with $1.2 billion in net cash. Management expects comparable sales growth of 9% at the midpoint in the third quarter but just 3% for the fourth quarter, as comparisons turn against a 15.4% comp from Q4 of last year and a 22.7% comp in Q1 2026.
Jim Cramer Calls Five Below a Buy After Strong Earnings
On September 3, Mad Money host Jim Cramer was bullish on Five Below, Inc. after the retailer delivered a strong fiscal second quarter and raised its full-year outlook, only to see its shares reverse an early rally. The stock climbed more than 5% Thursday morning before closing at $239.96, down 1.3%. Cramer called the reversal "a mistake," as he said that investors were overlooking the strength of the earnings report because of concerns about oil prices and the consumer. Five Below's second-quarter net sales rose 22.9% year over year to $1.26 billion, while comparable sales increased 14.1%. Adjusted diluted EPS jumped to $1.68 from $0.81, beating consensus estimates. Management raised fiscal 2026 revenue guidance to $5.63 billion-$5.71 billion from $5.40 billion-$5.48 billion and adjusted diluted EPS guidance to $9.83-$10.31 from $8.65-$9.05. Comparable-sales guidance increased to 10%-12% from 6%-8%. However, the company faces slowing comparable sales and tariff risks. Comparable sales rose 22.7% in the first quarter before slowing to 14.1% in the second, and management's third-quarter outlook calls for another step down to 8%-10%. The company benefited from tariff refunds, recording a $163.6 million reduction in cost of goods sold from IEEPA tariff refunds during the first half of fiscal 2026, plus $5.9 million of related interest income, but its updated outlook does not assume additional refunds. Five Below trades at a forward P/E of 25.19, and Loop Capital downgraded it to Hold from Buy on August 25 while maintaining a $250 price target, citing valuation concerns. Cramer argued that the slower comparable-sales growth is being viewed without enough context, noting that most retailers would have killed for 14% growth while lapping a 12.4% increase in the year-ago quarter. He also pointed to execution under CEO Winnie Park, who took over at the end of 2024, and noted that Five Below has beaten comparable-sales expectations in all six quarters since she became CEO. The company opened 52 net new stores in the second quarter, bringing its total to 2,022. Cramer said Five Below was trading at roughly 27.5 times fiscal-year earnings before the report and then at less than 24 times after it. He concluded, "I think that Five Below is a buy, buy, buy."
Five Below's Strategy Shift Drives Strong Q2 Results
Five Below's strategy overhaul is paying off, as the discount retailer reported second-quarter net sales of $1.26 billion, up 22.9%, with comparable sales rising 14.1%, marking its fifth consecutive quarter of double-digit growth. The company also opened 52 net new stores, bringing its total to 2,022 locations across 46 states, and adjusted earnings more than doubled to $1.68 per share from 81 cents a year earlier. The retailer has eliminated its dedicated Five Beyond section, integrating higher-priced items throughout the store while keeping over 80% of its assortment at $5 or less, and has leaned into trend-driven merchandise like collectibles and viral toys to drive foot traffic. Analysts have responded positively, with Truist, Telsey Advisory, and Jefferies raising price targets, though Morgan Stanley remains cautious on rising costs. Five Below raised its full-year outlook, now expecting fiscal 2026 net sales of $5.63 billion to $5.71 billion and adjusted earnings of $9.83 to $10.31 per share, up from previous guidance.
Five Below plans to open its first stores in Puerto Rico in the second half of 2027, marking its entry into a new market as its fleet surpasses 2,000 locations. The retailer reported second-quarter fiscal 2026 net sales of $1.26 billion, up 22.9% from $1.03 billion a year earlier, with comparable sales rising 14.1%. The company ended the quarter with 2,022 stores across 46 states, having opened 52 net new locations during the period. Management described Puerto Rico as a strong customer fit with attractive real estate opportunities, but plans a measured rollout of only a handful of stores initially. Five Below raised its full-year sales guidance but kept its 2026 target of about 150 net new stores, prioritizing execution quality and site selection over faster expansion.
Snowflake Surges 24% on Strong Results, Lifting Software Peers
Snowflake shares surged 24% in premarket trading after its second-quarter results beat analyst expectations, with adjusted earnings of 62 cents per share on revenue of $1.55 billion, surpassing the LSEG consensus of 45 cents and $1.48 billion, and the company raised its full-year product revenue guidance. The rally lifted software peers, with Datadog jumping over 5%, ServiceNow up 3%, and Salesforce rising 1.5%. In other moves, Hewlett Packard Enterprise slipped 3% after forecasting earnings growth of 16% to 20% for fiscal 2027, below the FactSet consensus of 18.7%, while Broadcom lost 2.5% as its fourth-quarter revenue forecast of $34.8 billion missed the $35.03 billion estimate. Campbell's Company fell nearly 7% on weak fiscal 2027 guidance, and Ultragenyx Pharmaceutical plunged over 46% after its Angelman syndrome drug failed a Phase 3 trial. On the upside, Petco jumped almost 9% on better-than-expected margins, Argan popped 7.5% on strong earnings, Five Below rose 4.5% on a beat, and Netskope gained 12% on upbeat revenue guidance, while Victoria's Secret sank over 18% on a revenue miss and NetApp shed 8% on soft deferred revenue.
Snowflake shares surge on strong Q2 results and raised outlook
Snowflake shares surged in after-hours trading after the company reported strong second-quarter results and raised its full-year product revenue forecast to more than $6 billion, with product revenue jumping 37% and management citing accelerating AI adoption as a key growth driver. Meanwhile, Hewlett Packard Enterprise reported better-than-expected earnings and revenue for the third quarter and raised its guidance for the current fiscal year and next, driven by AI workloads boosting demand for networking equipment and servers, though its stock swung between gains and losses and was modestly lower. Five Below shares also jumped after its second-quarter results beat expectations, with same-store sales up 14% and full-year guidance coming in well above street estimates, projecting low double-digit same-store sales growth.
Five Below Q2 Earnings Preview: Revenue Growth Expected to Slow
Discount retailer Five Below will report its second-quarter earnings after market hours on Wednesday, with analysts expecting revenue to grow 18.4% year on year, a slowdown from the 23.7% increase recorded in the same quarter last year. The company beat revenue expectations last quarter with $1.29 billion in sales, up 32.5% year on year, and also exceeded EPS estimates. Analysts have generally reconfirmed their estimates over the past 30 days, and Five Below has a history of beating Wall Street expectations. In the discount retailer segment, Ross Stores reported a 13.3% revenue increase, beating estimates by 1.8%, while Burlington's revenue rose 11%, missing by 0.8%. Five Below shares are up 14.1% over the last month, with an average analyst price target of $273.43 compared to the current price of $247.16.
Five Below Sets Q2 2026 Earnings Date Amid Analyst Upgrades
Five Below confirmed it will report second-quarter fiscal 2026 results on September 2, 2026, with management scheduling a conference call and investor conference appearances. Consensus EPS estimates were recently raised by 4.2% and the Earnings ESP stands at positive 20.80%, reflecting rising analyst confidence ahead of the release. A potential new Nashville store identified through permitting activity and a technical golden cross have drawn attention to the retailer's operational expansion and market sentiment. The company's narrative projects $6.5 billion revenue and $544.7 million earnings by 2029, implying a fair value of $264.45 per share, about 12% above the current price. However, some analysts warn that reliance on physical stores and limited e-commerce could constrain growth if trends shift.
General Merchandise Retail Stocks Post Strong Q1, Kohl's Revenue Declines While Five Below Leads Growth
The eight general merchandise retail stocks tracked by this publication reported a very strong first quarter, with revenues beating analysts' consensus estimates by 2.5% and next quarter's revenue guidance coming in 2.2% above expectations. Kohl's reported revenues of $3.17 billion, down 2% year on year and in line with expectations, making it the slowest grower in the group, though its stock has risen 33.4% since the report. Five Below led the group with revenues of $1.29 billion, up 32.5% year on year and beating estimates by 5.7%, while also delivering the highest guidance raise among peers, yet its stock fell 9.1%. Ollie's Bargain Outlet posted revenues of $658.9 million, up 14.2% but missing estimates by 0.7%, and its stock dropped 16.4%. Burlington Stores reported revenues of $2.86 billion, up 14.1% and beating estimates by 2.7%, with its stock up 5.9%. Ross Stores achieved the biggest analyst estimate beat with revenues of $6.01 billion, up 20.6% and surpassing expectations by 6.6%, and its stock gained 7.6%.
Zacks Picks Five Retail Stocks as US Sales Rise in June
U.S. retail sales rose 0.2% in June, matching expectations and marking a 6.7% year-over-year gain, as lower gasoline prices and a surge in online spending supported the sector. Receipts at gas stations fell 5.3%, while online retail sales climbed 1.9%, helped by Amazon Prime Day. Against this backdrop, Zacks Investment Research highlights five retail stocks with strong online presence and favorable earnings outlooks: Amazon.com, Five Below, Dollar Tree, Target, and The TJX Companies. Five Below carries a Zacks Rank #1 with expected earnings growth of 35.1% for the current year, while Amazon.com, Dollar Tree, Target, and TJX hold a Zacks Rank #2, with earnings growth estimates ranging from 9.3% to 23.6%.
Mizuho Upgrades Five Below to Outperform, Sees Selloff as Overdone
Mizuho upgraded Five Below from Neutral to Outperform with a $220 price target, arguing the stock's near-30% decline from recent peaks created a meaningful valuation dislocation. The firm cited strong customer retention as a key driver of potential upside to second-half estimates and projected meaningful EBIT margin expansion. Five Below's most recent quarterly results delivered a beat and raise, with comparable sales surging and full-year guidance lifted, while an insider purchase in early July added to the constructive signal. The stock sits at $185.50, well below both the $220 target and its 52-week high of $251.63, down over 20% in the past three months despite a 40% gain over the last twelve months.
Five Below shares down 5.1% since last earnings despite Q1 beat and raised outlook
Five Below shares have fallen 5.1% since its last earnings report, underperforming the S&P 500. The company reported first-quarter fiscal 2026 adjusted earnings per share of $2.22, beating the Zacks Consensus Estimate of $1.70, while net sales rose 32.5% to $1,285.6 million. Comparable sales jumped 22.7%, driven by a 4% increase in ticket and a 19% rise in transactions. Five Below raised its full-year sales outlook to between $5.4 billion and $5.48 billion and expects adjusted earnings per share of $8.65 to $9.05, up from its prior guidance of $7.74 to $8.25. The company ended the quarter with 1,970 stores and plans to open about 150 new stores in fiscal 2026.
StockStory highlights Five Below, Alignment Healthcare, and CNX Resources as growth stocks with explosive upside
StockStory identified Five Below, Alignment Healthcare, and CNX Resources as three growth stocks with strong competitive advantages and explosive upside potential. Five Below, the discount retailer, posted 25.9% annual revenue growth and averaged 8% same-store sales growth over two years, with expected revenue growth of 10% in the next 12 months. Alignment Healthcare, a Medicare Advantage provider, achieved 41.8% annual revenue growth and 45.4% over two years, while its earnings per share grew 28.5% annually over four years and free cash flow margin expanded by 11 percentage points over five years. CNX Resources, a natural gas producer, reported 15% revenue growth, a 68% gross margin, and a 23.4% free cash flow margin, with EBITDA profits rising over five years due to improved efficiency.
Lower Gas Prices Boost Consumer Confidence, Highlighting Four Retail Stocks
U.S. consumer confidence edged up to 91.2 in June from a downwardly revised 90.6 in May, supported by easing inflation as lower oil and gasoline prices reduced pressure on household budgets. The Present Situation Index declined 3 points to 116.4, while the Expectations Index advanced 3 points to 74.4, indicating mixed underlying sentiment. Zacks Investment Research identifies Five Below, Casey's General Stores, Ross Stores, and Dollar Tree as well-positioned to benefit from improved disposable income and selective consumer spending. Five Below and Casey's both carry a Zacks Rank of 1, or Strong Buy, with consensus estimates projecting double-digit sales and earnings growth for the current fiscal year. Ross Stores also holds a Zacks Rank of 1, while Dollar Tree carries a Zacks Rank of 2, or Buy.
Ross Stores Leads Discount Retailers with Strong Q1 Earnings Beat
Ross Stores posted the strongest first-quarter results among discount retailers, with revenue of $6.01 billion, up 20.6% year over year and beating analyst estimates by 6.6%. The company also exceeded expectations for next-quarter EPS guidance and EBITDA. Five Below reported revenue of $1.29 billion, up 32.5% year over year, surpassing estimates by 5.7% and raising its full-year guidance, though its stock fell 15.2%. Ollie's Bargain Outlet had the weakest performance, with revenue of $658.9 million missing estimates by 0.7% and the softest full-year guidance update. TJX posted revenue of $14.32 billion, up 9.2% year over year and beating estimates by 2.4%, while Burlington Stores reported revenue of $2.86 billion, up 14.1% year over year and exceeding estimates by 2.7%. Overall, the five discount retailers tracked beat consensus revenue estimates by 3.3% and provided next-quarter revenue guidance 2.2% above expectations, though their average share price has declined 4.5% since reporting.
Five Below Employee Fatally Shot at Las Vegas Store, Suspect at Large
A Five Below employee was fatally shot at a Las Vegas store, and the suspect remains at large with a warrant issued for his arrest. The affected location is closed during the ongoing investigation. The incident has raised concerns about store safety and staffing conditions for the discount retail chain, which focuses on low-price discretionary products for younger shoppers and families. Investors are watching for any updates on store reopenings, operational adjustments, and communications from the company regarding security measures and staff support.
Five Below Drives Customer Acquisition With Digital Engagement and In-Store Experience
Five Below is capturing new customers and driving repeat visits through a customer-centric strategy that blends digital engagement with an evolving in-store experience. In the first quarter of fiscal 2026, comparable sales increased 22.7%, driven by a 19% rise in transactions and a 4% increase in average ticket size. The company is leveraging social listening, connected TV initiatives, and AI-generated content to engage younger audiences more effectively. Five Below also expanded its email database during the quarter, which is expected to improve the precision of social and digital marketing efforts. The company's shares have gained 55.7% in the past year, and it currently sports a Zacks Rank of 1, or Strong Buy.
Wolfe Research upgrades Target to Top Pick, downgrades Home Depot and Five Below
Wolfe Research reshuffled its U.S. retail coverage on Monday, upgrading Target to Outperform and selecting it as a top pick into year-end, while downgrading Home Depot and Five Below to Peer Perform. Analyst Spencer Hanus said Target's turnaround has a rhythm not seen in years, driven by store resets, improved execution, and new leadership, and raised the 2026 EPS estimate to $8.48 and the 2027 estimate to $9.52, above the $8.95 consensus, with a price target of $160. On Five Below, Hanus flagged early signs that the Dumpling product trend is losing momentum, with Google Trends data showing fading search interest and store checks indicating flat demand, and modeled first-quarter 2027 same-store sales at minus 8% versus the consensus of minus 1.3%. For Home Depot, Hanus cited the persistent lock-in effect in the housing market, ROIC dilution from large Pro segment acquisitions, and rising rate risks as reasons to step to the sidelines, and also downgraded the broader home improvement sector to Peer Perform, noting that real legislative action to unlock the housing market would be a mid-2027 event at the earliest, while continuing to prefer Lowe's within the sector for more idiosyncratic upside.
StockStory Highlights Five Below and ITT as Mid-Cap Picks, Avoids JLL
StockStory identifies two mid-cap stocks with competitive advantages and one to avoid. The firm is positive on Five Below, citing 8% average comparable store sales growth over the past two years and projected revenue growth of 10.1% for the next 12 months. ITT is also favored, with 11.7% annual revenue growth over the last two years, projected revenue growth of 33.2% for the next 12 months, and an 18.2 percentage point jump in free cash flow margin over five years. Conversely, StockStory avoids JLL due to its 10.1% annual revenue growth over five years, lack of free cash flow generation, and stagnant returns on capital.
Zacks Picks Five Retail Stocks as Sales Surge on Robust Demand
Zacks Investment Research highlights five retail stocks with strong online presence as retail sales continue to surge on robust demand. Retail sales rose 0.9% sequentially in May, the fourth straight monthly increase, driven by aggressive household spending on motor vehicles. The selected stocks are Casey's General Stores, Five Below, Starbucks, Tapestry, and The TJX Companies, all of which have seen positive earnings estimate revisions in the past 60 days and carry a Zacks Rank of 1 (Strong Buy) or 2 (Buy). Casey's General Stores has an expected earnings growth rate of 9.1% for the current year, while Five Below's expected growth rate is 30.4%. Starbucks' expected earnings growth rate for next year is 12.7%, Tapestry's expected growth rate for the current year is 36.3%, and The TJX Companies' expected growth rate for the current year is 9.3%.
Five Below's Rapid Store Growth and Strong Same-Store Sales Offset Past Capital Efficiency Concerns
Five Below has opened new stores at a 12.7% annual rate over the last two years, reaching 1,970 locations, while posting exceptional same-store sales growth averaging 8% year-on-year. These strengths are tempered by a five-year average return on invested capital of 10.7%, which lags the 25%-plus levels of top consumer retail peers. The stock trades at 21.3 times forward earnings, or $192.50 per share, after gaining 5.7% over the past six months and underperforming the S&P 500's 10.9% return.
Five Below names Rodney Lastinger Chief Retail Officer and Christos Yatrakis Chief Legal Officer
Five Below has appointed Rodney Lastinger as Chief Retail Officer and Christos Yatrakis as Chief Legal Officer. Lastinger, who will join on June 22, 2026, will oversee operations across the company's nearly 2,000 stores, while Yatrakis, who started on June 15, 2026, will lead the legal function. Both executives report to Chief Operating Officer Kenneth Bull. Lastinger previously served as Chief Operating Officer at GNC, and Yatrakis was most recently Chief People and Legal Officer at Allbirds.
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