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FIVE shares faced pressure following its latest release but results remained very solid.
The company recently raised its 2026 sales and EPS guidance.
FIVE opened 49 new stores throughout its latest quarter.
Five Below (FIVE - Free Report) is a specialty value chain retailer that offers a wide range of premium-quality, trendy merchandise typically priced at $5 or less. The company primarily targets teenage and pre-teen shoppers with its products, which include certain brands and licensed merchandise.
The stock sports the highly coveted Zacks Rank #1 (Strong Buy), with bullish EPS revisions present across the board.
Image Source: Zacks Investment Research
Five Below Raises Guidance
Five Below shares have recently taken a hit following its latest earnings release after an initial hot start to 2026. Though notable, the negative action is likely partly a reflection of profit-taking after a strong run over the past year, with overall results strong and the company seeing positive EPS revisions in the days following.
The retailer posted a double-beat relative to our consensus expectations in the latest quarterly release, with revenues increasing nearly 32% alongside a 160% jump in adjusted EPS. The YoY sales growth rate was the highest we’ve seen from the company in years, with it also raising its FY26 EPS and sales guidance following the release.
Comparable store sales also increased by an impressive 22.7% YoY, telling us that its existing locations are seeing strong growth, with FIVE also opening 49 new stores throughout the quarter.
Image Source: Zacks Investment Research
The growth picture remains solid, with earnings forecasted to grow 30% in its current fiscal year, with estimates for the upcoming year suggesting a further 11% improvement. Sales are expected to grow 14.3% in its current fiscal year and 9.6% in its next.
Image Source: Zacks Investment Research
Bottom Line
Investors can implement a stellar strategy to find expected winners by taking advantage of the Zacks Rank – one of the most powerful market tools that provides a massive edge.
The top 5% of all stocks receive the highly coveted Zacks Rank #1 (Strong Buy). These stocks should outperform the market more than any other rank.
Five Below (FIVE - Free Report) would be an excellent stock for investors to consider, as displayed by its Zack Rank #1 (Strong Buy).
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Bull of the Day: Five Below (FIVE)
Key Takeaways
Five Below (FIVE - Free Report) is a specialty value chain retailer that offers a wide range of premium-quality, trendy merchandise typically priced at $5 or less. The company primarily targets teenage and pre-teen shoppers with its products, which include certain brands and licensed merchandise.
The stock sports the highly coveted Zacks Rank #1 (Strong Buy), with bullish EPS revisions present across the board.
Image Source: Zacks Investment Research
Five Below Raises Guidance
Five Below shares have recently taken a hit following its latest earnings release after an initial hot start to 2026. Though notable, the negative action is likely partly a reflection of profit-taking after a strong run over the past year, with overall results strong and the company seeing positive EPS revisions in the days following.
The retailer posted a double-beat relative to our consensus expectations in the latest quarterly release, with revenues increasing nearly 32% alongside a 160% jump in adjusted EPS. The YoY sales growth rate was the highest we’ve seen from the company in years, with it also raising its FY26 EPS and sales guidance following the release.
Comparable store sales also increased by an impressive 22.7% YoY, telling us that its existing locations are seeing strong growth, with FIVE also opening 49 new stores throughout the quarter.
Image Source: Zacks Investment Research
The growth picture remains solid, with earnings forecasted to grow 30% in its current fiscal year, with estimates for the upcoming year suggesting a further 11% improvement. Sales are expected to grow 14.3% in its current fiscal year and 9.6% in its next.
Image Source: Zacks Investment Research
Bottom Line
Investors can implement a stellar strategy to find expected winners by taking advantage of the Zacks Rank – one of the most powerful market tools that provides a massive edge.
The top 5% of all stocks receive the highly coveted Zacks Rank #1 (Strong Buy). These stocks should outperform the market more than any other rank.
Five Below (FIVE - Free Report) would be an excellent stock for investors to consider, as displayed by its Zack Rank #1 (Strong Buy).