Four consecutive earnings beats averaging 56% above estimates and 32% year-over-year revenue growth combine with a sub-1 PEG ratio to offer compelling fundamental value 21% below analyst targets, though momentum remains soft and no clear near-term catalyst has been identified.
Thesis pillars
- Strong Revenue Growth Profile→Stable
- Earnings Beat Consistency↓Deteriorating
- Pullback Entry Technical Setup↓Deteriorating
- +1 more pillar — see the Why tab for full reasoning
Pillars as of Jul 3, 2026, based on the 10-K filed Mar 19, 2026
Five Below, Inc. (FIVE) Stock Analysis
Consumer Cyclical · Specialty Retail
Sell if holding. Multiple concerning factors at $231.25: Overbought (RSI 84); Sector modifier (Consumer Cyclical): -1.5.
Five Below is a specialty value retailer selling trend-right merchandise mostly priced at $5 and below across eight category worlds — Candy, Style, Party, Room, Create, Tech, Sports and New & Now — operating 1,921 stores across 46 states as of January 31, 2026. Net sales grew... Read more
Sell if holding. Multiple concerning factors at $231.25: Overbought (RSI 84); Sector modifier (Consumer Cyclical): -1.5. Chart setup: No clear chart pattern; technical signals are mixed. Score 6.4/10, moderate confidence.
Passes 8/8 gates (positive momentum, favorable risk/reward ratio, clean insider activity, no SEC red flags, news events none recent, earnings proximity 35d clear, semi cycle peak clear, materials cycle peak clear). Suitability: moderate.
About Five Below, Inc.
About Five Below, Inc.
Five Below operated 1,921 stores across 46 states as of January 31, 2026, after opening 150 net new locations during fiscal 2025, and targets more than 3,500 U.S. locations over time. Comparable sales rose 12.8% in fiscal 2025 (following a 2.7% decline in fiscal 2024), driving net sales from $3.6 billion in fiscal 2023 to $4.8 billion in fiscal 2025, a 15.7% compounded annual growth rate.
Five Below organizes merchandise into eight category worlds — Candy, Style, Party, Room, Create, Tech, Sports and New & Now — which roll up into three reporting groups: Leisure (44.5% of fiscal 2025 net sales), Fashion and home (30.9%) and Snack and seasonal (24.6%). The company sources from roughly 1,000 vendors, with no single vendor representing more than 5% of purchases and about 60% of purchases from domestic vendors, though China remains the single largest country of origin for imported merchandise. Five shipcenters in Pedricktown, New Jersey, Forsyth, Georgia, Conroe, Texas, Buckeye, Arizona and Indianapolis, Indiana support distribution to stores that average roughly $2 million in first-year sales on a $0.4 million initial cash investment, targeting a one-year payback period.
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Five Below's value positioning is now hostage to trade policy: China is the single largest source of the merchandise it imports, and the 10-K discloses that the U.S. Supreme Court's invalidation of certain International Emergency Economic Powers Act tariffs left significant uncertainty over whether affected duties will be refunded or simply replaced under different legal authority. Because the company's brand identity rests on most items pricing at or below $5, any tariff-driven cost increase it cannot absorb through vendor negotiation risks damaging its positioning as an extreme-value retailer and making it less competitive, exactly the trade-off the filing itself warns against.
See also: Consumer Cyclical · Specialty Retail
From Five Below, Inc.'s most recent 10-K filing, extracted July 3, 2026.
Recent developments
updated 2026-10-28Recent Developments — Five Below, Inc.
Latest news
- NEWS Five Below, Inc. (NASDAQ:FIVE) Stock Has Consensus Target Price of $300.20 - MarketBeat — MarketBeat positive
- NEWS Visa stock up with five blockchains added to stablecoin settlement pilot; CRCL, BLSH, GEMI down (V:NYSE) - Seeking Alpha — Seeking Alpha neutral
- NEWS Five Below (FIVE) reports next week: Wall Street expects earnings growth - MSN — MSN positive
- NEWS Truist Lifts Price Target on Five Below to $265 From $261, Keeps Buy Rating - marketscreener.com — marketscreener.com positive
- NEWS Five Below Q1 Preview: Shares A Hold, Strong Results Expected (NASDAQ:FIVE) - Seeking Alpha — Seeking Alpha positive
Generated 2026-10-28T11:33:55Z.
Upcoming dated catalysts
Thesis
Key Metrics
Quality Signals
Options Flow
Concentration Risks(10-K Item 1A)
- MEDIUMSupplierChina10-K Item 1A: 'A significant majority of our merchandise is manufactured outside of the United States, with China as the single largest source of merchandise we import and source from domestic vendors.'
Model-generated analysis — not investment advice. Not a registered investment advisor. Past performance does not guarantee future results. How we score · Editorial policy
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Rating Breakdown
1 floor-breaker
Technicals below the gate floor. Component breakdown shows what dragged the score down.static
Price Targets
Position Sizing
Analyst Consensus
Earnings
Verdict History
Frequently Asked Questions
Sell if holding. Multiple concerning factors at $231.25: Overbought (RSI 84); Sector modifier (Consumer Cyclical): -1.5. Chart setup: No clear chart pattern; technical signals are mixed. Prior stop was $217.43. Score 6.4/10, moderate confidence.
Analyst target: $274.75 (+18.8% upside). Prior stop was $217.43. Stop-loss: $217.43.
Sector modifier (Consumer Cyclical): -1.5; Overbought (RSI 84).
Five Below, Inc. trades at a P/E of 20.7 (forward 20.9). TrendMatrix value score: 6.4/10. Verdict: Sell.
33 analysts cover FIVE with a consensus score of 4.0/5. Average price target: $305.
What does Five Below, Inc. do?Five Below is a specialty value retailer selling trend-right merchandise mostly priced at $5 and below across eight...
Five Below is a specialty value retailer selling trend-right merchandise mostly priced at $5 and below across eight category worlds — Candy, Style, Party, Room, Create, Tech, Sports and New & Now — operating 1,921 stores across 46 states as of January 31, 2026. Net sales grew from $3.6 billion in fiscal 2023 to $4.8 billion in fiscal 2025 (a 15.7% CAGR), with plans to expand the store base beyond 3,500 locations, sourcing merchandise from roughly 1,000 vendors with China as the single largest country of origin.