FIVE

A month has gone by since the last earnings report for Five Below (FIVE). Shares have lost about 5.1% in that time frame, underperforming the S&P 500. But investors have to be wondering, will the recent negative trend continue leading up to its next earnings release, or is Five Below due for a breakout? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at its latest earnings report in order to get a better handle on the important catalysts. Five Below reported impressive first-quarter fiscal 2026 results, wherein the top and bottom lines beat the Zacks Consensus Estimate. Also, net sales and earnings increased year over year, supported by strong comparable sales growth driven by gains in both traffic and average ticket. FIVE posted adjusted earnings per share of $2.22 in the fiscal first quarter, which beat the Zacks Consensus Estimate of $1.70. Also, the figure surged 158% from 86 cents in the year-ago quarter. Net sales were $1,285.6 million, which increased 32.5% year over year from $970.5 million. Also, this metric surpassed the Zacks Consensus Estimate of $1,205 million. Comparable sales (comps) increased 22.7% year over year, surpassing our estimated growth of 15.6% growth. Comps growth was driven by a 4% increase in ticket and a 19% rise in transactions. Adjusted gross profit grew 46% year over year to $478.6 million from $328.4 million. The adjusted gross margin increased approximately 340 basis points (bps) year over year to 37.2%. The improvement was primarily driven by fixed-cost leverage from strong comparable sales growth, along with distribution efficiencies and a lower shrink accrual, which further supported profitability during the quarter. Selling, general and administrative (SG&A) costs stood at $324 million. While SG&A costs, as a percentage of net sales, decreased approximately 250 bps to 25.2%. The improvement was primarily driven by strong comparable sales growth, which enabled fixed costs to be spread across a larger revenue base. These benefits were partially offset by higher incentive compensation expenses and increased store labor costs associated with April's physical inventory counts. Adjusted operating income was $154.8 million, up 160% year over year from $59.6 million. The adjusted operating margin increased approximately 600 bps to 12%. The company opened 49 net new stores and ende...

Five Below’s first quarter results for 2026 surpassed Wall Street’s revenue and profit expectations, but the market responded negatively, reflecting investor concerns despite headline growth. Management attributed the strong performance to broad-based gains across categories, strategic changes in merchandising, and successful engagement in social-driven trends. CEO Winnie Park emphasized that “traffic has been tremendous,” with notable contributions from collectibles and the viral squishy trend, as well as a disciplined approach to pricing and store experience. Park also pointed to a surge in both new and repeat customers, suggesting that recent marketing investments and assortment refreshes are gaining traction. Is now the time to buy FIVE? Find out in our full research report (it’s free). Revenue: $1.29 billion vs analyst estimates of $1.22 billion (32.5% year-on-year growth, 5.7% beat) Adjusted EPS: $2.22 vs analyst estimates of $1.79 (24.3% beat) The company lifted its revenue guidance for the full year to $5.44 billion at the midpoint from $5.25 billion, a 3.6% increase Management raised its full-year Adjusted EPS guidance to $8.85 at the midpoint, a 10.7% increase Operating Margin: 12%, up from 5.2% in the same quarter last year Locations: 1,970 at quarter end, up from 1,826 in the same quarter last year Same-Store Sales rose 22.7% year on year (7.1% in the same quarter last year) Market Capitalization: $10.55 billion While we enjoy listening to the management’s commentary, our favorite part of earnings calls is the analyst questions. Those are unscripted and can often highlight topics that management teams would rather avoid or topics where the answer is complicated. Here is what has caught our attention. John Heinbockel (Guggenheim) asked about brand awareness and new customer acquisition. CEO Winifred Park responded that aided and unaided awareness remain low versus peers, but marketing investments are starting to yield strong transaction growth from both new and repeat customers. Matthew Boss (JPMorgan) inquired about foundational merchandising changes and growth sustainability. Park highlighted the shift from item-based to assortment merchandising and the integration of “Five Beyond” products, expressing confidence in the company’s ability to continue positive comparable sales. Michael Lasser (UBS) asked for quantification of trend-driven sales an...

Interested in Five Below, Inc.? Here are five stocks we like better. Five Below delivered revenue and earnings results that significantly exceeded analyst expectations. Investors focused on management's cautious outlook for the second half of the fiscal year and ongoing tariff uncertainty. The post-earnings selloff may have pushed FIVE stock into oversold territory despite continued business momentum. Five Below (NASDAQ: FIVE) fell more than 13% the day after the company reported a mostly bullish Q1 2026 earnings report. The discount retailer delivered revenue of $1.29 billion. That beat expectations for $1.23 billion and, more importantly, was 32% higher year over year (YOY). The results were even better on the bottom line. Adjusted earnings per share of $2.22 beat expectations for $1.77 and were 158% higher on a YOY basis. → Buy the Dip? Broadcom's AI Moat Is Wider Than Ever The company reported a resilient consumer who is responding to the company’s digital marketing efforts. Furthermore, Five Below reported that the strength of the numbers was across all incomes, stores, and departments. The strength of the numbers wasn’t just about store traffic. The company’s margins improved based on fixed-cost leverage. → Rocket Lab Is Down 24% From Its 52-Week High—Pullback or Problem? Five Below ended the quarter with $1.1 billion in cash and investments on its balance sheet. The issue was with the company’s guidance. While Five Below raised its full-year guidance, management expressed some concern over the second half of the year. That’s when uncertainty about the health of the consumer will collide with tougher YOY comparisons. → From Runway to Riches: Victoria's Secret's New Look Five Below is known for providing a treasure hunt experience for consumers. So, it’s a little ironic that the company’s immediate problem is one that’s hiding in plain sight. The elephant in the room is the future state of the consumer. The strong quarter needs context, since earnings headlines are always backward-looking. On the earnings call, Five Below management noted that the company’s results were likely due to consumers spending a portion of their tax refunds in their stores. However, as with stock prices, past performance doesn’t guarantee future results. Five Below faces quantifiable tariff impacts that some analysts believe may be understated. But it also has a consumer who co...

Quarterly earnings results are a good time to check in on a company’s progress, especially compared to its peers in the same sector. Today we are looking at Five Below (NASDAQ:FIVE) and the best and worst performers in the discount retailer industry. Discount retailers understand that many shoppers love a good deal, and they focus on providing excellent value to shoppers by selling general merchandise at major discounts. They can do this because of unique purchasing, procurement, and pricing strategies that involve scouring the market for trendy goods or buying excess inventory from manufacturers and other retailers. They then turn around and sell these snacks, paper towels, toys, clothes, and myriad other products at highly enticing prices. Despite the unique draw and lure of discounts, these discount retailers must also contend with the secular headwinds of online shopping and challenged retail foot traffic in places like suburban strip malls. The 5 discount retailer stocks we track reported a very strong Q1. As a group, revenues beat analysts’ consensus estimates by 3.3% while next quarter’s revenue guidance was 0.7% below. While some discount retailer stocks have fared somewhat better than others, they have collectively declined. On average, share prices are down 1.9% since the latest earnings results. Often facilitating a treasure hunt shopping experience, Five Below (NASDAQ:FIVE) is an American discount retailer that sells a variety of products from mobile phone cases to candy to sports equipment for largely $5 or less. Five Below reported revenues of $1.29 billion, up 32.5% year on year. This print exceeded analysts’ expectations by 5.7%. Overall, it was a stunning quarter for the company with EPS guidance for next quarter exceeding analysts’ expectations and a solid beat of analysts’ EBITDA estimates. Winnie Park, CEO of Five Below, said, “We are thrilled with our outstanding first quarter performance, which is a testament to the team’s execution of our customer-centric strategy. The result was broad-based growth across our merchandising worlds, new and existing customers, and all demographic and geographic segments. Our continued focus on compelling newness at amazing value and great store execution are at the heart of our operating flywheel. We successfully amplified social media trends and drove outsized traffic through coordinated merchandising a...

Five Below, Inc. FIVE used its first-quarter fiscal 2026 call to press a forward-looking case, not just celebrate a beat. Management argued the latest surge in traffic reflected deeper operating changes across merchandising, marketing and store execution. That message mattered because the company raised its full-year outlook while keeping a cautious view on the consumer backdrop. The tension between strong internal momentum and a still-guarded macro stance shaped the call. Chief executive officer Winnie Park framed the quarter as evidence that Five Below’s operating reset is gaining traction. She said the company is now executing more cohesively around curated product stories, social-first marketing and an easier store experience. Park emphasized that growth was not tied to one item or one department. She said 15 of 18 departments posted positive comparable sales and that gains stretched across districts, store vintages and income cohorts. That broader message was important because it moved the discussion away from a single viral product cycle. Management’s stance was that trend capture is now a repeatable capability rather than a one-off lift. The company reported adjusted earnings of $2.22 per share, ahead of the Zacks Consensus Estimate of $1.7, while revenues of $1.29 billion topped the consensus $1.21 billion. The EPS surprise was 30.92%, and the revenue surprise was 6.7%. Five Below, Inc. price-consensus-eps-surprise-chart | Five Below, Inc. Quote Comparable sales rose 22.7%, with Park saying transactions increased 19% while ticket rose 4%. That mix reinforced management’s view that customer engagement and store traffic are improving in a meaningful way. Chief financial officer Daniel Sullivan added that adjusted gross margin rose 340 basis points to 37.2%, while adjusted operating margin expanded about 600 basis points to 12%. Fixed-cost leverage, better distribution efficiency and a lower shrink accrual supported the gain. Park repeatedly returned to the company’s social and digital playbook. She said Five Below is using creator content, connected TV and more active social listening to spot and amplify trends faster. In analyst Q&A, she said the shift away from more traditional marketing has helped drive both new and repeat customers. She also pointed to progress in building the company’s email database, which management sees as a foundation for more...

(Adds the CFO's comments and updates the stock movement in the last two paragraphs.) Five Below (

Image source: The Motley Fool. Wednesday, June 3, 2026 at 4:30 p.m. ET Chief Executive Officer — Winifred Park Chief Financial Officer — Daniel Sullivan Winifred Park: Thank you, Christiane, and hello, all. I want to start by saying how grateful I am to our amazing Five Below crew. They have executed our strategy at an exceptional level by staying laser-focused on what matters most, the customer, our box. Our first quarter results are a testament to their great work, which reflects our operating flywheel in action and demonstrates the traction we've made in transforming our business and strengthening our position as the destination for the kid and the kid in all of us. For the first quarter, we are reporting results that exceeded our expectations with sales growth of nearly 33% to $1.3 billion, driven by 23% comp growth and strong new store performance, including 49 net new stores that opened during the quarter. Adjusted EPS of $2.22 per share grew over 2.5x compared to the first quarter of last year. With this positive momentum and despite an expected more challenging macro environment as the year plays out, we are raising our full year outlook, which Dan will discuss shortly. Our outsized sales growth in the quarter was driven by 3 key factors: First, we continue to see the customer reacting favorably to our strategy and the changes we made to our operating model. We often talk about the 3 legs of the stool that support our unique value proposition. The first leg is curated product storytelling focused on newness and amazing value across our assortment. Second, meeting the customer where they are with relevant marketing and social and digital media. Third, easier and funner shopping experiences in our stores, which offer better in-stock positions and streamlined pricing. Importantly, we operate as a real team, galvanizing all of our corporate ship centers and stores in 6 curtain-up moments that celebrate the seasons and milestones in our customers' lives. The second driver of our sales growth was engaging in social trends to amplify their virality. While we have benefited from trends in the past, we are now able to actively engage with our customers through social media, direct marketing and finally, with in-store activations. Our marketing toolkit is expanding. And with the adoption of social-first approach, we are so much more reactive and relevant in me...

Five Below (NASDAQ:FIVE) shares fell about 11% at Thursday's market open, as investors looked past a stronger-than-expected first quarter earnings report and instead focused on the assumptions underlying the company's raised full-year guidance. Five Below raised its full-year fiscal 2026 guidance, projecting net sales of $5.40 billion to $5.48 billion and adjusted diluted earnings per share of $8.65 to $9.05. The discount retailer said its fiscal 2026 outlook reflects tariff rates currently in place through July 24 and assumes they will revert to levels that existed at the start of the fiscal year for the remainder of the year. The guidance also excludes any potential benefit from tariff refunds or share repurchases. For the first quarter ended May 2, Five Below reported adjusted diluted earnings per share of $2.22, exceeding the Wall Street consensus estimate of $1.69. Revenue increased 32.5% year over year to $1.29 billion, above analysts' expectations of approximately $1.20 billion. Comparable sales rose 22.7% during the quarter, while operating income climbed to $154.2 million from $50.8 million a year earlier. Operating margin expanded to 12% from 5.2% in the prior-year period. Net income totaled $123.1 million, or $2.21 per diluted share, compared with $41.1 million, or $0.75 per diluted share, in the first quarter of fiscal 2025. The company opened 49 net new stores during the quarter, ending the period with 1,970 locations across 46 states. Five Below CEO Winnie Park credited the results to the company's merchandising strategy and focus on value. "We are thrilled with our outstanding first quarter performance, which is a testament to the team's execution of our customer-centric strategy," Park said in the earnings release. “The result was broad-based growth across our merchandising worlds, new and existing customers, and all demographic and geographic segments.”

Five Below reported first-quarter net sales of $1.29 billion on Wednesday, up 32.5% from a year earlier, as comparable sales rose 22.7%. The company also raised its full-year guidance, but Five Below stock fell after the close as executives flagged caution over the consumer outlook. Against analyst expectations of $1.74 per share, the company delivered adjusted diluted earnings of $2.22 per share, according to Benzinga. Quarterly revenue of $1.29 billion came in ahead of the $1.22 billion consensus, per Benzinga. Five Below ended the quarter with 1,970 stores across 46 states after opening 49 net new locations during the period, the company said. Full-year net sales guidance was bumped up to $5.40 billion to $5.48 billion from the prior outlook of $5.2 billion to $5.3 billion, according to Benzinga, while the adjusted diluted earnings per share target moved to $8.65 to $9.05, compared with the earlier range of $7.74 to $8.25. Despite the strong results and raised guidance, Five Below stock fell more than 6% in after-hours trading, according to Benzinga. Executives signaled that the first quarter's strong performance was partly fueled by higher tax refunds that may not persist. "We're looking at the world that our customers are living in: with rising fuel costs, with very sticky inflation, with a somewhat soft labor market. And we think a piece of that pain that they are feeling wasn't felt in the first quarter purely because of tax proceeds," CFO Daniel Sullivan said on the earnings call, according to Bloomberg. "We remain cautious with respect to the macro environment, consumer sentiment and buying behaviors," he added. The company's full-year guidance assumes tariff rates currently in place through July 24, 2026 revert to rates in place at the start of the fiscal year after that date, the company said. CEO Winnie Park pointed to social media momentum as a key driver of the quarter's results. "We successfully amplified social media trends and drove outsized traffic through coordinated merchandising and marketing efforts," Park said in a statement. A viral "squishy dumpling" toy drove a meaningful portion of the quarter's sales gains, and executives said the retailer planned to apply what it learned from that runaway product to generate foot traffic in the months ahead, according to Bloomberg. For the second quarter, Five Below guided for net sales of $1.18...

Five Below, Inc. FIVE reported impressive first-quarter fiscal 2026 results, wherein the top and bottom lines beat the Zacks Consensus Estimate. Also, net sales and earnings increased year over year, supported by strong comparable sales growth driven by gains in both traffic and average ticket. FIVE posted adjusted earnings per share of $2.22 in the fiscal first quarter, which beat the Zacks Consensus Estimate of $1.70. Also, the figure surged 158% from 86 cents in the year-ago quarter. Five Below, Inc. price-consensus-eps-surprise-chart | Five Below, Inc. Quote Net sales were $1,285.6 million, which increased 32.5% year over year from $970.5 million. Also, this metric surpassed the Zacks Consensus Estimate of $1,205 million. Comparable sales (comps) increased 22.7% year over year, surpassing our estimated growth of 15.6% growth. Comps growth was driven by a 4% increase in ticket and a 19% rise in transactions. Adjusted gross profit grew 46% year over year to $478.6 million from $328.4 million. The adjusted gross margin increased approximately 340 basis points (bps) year over year to 37.2%. The improvement was primarily driven by fixed-cost leverage from strong comparable sales growth, along with distribution efficiencies and a lower shrink accrual, which further supported profitability during the quarter. Selling, general and administrative (SG&A) costs stood at $324 million. While SG&A costs, as a percentage of net sales, decreased approximately 250 bps to 25.2%. The improvement was primarily driven by strong comparable sales growth, which enabled fixed costs to be spread across a larger revenue base. These benefits were partially offset by higher incentive compensation expenses and increased store labor costs associated with April's physical inventory counts. Adjusted operating income was $154.8 million, up 160% year over year from $59.6 million. The adjusted operating margin increased approximately 600 bps to 12%. The company opened 49 net new stores and ended the quarter with 1,970 stores across 46 states. This represents a 7.9% increase in the number of stores from the end of the first quarter of fiscal 2025. The company expects to open approximately 50 new stores in the fiscal second quarter and 150 new stores for fiscal 2026. The company ended the fiscal first quarter with cash and cash equivalents of $638.9 million and short-term investment securiti...

For the quarter ended April 2026, Five Below (FIVE) reported revenue of $1.29 billion, up 32.5% over the same period last year. EPS came in at $2.22, compared to $0.86 in the year-ago quarter. The reported revenue represents a surprise of +6.7% over the Zacks Consensus Estimate of $1.2 billion. With the consensus EPS estimate being $1.70, the EPS surprise was +30.92%. While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Street expectations to determine their next course of action, some key metrics always provide a better insight into a company's underlying performance. Since these metrics play a crucial role in driving the top- and bottom-line numbers, comparing them with the year-ago numbers and what analysts estimated about them helps investors better project a stock's price performance. Here is how Five Below performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts: Comparable Sales: 22.7% versus 14.8% estimated by seven analysts on average. Total stores at end of period: 1,970 compared to the 1,965 average estimate based on five analysts. New Store Openings: 49 compared to the 44 average estimate based on four analysts. Average net sales per store: $0.70 versus the four-analyst average estimate of $1.13. View all Key Company Metrics for Five Below here>>> Shares of Five Below have returned -4.8% over the past month versus the Zacks S&P 500 composite's +4.6% change. The stock currently has a Zacks Rank #2 (Buy), indicating that it could outperform the broader market in the near term. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Five Below, Inc. (FIVE) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Investors were spooked by the prospect that Five Below's growth rate might have reached its peak. Five Below stock sank 14% on Thursday, according to MarketSurge. Meanwhile, adjusted earnings per share were $2.22, 25% above the $1.77 looked for by Wall Street.