Stephens Investment Management Group LLC Cuts Holdings in Five Below, Inc. $FIVE

Key Points

• Stephens Investment Management Group LLC trimmed its Five Below stake by 5.0% in the fourth quarter, selling 32,982 shares and still holding 624,864 shares worth about $117.7 million. Five Below remains its third-largest holding.
• Several research firms raised price targets after Five Below’s recent earnings beat, with Deutsche Bank lifting its target to $287 and others also increasing their outlooks. Overall analyst sentiment remains Moderate Buy with a consensus target of $240.10.
• Five Below reported strong quarterly results, posting EPS of $4.31 versus the $4.00 estimate and revenue of $1.73 billion, up 24.3% year over year. Despite the upbeat earnings, shares were slightly lower, opening at $213.64 on Friday.

Stephens Investment Management Group LLC lowered its stake in shares of Five Below, Inc. (NASDAQ:FIVE - Free Report) by 5.0% during the 4th quarter, according to the company in its most recent filing with the SEC. The fund owned 624,864 shares of the specialty retailer's stock after selling 32,982 shares during the quarter. Five Below accounts for 1.5% of Stephens Investment Management Group LLC's holdings, making the stock its 3rd biggest holding. Stephens Investment Management Group LLC owned approximately 1.13% of Five Below worth $117,699,000 as of its most recent filing with the SEC.

Other large investors have also recently modified their holdings of the company. Jennison Associates LLC increased its position in shares of Five Below by 397.5% during the 3rd quarter. Jennison Associates LLC now owns 819,502 shares of the specialty retailer's stock valued at $126,777,000 after purchasing an additional 654,763 shares during the last quarter. SPX Gestao de Recursos Ltda bought a new position in shares of Five Below during the 3rd quarter valued at approximately $866,000. Estate Counselors LLC bought a new position in shares of Five Below during the 3rd quarter valued at approximately $3,755,000. Pembroke Management LTD bought a new position in shares of Five Below during the 3rd quarter valued at approximately $7,426,000. Finally, AGF Management Ltd. bought a new position in shares of Five Below during the 3rd quarter valued at approximately $7,304,000.

Insiders Place Their Bets

In other news, Director Ronald Sargent sold 10,000 shares of the stock in a transaction on Monday, March 23rd. The stock was sold at an average price of $231.28, for a total transaction of $2,312,800.00. Following the transaction, the director owned 83,674 shares of the company's stock, valued at approximately $19,352,122.72. This represents a 10.68% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link. Also, COO Kenneth R. Bull sold 10,000 shares of the stock in a transaction on Friday, March 20th. The stock was sold at an average price of $234.14, for a total value of $2,341,400.00. Following the transaction, the chief operating officer directly owned 92,531 shares in the company, valued at $21,665,208.34. The trade was a 9.75% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. 0.96% of the stock is currently owned by corporate insiders.

Five Below Stock Down 0.6%

Shares of Five Below stock opened at $213.64 on Friday. The stock's fifty day moving average is $225.34 and its two-hundred day moving average is $198.73. The company has a market capitalization of $11.81 billion, a PE ratio of 33.07, a price-to-earnings-growth ratio of 1.60 and a beta of 1.00. Five Below, Inc. has a 52 week low of $103.95 and a 52 week high of $251.63.

Five Below (NASDAQ:FIVE - Get Free Report) last announced its quarterly earnings data on Wednesday, March 18th. The specialty retailer reported $4.31 EPS for the quarter, beating the consensus estimate of $4.00 by $0.31. Five Below had a return on equity of 18.70% and a net margin of 7.53%.The company had revenue of $1.73 billion for the quarter, compared to the consensus estimate of $1.71 billion. During the same quarter in the prior year, the company posted $3.48 EPS. Five Below's quarterly revenue was up 24.3% on a year-over-year basis. As a group, research analysts anticipate that Five Below, Inc. will post 8.14 earnings per share for the current year.

Key Stories Impacting Five Below

Here are the key news stories impacting Five Below this week:

• Positive Sentiment: Wall Street Zen upgraded Five Below to Buy, which can support sentiment by signaling improving analyst confidence in the company’s outlook. Five Below NASDAQ: FIVE Upgraded by Wall Street Zen to Buy Rating
• Positive Sentiment: Zacks added FIVE to its Rank #1 “Strong Buy” growth stocks list, highlighting Five Below as a name still viewed favorably in growth screens. Best Growth Stocks to Buy for May 15th
• Positive Sentiment: Five Below is continuing to generate viral marketing buzz with its “Golden Ticket” dumpling promotion and other low-price novelty items, which may help drive store traffic and brand engagement. Five Below launches golden ticket dumpling series with $1,000 shopping spree chance
• Positive Sentiment: Coverage of a new Bangor store opening underscores continued store expansion, which supports the company’s long-term growth strategy. Five Below opening new Bangor store Sunday
• Neutral Sentiment: Articles comparing Five Below with Dollar Tree and highlighting cheap, trendy items are broadly supportive of the value proposition, but they do not materially change the investment outlook on their own. I compared Five Below and Dollar Tree — 5 budget buys that surprised me
• Neutral Sentiment: Lifestyle coverage of inexpensive products like a $7 cherry lamp and a spiky Nerf-style dog toy adds visibility to Five Below’s assortment, but the direct stock impact is limited. Five Below's $7 cherry lamp offers a stylish alternative to Urban Outfitters' $99 version Five Below Launches Affordable Spiky Nerf Ball Toy Perfect for Energetic Dogs
• Negative Sentiment: Commentary about governance pressure, gas price risks, and whether the stock is already too expensive after a major rally suggests some investors are becoming more cautious on valuation and margins. How Governance Pressure And Gas Price Risks At Five Below (FIVE) Have Changed Its Investment Story Is It Too Late To Consider Buying Five Below (FIVE) After A 100% One-Year Rally?

Analysts Set New Price Targets

Several research firms have recently weighed in on FIVE. Deutsche Bank Aktiengesellschaft boosted their target price on Five Below from $247.00 to $287.00 and gave the company a "buy" rating in a research report on Thursday, March 19th. Telsey Advisory Group upped their price objective on Five Below from $240.00 to $260.00 and gave the company an "outperform" rating in a research report on Thursday, March 19th. Craig Hallum reaffirmed a "buy" rating and issued a $246.00 price objective on shares of Five Below in a research report on Tuesday, March 17th. William Blair raised Five Below from a "market perform" rating to an "outperform" rating in a research report on Thursday, March 19th. Finally, Guggenheim upped their price objective on Five Below from $225.00 to $260.00 and gave the company a "buy" rating in a research report on Friday, March 20th. One equities research analyst has rated the stock with a Strong Buy rating, fifteen have issued a Buy rating and seven have issued a Hold rating to the company's stock. According to data from MarketBeat.com, Five Below has an average rating of "Moderate Buy" and a consensus target price of $240.10.

Five Below Company Profile

Five Below, Inc NASDAQ: FIVE is an American specialty discount retailer offering a broad assortment of merchandise priced primarily at $5 or below. Since its founding in 2002 by David Schlessinger and Tom Vellios, the company has pursued a value-focused retail model targeting tweens, teens and beyond, with stores designed to deliver trend-driven products at an accessible price point. Headquartered in Philadelphia, Pennsylvania, Five Below has grown into a national chain operating in dozens of U.S.

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