Five Below (NASDAQ:FIVE) Raised to Buy at Wall Street Zen

Key Points

• Five Below has been upgraded to a "buy" rating by Wall Street Zen, indicating increased investor confidence in the company's stock performance.
• Several analysts have increased their price targets for Five Below, with estimates now ranging from $165.00 to $184.00, which reflects positive sentiment following strong quarterly earnings.
• The company reported a quarterly profit of $0.81 per share, exceeding estimates and marking a 23.7% year-over-year revenue increase.

Five Below (NASDAQ:FIVE - Get Free Report) was upgraded by investment analysts at Wall Street Zen from a "hold" rating to a "buy" rating in a report released on Saturday.

Other equities research analysts have also issued reports about the company. Citigroup raised their price objective on Five Below from $142.00 to $152.00 and gave the stock a "neutral" rating in a research note on Thursday, August 28th. Wells Fargo & Company raised their price objective on Five Below from $140.00 to $170.00 and gave the stock an "overweight" rating in a research note on Thursday, August 28th. Mizuho raised their price objective on Five Below from $132.00 to $150.00 and gave the stock a "neutral" rating in a research note on Thursday, August 28th. Guggenheim raised their target price on Five Below from $155.00 to $165.00 and gave the stock a "buy" rating in a research report on Friday, August 29th. Finally, Morgan Stanley raised their target price on Five Below from $135.00 to $160.00 and gave the stock an "equal weight" rating in a research report on Thursday, August 28th. Eight research analysts have rated the stock with a Buy rating, eleven have issued a Hold rating and one has issued a Sell rating to the company. According to data from MarketBeat, Five Below currently has an average rating of "Hold" and an average price target of $143.56.

Five Below Price Performance

Shares of FIVE traded down $0.15 during trading hours on Friday, hitting $149.62. 492,797 shares of the company were exchanged, compared to its average volume of 1,930,919. The company has a market capitalization of $8.25 billion, a PE ratio of 30.29, a PEG ratio of 12.79 and a beta of 1.09. The firm has a fifty day simple moving average of $136.78 and a 200-day simple moving average of $106.21. Five Below has a one year low of $52.38 and a one year high of $154.30.

Five Below (NASDAQ:FIVE - Get Free Report) last released its quarterly earnings data on Wednesday, August 27th. The specialty retailer reported $0.81 earnings per share for the quarter, topping the consensus estimate of $0.61 by $0.20. The business had revenue of $1.03 billion during the quarter, compared to analyst estimates of $988.91 million. Five Below had a return on equity of 17.13% and a net margin of 6.45%.The company's revenue was up 23.7% compared to the same quarter last year. During the same period last year, the company posted $0.54 EPS. Five Below has set its FY 2025 guidance at 4.760-5.160 EPS. Q3 2025 guidance at 0.120-0.240 EPS. Sell-side analysts expect that Five Below will post 4.93 EPS for the current year.

Insider Buying and Selling

In other Five Below news, CAO Eric M. Specter sold 5,500 shares of the firm's stock in a transaction dated Thursday, June 26th. The stock was sold at an average price of $130.77, for a total transaction of $719,235.00. Following the transaction, the chief accounting officer directly owned 55,854 shares in the company, valued at $7,304,027.58. This trade represents a 8.96% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at the SEC website. Also, insider Amit Jhunjhunwala sold 1,700 shares of the firm's stock in a transaction dated Monday, June 16th. The shares were sold at an average price of $125.17, for a total value of $212,789.00. Following the transaction, the insider owned 25,890 shares in the company, valued at approximately $3,240,651.30. This trade represents a 6.16% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold 14,018 shares of company stock valued at $1,859,972 in the last three months. 1.90% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On Five Below

Institutional investors have recently bought and sold shares of the stock. IFP Advisors Inc raised its holdings in Five Below by 653.8% during the second quarter. IFP Advisors Inc now owns 196 shares of the specialty retailer's stock valued at $27,000 after buying an additional 170 shares in the last quarter. Elevation Point Wealth Partners LLC bought a new position in shares of Five Below in the second quarter worth about $26,000. Byrne Asset Management LLC bought a new position in shares of Five Below in the first quarter worth about $29,000. Allworth Financial LP increased its stake in shares of Five Below by 333.0% in the second quarter. Allworth Financial LP now owns 420 shares of the specialty retailer's stock worth $55,000 after purchasing an additional 323 shares during the period. Finally, True Wealth Design LLC increased its stake in shares of Five Below by 1,940.9% in the second quarter. True Wealth Design LLC now owns 449 shares of the specialty retailer's stock worth $59,000 after purchasing an additional 427 shares during the period.

About Five Below

Five Below, Inc operates as a specialty value retailer in the United States. The company offers range of accessories, which includes novelty socks, sunglasses, jewelry, scarves, gloves, hair accessories, athletic tops and bottoms, and t-shirts, as well as nail polish, lip gloss, fragrance, and branded cosmetics; and personalized living space products, such as lamps, posters, frames, fleece blankets, plush items, pillows, candles, incense, lighting, novelty décor, accent furniture, and related items, as well as provides storage options.