Summary:
- Five Below (FIVE, Financial) raises Q1 revenue forecast to $967 million, significantly beating expectations.
- Earnings per share are predicted between $0.82 to $0.84, surpassing the consensus of $0.56.
- The retailer plans to expand aggressively with 55 new stores and a projected 6.7% rise in comparable sales.
In an exciting turn for Five Below (NASDAQ: FIVE), the stock soared by 11.3% following the company’s announcement of a raised first-quarter revenue forecast. The revised prediction of $967 million far exceeds the earlier expectation of $914 million. Furthermore, earnings per share are now estimated to fall between $0.82 and $0.84, outperforming the previous consensus of $0.56. This upward trajectory is reinforced by the retailer's ambitious expansion plans to open 55 new stores this quarter, up from the initial 50, and a robust projected comparable sales increase of 6.7%. In terms of leadership, co-founder Tom Vellios is transitioning to an advisory role, while Mike Devine takes on the position of non-executive Chair of the Board.
Wall Street Analysts' Forecast
Analysts are optimistic about the future of Five Below Inc (FIVE, Financial). The average one-year price target among 18 analysts is set at $98.17, with a high estimate of $138.00 and a low of $65.00. This represents a potential upside of 30.26% from the current stock price of $75.36. Investors can explore further detailed estimates on the Five Below Inc (FIVE) Forecast page.
The consensus from 23 brokerage firms classifies Five Below Inc's (FIVE, Financial) average recommendation as 2.5, which indicates an "Outperform" status. This rating scale ranges from 1 to 5, where 1 equates to a Strong Buy and 5 to a Sell.
According to GuruFocus estimates, the GF Value for Five Below Inc (FIVE, Financial) is projected at $225.85 in one year, suggesting a remarkable upside of 199.69% from the current price of $75.36. The GF Value is an assessment of the stock's fair value, calculated based on historical trading multiples, previous business growth, and future performance projections. Investors can gain more insights by visiting the Five Below Inc (FIVE) Summary page.
