Five Below (FIVE, $118.29) beats earnings but misses revenue estimates; shares drop after-hours
Five Below shares declined during extended trading, after the company’s second-quarter revenue missed analysts' expectations.
For the quarter ended Aug. 3, Five Below’s net sales increased +20% year-over-year to $417.4 million, falling short of analysts’ estimates of $421.1 million. Comparable-store sales rose +1.4% for the quarter.
However, the discount retail company’s diluted earnings per share of 51 cents surpassed analysts’ expectations of 50 cents. It was also higher compared to the year-ago quarter’s 45 cents.
CEO Joel Anderson mentioned that Five Below had a slower start to summer which affected sales of the company’s seasonal items.
But Anderson also emphasized on Five Below’s strong results from new stores. Anderson said the company opened 44 new stores in 21 states, and is on track to finish the year with 150 new stores.
Looking ahead, Five Below has forecasted third-quarter net sales to range between $369 million and $374 million based on opening 55 new stores and assuming a 2% to 3% increase in comparable sales. Net income is expected to range between $7.6 million and $9.8 million (i.e. diluted EPS of 14 cents to 17 cents) in the third quarter.
FIVE sees MACD Histogram just turned negative
FIVE saw its Moving Average Convergence Divergence Histogram (MACD) turn negative on March 05, 2026. This is a bearish signal that suggests the stock could decline going forward. Tickeron's A.I.dvisor looked at 47 instances where the indicator turned negative. In of the 47 cases the stock moved lower in the days that followed. This puts the odds of a downward move at .
Technical Analysis (Indicators)
Bearish Trend Analysis
The 10-day RSI Indicator for FIVE moved out of overbought territory on March 03, 2026. This could be a bearish sign for the stock. Traders may want to consider selling the stock or buying put options. Tickeron's A.I.dvisor looked at 36 similar instances where the indicator moved out of overbought territory. In of the 36 cases, the stock moved lower in the following days. This puts the odds of a move lower at .
The Stochastic Oscillator may be shifting from an upward trend to a downward trend. In of 55 cases where FIVE's Stochastic Oscillator exited the overbought zone, the price fell further within the following month. The odds of a continued downward trend are .
The Momentum Indicator moved below the 0 level on March 06, 2026. You may want to consider selling the stock, shorting the stock, or exploring put options on FIVE as a result. In of 73 cases where the Momentum Indicator fell below 0, the stock fell further within the subsequent month. The odds of a continued downward trend are .
Following a 3-day decline, the stock is projected to fall further. Considering past instances where FIVE declined for three days, the price rose further in of 62 cases within the following month. The odds of a continued downward trend are .
FIVE broke above its upper Bollinger Band on February 06, 2026. This could be a sign that the stock is set to drop as the stock moves back below the upper band and toward the middle band. You may want to consider selling the stock or exploring put options.
Bullish Trend Analysis
Following a 3-day Advance, the price is estimated to grow further. Considering data from situations where FIVE advanced for three days, in of 304 cases, the price rose further within the following month. The odds of a continued upward trend are .
The Aroon Indicator entered an Uptrend today. In of 270 cases where FIVE Aroon's Indicator entered an Uptrend, the price rose further within the following month. The odds of a continued Uptrend are .
The Tickeron PE Growth Rating for this company is (best 1 - 100 worst), pointing to outstanding earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
The Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating steady price growth. FIVE’s price grows at a higher rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron SMR rating for this company is (best 1 - 100 worst), indicating strong sales and a profitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron Valuation Rating of (best 1 - 100 worst) indicates that the company is slightly overvalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (6.090) is normal, around the industry mean (14.458). P/E Ratio (38.655) is within average values for comparable stocks, (42.420). Projected Growth (PEG Ratio) (1.301) is also within normal values, averaging (3.195). Dividend Yield (0.000) settles around the average of (0.039) among similar stocks. P/S Ratio (2.691) is also within normal values, averaging (4.900).
The Tickeron Profit vs. Risk Rating rating for this company is (best 1 - 100 worst), indicating that the returns do not compensate for the risks. FIVE’s unstable profits reported over time resulted in significant Drawdowns within these last five years. A stable profit reduces stock drawdown and volatility. The average Profit vs. Risk Rating rating for the industry is 85, placing this stock worse than average.
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General Information
a retaier of clothing and other accessories for teens
Industry SpecialtyStores
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