Five Below (FIVE, $160.20) issues guidance below Street expectations
Five Below posted its 2022 guidance that was below consensus, leading to the its shares tumbling on Wednesday.
For the fourth quarter, the discount retail company posted diluted earnings of $2.49 a share, compared to consensus of $2.48 a share. Revenue of $996.3 million was slightly below analysts’ forecasts of $1 billion.
The company’s full-year revenue rose +45.2% to $2.85 billion. Earnings per share in the year were $4.95. Both figures were in line with analysts’ expectations.
For the fiscal first quarter of 2022, discount retail company is expecting revenue to range between $644 million and $658 million, assuming a flat to 2% decrease in comparable sales. Analysts surveyed by FactSet expect first-quarter revenue of $687 million. The company projects earnings in the range of 54 cents and 62 cents a share, vs. Wall Street consensus of 89 cents.
The outlook from the company reflected pandemic-driven delays in construction that have resulted in a shift of stores into the second half of the 2022 fiscal year and the first half of 2023. It also includes the ongoing inflationary pressures, according to the company.
FIVE in downward trend: price dove below 50-day moving average on May 19, 2023
FIVE moved below its 50-day moving average on May 19, 2023 date and that indicates a change from an upward trend to a downward trend. In of 53 similar past instances, the stock price decreased further within the following month. The odds of a continued downward trend are .
Technical Analysis (Indicators)
Bearish Trend Analysis
The Momentum Indicator moved below the 0 level on May 19, 2023. You may want to consider selling the stock, shorting the stock, or exploring put options on FIVE as a result. In of 83 cases where the Momentum Indicator fell below 0, the stock fell further within the subsequent month. The odds of a continued downward trend are .
The Moving Average Convergence Divergence Histogram (MACD) for FIVE turned negative on May 19, 2023. This could be a sign that the stock is set to turn lower in the coming weeks. Traders may want to sell the stock or buy put options. Tickeron's A.I.dvisor looked at 54 similar instances when the indicator turned negative. In of the 54 cases the stock turned lower in the days that followed. This puts the odds of success at .
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 .
The Aroon Indicator for FIVE entered a downward trend on May 23, 2023. This could indicate a strong downward move is ahead for the stock. Traders may want to consider selling the stock or buying put options.
Bullish Trend Analysis
The RSI Indicator shows that the ticker has stayed in the oversold zone for 3 days. The price of this ticker is presumed to bounce back soon, since the longer the ticker stays in the oversold zone, the more promptly an Uptrend is expected.
The Stochastic Oscillator shows that the ticker has stayed in the oversold zone for 6 days. The price of this ticker is presumed to bounce back soon, since the longer the ticker stays in the oversold zone, the more promptly an upward trend is expected.
Following a 3-day Advance, the price is estimated to grow further. Considering data from situations where FIVE advanced for three days, in of 334 cases, the price rose further within the following month. The odds of a continued upward trend are .
FIVE may jump back above the lower band and head toward the middle band. Traders may consider buying the stock or exploring call options.
Fundamental Analysis (Ratings)
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 Profit vs. Risk Rating rating for this company is (best 1 - 100 worst), indicating low risk on high returns. The average Profit vs. Risk Rating rating for the industry is 77, placing this stock better than average.
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 Price Growth Rating for this company is (best 1 - 100 worst), indicating fairly steady price growth. FIVE’s price grows at a lower rate over the last 12 months as compared to S&P 500 index constituents.
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 (6.920) is normal, around the industry mean (20.145). P/E Ratio (36.101) is within average values for comparable stocks, (24.657). Projected Growth (PEG Ratio) (1.246) is also within normal values, averaging (2.449). FIVE has a moderately low Dividend Yield (0.000) as compared to the industry average of (0.038). P/S Ratio (3.068) is also within normal values, averaging (69.641).
Notable companies
Industry description
Market Cap
High and low price notable news
Volume
Fundamental Analysis Ratings
The average fundamental analysis ratings, where 1 is best and 100 is worst, are as follows
General Information
a retaier of clothing and other accessories for teens
Industry SpecialtyStores
FIVE and
Correlation & Price change
A.I.dvisor indicates that over the last year, FIVE has been closely correlated with RH. These tickers have moved in lockstep 69% of the time. This A.I.-generated data suggests there is a high statistical probability that if FIVE jumps, then RH could also see price increases.
| Ticker / NAME | Correlation To FIVE | 1D Price Change % | ||
|---|---|---|---|---|
| FIVE | 100% | -1.84% | ||
| RH - FIVE | 69% Closely correlated | -0.14% | ||
| FND - FIVE | 65% Loosely correlated | +1.27% | ||
| BBY - FIVE | 63% Loosely correlated | +0.32% | ||
| WSM - FIVE | 61% Loosely correlated | +0.38% | ||
| HD - FIVE | 60% Loosely correlated | +1.74% | ||
More | ||||
