Press Alt+1 for screen-reader mode, Alt+0 to cancelAccessibility Screen-Reader Guide, Feedback, and Issue Reporting | New window
timothy sykes logo

Stock News

Five Below Stock Surges as Q1 Guidance Exceeds Expectations

Timothy SykesAvatar
Written by Timothy Sykes Reviewed by Jack Kellogg Fact-checked by Ellis Hobbs
Updated 5/12/2025, 11:32 am ET 5 min read
Five Below Stock Surges as Q1 Guidance Exceeds Expectations Thumbnail

Five Below Inc.’s stocks have been trading up by 19.32 percent amid strong earnings reports and positive market sentiment.

Key Takeaways

  • The company is raising its Q1 2025 EPS guidance to 82c-84c from 50c-61c, projecting net sales of around $967M, up from $905M-$925M.
  • Five Below plans to open 55 new stores, 5 more than initially planned, anticipating a 6.7% increase in comparable sales, exceeding projections of up to 2%.
  • Analysts raised price targets, with Truist boosting the target to $81 and JPMorgan raising theirs to $80, citing strong performance and leadership changes.
  • Loop Capital increased the price target on Five Below to $90, appreciating the new CEO’s focus on core customers and product improvement.

Candlestick Chart

Live Update At 11:31:58 EST: On Monday, May 12, 2025 Five Below Inc. stock [NASDAQ: FIVE] is trending up by 19.32%! Discover the key drivers behind this movement as well as our expert analysis in the detailed breakdown below.

Quick Financial Overview

Five Below has seen a remarkable uptick in their financial outlook for Q1 2025. The company’s decision to ramp up store openings and revise revenue expectations paints a picture of aggressive growth. With the EPS guidance raised to 82c-84c coupled with net sales anticipated to reach $967M, there’s a palpable sense of optimism. The financial ratios weave a narrative of decent profitability — a gross margin standing at 34.9% and return on equity at 18.03% signal strong financial health.

More Breaking News

In the broader market context, Five Below’s recent price activity illustrates investor confidence. The stock closed at $101.89 on May 12, 2025, after a week of varied trading activity. Notably, the shares hovered above $100, peaking at $107.70. This rally follows the company’s buoyant Q1 predictions. Previous quarters reveal a consistent rise in revenue, evidenced by a total revenue figure of $1390.88M in the most recent quarter. The market’s enthusiasm is further underscored by new store openings — suggesting a winning blend of strategic expansion and consumer demand.

Market Reactions

The cheer surrounding Five Below is not merely speculative. Analysts have responded to these developments with encouraging endorsements. Loop Capital’s increased price target acknowledges the promising prospects under the new CEO, Winnie Park, whose strategic vision seems aligned with growth. The focus on “kid” customers and simplifying product listings could be seen as tactical moves to capture a vibrant market segment.

Amid shifts in top management, adjustments have also been echoed in share evaluations. Truist’s upbeat price target adjustment reflects the buoyancy attributed to solid Easter sales. The Board’s transition toward new chairpersonship hints at evolution within, strengthening the alignment between leadership and market needs. Moreover, the enthusiasm isn’t confined to the Wall Street corridors alone — to consumers and retail traders, these changes promise more than just numbers; they signify an evolving brand that resonates with value and accessibility.

Conclusion

In conclusion, Five Below’s strategic adjustments and robust financial guidance have captivated analysts and traders alike. The company emerges as a beacon of promise in a retail landscape often marred by unpredictability. With astute leadership guiding the helm at Five Below, the narrative is not just about surviving; it’s about thriving. As millionaire penny stock trader and teacher Tim Sykes says, “Be patient, don’t force trades, and let the perfect setups come to you.” Traders will be keenly watching its next moves, with the anticipation that this upward momentum will lead to new highs. The elevated projections and expanding store footprint are clear signals — Five Below is not just keeping pace, it is setting it.

This is stock news, not investment advice. Timothy Sykes News delivers real-time stock market news focused on key catalysts driving short-term price movements. Our content is tailored for active traders and investors seeking to capitalize on rapid price fluctuations, particularly in volatile sectors like penny stocks. Readers come to us for detailed coverage on earnings reports, mergers, FDA approvals, new contracts, and unusual trading volumes that can trigger significant short-term price action. Some users utilize our news to explain sudden stock movements, while others rely on it for diligent research into potential investment opportunities.

Dive deeper into the world of trading with Timothy Sykes, renowned for his expertise in penny stocks. Explore his top picks and discover the strategies that have propelled him to success with these articles:

Once you’ve got some stocks on watch, elevate your trading game with StocksToTrade the ultimate platform for traders. With specialized tools for swing and day trading, StocksToTrade will guide you through the market’s twists and turns.
Dig into StocksToTrade’s watchlists here:

How much has this post helped you?

(0 votes, average: 0 out of 5)
Leave a reply
Author card Timothy Sykes picture

Timothy Sykes

Tim Sykes is a penny stock trader and teacher who became a self-made millionaire by the age of 22 by trading $12,415 of bar mitzvah money. After becoming disenchanted with the hedge fund world, he established the Tim Sykes Trading Challenge to teach aspiring traders how to follow his trading strategies. He’s been featured in a variety of media outlets including CNN, Larry King, Steve Harvey, Forbes, Men’s Journal, and more. He’s also an active philanthropist and environmental activist, a co-founder of Karmagawa, and has donated millions of dollars to charity.
Read More

* Results are not typical and will vary from person to person. Making money trading stocks takes time, dedication, and hard work. There are inherent risks involved with investing in the stock market, including the loss of your investment. Past performance in the market is not indicative of future results. Any investment is at your own risk. See Terms of Service here

The available research on day trading suggests that most active traders lose money. Fees and overtrading are major contributors to these losses.

A 2000 study called “Trading is Hazardous to Your Wealth: The Common Stock Investment Performance of Individual Investors” evaluated 66,465 U.S. households that held stocks from 1991 to 1996. The households that traded most averaged an 11.4% annual return during a period where the overall market gained 17.9%. These lower returns were attributed to overconfidence.

A 2014 paper (revised 2019) titled “Learning Fast or Slow?” analyzed the complete transaction history of the Taiwan Stock Exchange between 1992 and 2006. It looked at the ongoing performance of day traders in this sample, and found that 97% of day traders can expect to lose money from trading, and more than 90% of all day trading volume can be traced to investors who predictably lose money. Additionally, it tied the behavior of gamblers and drivers who get more speeding tickets to overtrading, and cited studies showing that legalized gambling has an inverse effect on trading volume.

A 2019 research study (revised 2020) called “Day Trading for a Living?” observed 19,646 Brazilian futures contract traders who started day trading from 2013 to 2015, and recorded two years of their trading activity. The study authors found that 97% of traders with more than 300 days actively trading lost money, and only 1.1% earned more than the Brazilian minimum wage ($16 USD per day). They hypothesized that the greater returns shown in previous studies did not differentiate between frequent day traders and those who traded rarely, and that more frequent trading activity decreases the chance of profitability.

These studies show the wide variance of the available data on day trading profitability. One thing that seems clear from the research is that most day traders lose money .

Millionaire Media 66 W Flagler St. Ste. 900 Miami, FL 33130 United States (888) 878-3621 This is for information purposes only as Millionaire Media LLC nor Timothy Sykes is registered as a securities broker-dealer or an investment adviser. No information herein is intended as securities brokerage, investment, tax, accounting or legal advice, as an offer or solicitation of an offer to sell or buy, or as an endorsement, recommendation or sponsorship of any company, security or fund. Millionaire Media LLC and Timothy Sykes cannot and does not assess, verify or guarantee the adequacy, accuracy or completeness of any information, the suitability or profitability of any particular investment, or the potential value of any investment or informational source. The reader bears responsibility for his/her own investment research and decisions, should seek the advice of a qualified securities professional before making any investment, and investigate and fully understand any and all risks before investing. Millionaire Media LLC and Timothy Sykes in no way warrants the solvency, financial condition, or investment advisability of any of the securities mentioned in communications or websites. In addition, Millionaire Media LLC and Timothy Sykes accepts no liability whatsoever for any direct or consequential loss arising from any use of this information. This information is not intended to be used as the sole basis of any investment decision, nor should it be construed as advice designed to meet the investment needs of any particular investor. Past performance is not necessarily indicative of future returns.

Citations for Disclaimer

Barber, Brad M. and Odean, Terrance, Trading is Hazardous to Your Wealth: The Common Stock Investment Performance of Individual Investors. Available at SSRN: “Day Trading for a Living?”

Barber, Brad M. and Lee, Yi-Tsung and Liu, Yu-Jane and Odean, Terrance and Zhang, Ke, Learning Fast or Slow? (May 28, 2019). Forthcoming: Review of Asset Pricing Studies, Available at SSRN: “https://ssrn.com/abstract=2535636”

Chague, Fernando and De-Losso, Rodrigo and Giovannetti, Bruno, Day Trading for a Living? (June 11, 2020). Available at SSRN: “https://ssrn.com/abstract=3423101”

ts swipe photo
Join Thousands Profiting From Smart Trades!
TRADE LIKE TIM

We use cookies to provide you with the best online experience. If you continue browsing, we consider that you accept our Cookie Policy , and also agree to the terms of our Privacy Policy and Terms of Use.

notification icon
Subscribe to receive notifications