Five Below Inc. (NASDAQ: FIVE) stock jumped 0.94% on Wednesday to $161.27 against a previous-day closing price of $159.77. With 0.55 million shares changed hands, the volume of the stock remained lighter than its average volume of 0.89 million shares. During the session, the Specialty Retail company that operates in wider Consumer Cyclical sector, reached to the highest price of $163.26 whereas the lowest price it dropped to was $159.31. The 52-week range on FIVE shows that it touched its highest point at $215.89 and its lowest point at $109.49 during that stretch. It currently has a 1-year price target of $163.85. Beta for the stock currently stands at 1.16.
Price Performance and Earnings:
Stock performance is one of the indicators that investors use to determine whether they will profit from a stock. The price performance of FIVE was up-trending over the past week, with a rise of 7.68%, but this was up by 8.97% over a month. Three-month performance surged to 20.17% while six-month performance rose 33.40%. The stock lost -23.79% in the past year, while it has lost -22.05% so far this year. A look at the trailing 12-month EPS for FIVE yields 4.25 with Next year EPS estimates of 5.55. For the next quarter, that number is 0.14. This implies an EPS growth rate of 125.00% for this year and 26.00% for next year. EPS is expected to grow by 12.60% annually over the next five years; however, over the past five years, the company experienced an annual growth rate of 30.60%.
Float and Shares Shorts:
At present, 55.50 million FIVE shares are outstanding with a float of 54.16 million shares on hand for trading. On Oct 13, 2022, short shares totaled 4.84 million, which was 8.71% higher than short shares on Sep 14, 2022. In addition to Mr. Thomas G. Vellios as the firm’s Co-Founder & Non-Exec. Chairman, Mr. Joel D. Anderson serves as its Pres, CEO & Director.
Through their ownership of 110.16% of FIVE’s outstanding shares, institutional investors have majority control over the company. Other institutions hold 63.93% of FIVE, in contrast to 44.96% held by mutual funds. Shares owned by individuals account for 39.64%. As the largest shareholder in FIVE with 11.75% of the stake, Fidelity Management & Research Co holds 6,522,608 shares worth 6,522,608. A second-largest stockholder of FIVE, The Vanguard Group, Inc., holds 4,828,786 shares, controlling over 8.70% of the firm’s shares. BlackRock Fund Advisors is the third largest shareholder in FIVE, holding 4,278,005 shares or 7.71% stake. With a 3.00% stake in FIVE, the iShares Core S&P Mid Cap ETF is the largest stakeholder. A total of 1,667,574 shares are owned by the mutual fund manager. The Vanguard Total Stock Market Index, which owns about 2.84% of FIVE stock, is the second-largest Mutual Fund holder. It holds 1,577,561 shares valued at 230.88 million. Vanguard Small Cap Index Fund holds 2.45% of the stake in FIVE, owning 1,360,234 shares worth 199.07 million.
Reading analyst opinions is an effective way to decide where to invest, and there are several opinions available for FIVE since 22 analysts follow the stock currently. There are 16 analysts who recommend BUY ratings, while 0 suggest SELL ratings. Of the remaining analysts, 4 believe that the stock is worth HOLDING, 2 give it an OVERWEIGHT rating, and 0 thinks that it’s UNDERWEIGHT. In the same way, a target price assigned to a stock can also reveal much about its potential. With FIVE analysts setting a high price target of $205.00 and a low target of $125.00, the average target price over the next 12 months is $164.95. Based on these targets, FIVE could surge 27.12% to reach the target high and fall by -22.49% to reach the target low. Reaching the average price target will result in a growth of 2.28% from current levels.
EPS: Estimates vs Actual
It is also common to use earnings estimates to evaluate a firm’s growth potential and to determine trading strategy. FIVE will report FY 2023 earnings on 03/22/2023. Analysts have provided yearly estimates in a range of $4.54 being high and $4.26 being low. For FIVE, this leads to a yearly average estimate of $4.40. The earnings surprise of a firm occurs when the actual results change from the consensus earnings estimate. Five Below Inc. surprised analysts by -$0.04 when it reported $0.74 EPS against a consensus estimate of $0.78. The surprise factor in the prior quarter was $0.01. Based on analyst estimates, the high estimate for the next quarter is $0.21 and the low estimate is $0.10. The average estimate for the next quarter is thus $0.14.
Summary of Insider Activity:
Insiders traded FIVE stock several times over the past three months with 6 Buys and 1 Sells. In these transactions, 1,079 shares were bought while 550 shares were sold. The number of buy transactions has increased to 37 while that of sell transactions has risen to 18 over the past year. The total number of shares bought during that period was 39,093 while 47,131 shares were sold.