Five Below, Inc. (NASDAQ:FIVE) dropped -2.67% in recent trade and currently has a stock-market value of $5.7B. The shares finished at $101.79, after trading as low as $95.33 earlier in the session. It hit an intraday high Thursday at $109.28. Trading activity significantly improved as the volume at ready counter increased to 4,322,543 shares versus 1,290,025 in average daily trading volume over the past 20 days. So far this year, the volume has averaged about 1,186,859 shares. The stock is now 69.65% above against its bear-market low of $60 on February 06, 2018. It has retreated -33.74% since it’s 52-week high of $136.13 reached in September. Now the market price is up 58.7% on the year and up 53.48% YTD.
FIVE’s 50 day simple moving average (SMA 50) price is $115.67 and its 200-day simple moving average (SMA 200) price is $96.68. The company’s stock currently has a total float of 54.23M shares. Its weekly volatility is hovering around 6.2% and felt 4.68% volatility in price over a month. On the upside, the share price will test short term resistance at around $108.94. On a downside, the stock is likely to find some support, which begins at $94.99. The failure to get near-term support could push it to $88.18.
Separately, it has been reported that multiple insider activity took place at Five Below, Inc. (FIVE). Executive Vice President Makuen David N. sold 12,000 shares for $8,863 in transaction occurred on 2018/10/18. After making this transaction, the Executive Vice President owns a direct stake of 1,397,160 shares, worth $902,165, as per the last closing price. On 2018/09/24 Romanko Michael, EVP of Merchandising at FIVE, dumped 3,308 shares at an average price of $126 per share. The selling total is valued at $1,504,863.
Director, Kaufman Daniel had divested 3,995 shares for $5,047 through a trade on 2018/09/11. Following this activity, the insider holds 532,054 shares worth $513,734 as of recent close. Wall Street’s most bullish Five Below, Inc. (NASDAQ:FIVE) analysts are predicting the share price to blow past $150 per share during the next 12 months. The current median share price forecast by them is $129.5, suggesting that the stock could increase 27.22% in that time frame. The average price target of $127.67 calls for a nearly 25.42% increase in the stock price.
It had seen a positive analyst call from Dougherty & Company, which upgraded the stock from Neutral to Buy on November 26. Analysts at Telsey Advisory Group, started covering the stock on October 24 with a Market Perform rating. Brokerage firm JP Morgan, looks cautious as they stick to prior recommendation of Overweight, in a call on September 24. However, they did change the target price from $150 to $153. Gordon Haskett analysts came out with bullish views on September 07 when the call was made. They think the stock is now Buy compared to to their prior call for Hold.
When looking at valuations, Five Below, Inc. (FIVE) has a cheap P/E of 46.02x as compared to industry average of 65.3x. Moreover, it trades for 32.79 times the next 12 months of expected earnings. Also, it is trading at rather expensive levels at just over 11.17x price/book and 4.05x price/sales. Compared to others, Five Below, Inc. is in a different league with regards to profitability, having net margins of 8.8%. To put some perspective around this, the industry’s average net margin is 4.56%. FIVE’s ROE is 27.2%, which is also considerably better than the industry’s ROE of 13.67%. It’s also very liquid in the near term, with a current ratio of 3. The stock has a debt/capital of 0.
FIVE last reported earnings on December 05, 2018 when it released Oct-18 results that exceeded expectations. The company raked in $0.24 per share, -99.07% change on the same period last year. That was better than consensus for $0.19. Revenue for the recent quarter stood at $312.82 million, up 22% on last year and above the $304.01 million predicted by analysts. For this quarter, Wall Street analysts forecast revenue in a range of $496.2 million to $508.93 million, which should be compared with $0 generated last year.