Five Below, Inc.FIVE
NasdaqGS•Consumer Cyclical•Specialty Retail
Five Below, Inc. operates as a specialty value retailer in the United States. It offers assortment of classic and novelty candy bars, movie-size box candy, seasonal-related candy, gum, and snack food products, as well as sells chilled drinks through coolers; socks, jewelry, hair accessories, cozy loungewear, and t-shirts; personal care essentials, skincare, fragrance, and branded cosmetics; and party goods, decorations, gag gifts, greeting cards, and every day and special occasion merchandise products. The company also provides personalized living space products, such as lamps, posters, frames, fleece blankets, plush items, pillows, candles, incense, lighting, novelty décor, accent furniture, and related items, as well as provides storage options; assortment of craft activity kits with various arts and crafts supplies, such as markers, paint, canvas, compounds, slime, beads, and stickers; and supplies craft activities and school products. In addition, it offers cell phone cables and chargers, power banks, phone cases and accessories, screen protectors, auto phone accessories, and computer and tablet accessories, as well as earbuds, headphones, and speakers. Further, the company provides assortment of sport balls, sports accessories and fitness products, including hand weights and yoga mats; toys, including brand name board games, puzzles, action figures, construction sets, remote control, collectibles, novelty toys, and plush products; and outdoor toys for the pool and beach. Additionally, it offers seasonally relevant items to use for the occasions and milestones, such as Holiday, Easter, Halloween, Summer, and Back to School. The company was formerly known as Cheap Holdings, Inc. and changed its name to Five Below, Inc. in August 2002. Five Below, Inc. was incorporated in 2002 and is headquartered in Philadelphia, Pennsylvania.
Five Below, Inc. (FIVE) reported trailing twelve months revenue of $5.08B as of May 2026, a 25.9% increase year-over-year. Quarterly revenue reached $1.29B, reflecting continued top-line momentum.
Five Below, Inc. generated $440.55M in TTM net income, with quarterly EBITDA of $205.37M. The operating margin expanded from 5.2% to 12.0%, suggesting improving cost efficiency and pricing discipline.
The spread between operating margin (12.0%) and net margin (9.6%) indicates tight cost control with minimal non-operating drag. Net margin has improved from 4.2% a year ago, signaling stronger bottom-line efficiency.
FIVE trades at a P/E of 28.9x (in line with broad market averages) and a P/S of 2.5x. The price-to-book ratio of 5.5x indicates a significant premium over book value.
The company generated $190.03M in free cash flow over the trailing twelve months, a 97.0% increase year-over-year, indicating cash generation ability. The balance sheet shows $5.06B in total assets with no in long-term debt against $2.31B in stockholders equity. Data based on the most recent quarterly reports.
Competitive analysis based on 21 quarters of fundamental data
Operating margins are under pressure, averaging 8.4%. The business may lack pricing power or face rising costs.'
ROE averages 16.0% but has fluctuated — the competitive advantage may be cyclical or emerging.
5 of the last 8 quarters generated positive FCF. The company generally funds itself but has occasional cash consumption quarters.
TTM revenue has grown consistently (7 of 7 quarters up), with ~36.7% growth over the period. Strong demand durability.
Data-driven red flags and warnings across 21 quarters
The company posted negative operating margins in recent quarters — core operations are unprofitable.
FCF/Net Income has dropped below 0.7x in 3 quarters — monitor for earnings quality deterioration.
Limited debt-to-equity data available.
Revenue is stable or growing over recent quarters — demand appears durable.
FCF turned negative in 3 of the last 8 quarters — occasional cash consumption.
Share count is stable — no significant dilution or buyback activity.