What To Expect From Five Below's (FIVE) Q1 Earnings
Discount retailer Five Below (NASDAQ:FIVE) will be reporting results tomorrow after market hours. Here's what to look for.
Five Below beat analysts' revenue expectations by 1% last quarter, reporting revenues of $1.39 billion, up 4% year on year. It was a mixed quarter for the company, with EPS guidance for next quarter exceeding analysts' expectations but full-year EPS guidance missing analysts' expectations significantly.
Is Five Below a buy or sell going into earnings? Read our full analysis here, it's free.
This quarter, analysts are expecting Five Below's revenue to grow 18.1% year on year to $958.5 million, improving from the 11.8% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.83 per share.
Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Five Below has missed Wall Street's revenue estimates four times over the last two years.
Looking at Five Below's peers in the discount retailer segment, some have already reported their Q1 results, giving us a hint as to what we can expect. Ross Stores delivered year-on-year revenue growth of 2.6%, beating analysts' expectations by 0.5%, and TJX reported revenues up 5.1%, topping estimates by 0.7%. Ross Stores traded down 9.8% following the results while TJX was also down 4%.
Read our full analysis of Ross Stores's results here and TJX's results here.
There has been positive sentiment among investors in the discount retailer segment, with share prices up 10.1% on average over the last month. Five Below is up 43.3% during the same time and is heading into earnings with an average analyst price target of $108.47 (compared to the current share price of $118.65).
Unless you've been living under a rock, it should be obvious by now that generative AI is going to have a huge impact on how large corporations do business. While Nvidia and AMD are trading close to all-time highs, we prefer a lesser-known (but still profitable) semiconductor stock benefiting from the rise of AI. Click here to access our free report on our favorite semiconductor growth story.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Yahoo
20 minutes ago
- Yahoo
Watch These CrowdStrike Price Levels as Stock Drops From Record High on Light Outlook
CrowdStrike shares tumbled on Wednesday after the cybersecurity provider issued a quarterly outlook below Wall Street estimates. The stock broke out from an ascending triangle to hit an all-time high earlier this week in a move that coincided with the relative strength index nudging toward overbought territory. Longer-term bullish momentum was tested on Wednesday. Investors should watch major support levels on CrowdStrike's chart around $455, $390 and $340, while also monitoring a key overhead area near $ (CRWD) shares retreated from their record high on Wednesday after the cybersecurity provider issued a disappointing quarterly revenue outlook. The company reported better-than-expected earnings for its latest quarter and announced a share repurchase program of up to $1 billion. However, CrowdStrike's guidance of fiscal second-quarter revenue of $1.14 billion to $1.15 billion came in below Wall Street Expectations. CrowdStrike shares fell nearly 6% to around $461 on Wednesday, leading Nasdaq decliners. Even with the sharp decline, the stock has gained 50% over the past 12 months, as the cybersecurity giant has recovered from an erroneous software update last July that caused a widespread outage of Windows PCs. Below, we take a closer look at CrowdStrike's chart and use technical analysis to identify major price levels worth watching out for. After forming two closely aligned troughs just below the 200-day moving average, CrowdStrike shares have trended sharply higher, albeit on lackluster trading volume. The stock broke out from an ascending triangle to an all-time high this week in a move that coincided with the relative strength index nudging toward overbought territory. However, longer-term bullish momentum was tested on Wednesday following the cybersecurity provider's soft outlook. Let's identify three major support levels on CrowdStrike's chart where the shares may encounter support and also locate a key overhead area to monitor if the stock resumes its longer-term uptrend. The first lower level to watch sits around $455. This area on the chart would likely provide significant support near the ascending triangle's top trendline and the prominent February swing high. A close below this level could see the shares retrace to the $390 level. The shares may attract support in this location near a trendline that links several peaks that formed on the chart between December and April. Further selling opens the door for a drop to lower support around $340. Investors could see this region, which sits just above the notable March and April troughs, as a longer-term floor given its proximity to a series of lows that developed on the chart from late November to early January. If CrowdStrike shares resume their longer-term uptrend, investors can project an overhead area to monitor by using the measured move technique, also known as the measuring principle. When applied to CrowdStrike's chart, we calculate the distance between the ascending triangle's two trendlines near this widest point and add that amount the pattern's breakout area. For example, we add $55 to $455, which projects a target of $510. The comments, opinions, and analyses expressed on Investopedia are for informational purposes only. Read our warranty and liability disclaimer for more info. As of the date this article was written, the author does not own any of the above securities. Read the original article on Investopedia
Washington Post
24 minutes ago
- Washington Post
Plans for nation's largest ICE detention center halted amid DOGE review
The federal government has paused a plan to issue a $47 million contract for an expanded immigrant detention center in Georgia amid a review of the contract by the U.S. DOGE Service, according to a local official briefed on the matter and documents obtained by The Washington Post. An official from U.S. Immigration and Customs Enforcement informed local officials in Charlton County, Georgia, on Wednesday that the agency was unable to move forward with a plan to reopen a former prison as an immigrant detention facility, County Administrator Glenn Hull said in an interview. The county has scrapped plans to hold a vote on the contract that had been scheduled for Thursday evening. The sizable contract was flagged for review under a federal policy that requires all Department of Homeland Security contracts worth more than $20 million to be reviewed by DOGE, which stands for the Department of Government Efficiency, according to notes from a May 28 meeting of federal agency officials obtained by The Post. The scrutiny of DHS is relatively new for DOGE, the group formerly led by Elon Musk, which has made sweeping changes to the federal government resulting in billions of dollars in canceled contracts and the departure or dismissal of thousands of federal workers. The new detention contract would have created the largest immigrant detention center in the country and a potential hub for housing immigrants arrested throughout the southeast. It would have combined Folkston, an active ICE detention center that can hold up to 1,100 detainees, with D. Ray James, an idle former prison located on an adjacent property that can hold around 1,870 detainees, according to an agenda item posted on the county's website. 'This is a big blow to Charlton County,' Hull said of the paused proposal, which he said would have brought 400 additional jobs to the area. He said the deal is not canceled but would require a 'federal policy change' to resume. The plan's disruption by a DOGE contract review has not been previously reported. DOGE's action also deals a blow to Geo Group, ICE's largest contractor and owner of the Georgia facility. The firm has been expecting a dramatic expansion of its detention business under the Trump administration's immigration crackdown. Tom Homan, the border czar at DHS, was previously paid consulting fees by Geo, according to an ethics disclosure first reported by The Post last week. A spokesman for Geo deferred questions to ICE. A spokeswoman for ICE could not immediately provide a comment. A White House spokeswoman has said that Homan abides by 'the highest ethical standards' and that he has previously told reporters he would recuse himself from discussions of government contracts. Homan has championed a dramatic expansion of the nation's immigrant detention system, which he says needs at least 100,000 beds to accommodate the large numbers of undocumented immigrants the administration plans to deport. ICE has 51,000 detained immigrants and 54,000 'usable beds' for them, according to notes from the meeting last month of federal officials involved with immigration enforcement. Advocates for immigrants have argued that more detention facilities are unnecessary and that the Trump administration is detaining people who pose no harm to the community or risk of absconding. Activists also have opposed plans to expand immigration detention in Georgia. Last year, the actions of Folkston's staff played a role in a 57-year-old detainee not promptly getting to the emergency room while he was having a heart attack, contributing to his death, according to the findings of an investigation by ICE's medical division. Earlier this year, the federal government awarded Geo contracts to reopen facilities in New Jersey for about $60 million a year and in Michigan for about $70 million a year. An agreement to expand detention at Geo facility in Texas is expected to be worth $23 million in annual revenue, the company said. Geo is also hoping to extend its lucrative contract for immigrant ankle monitoring services. On May 30, ICE filed a procurement notice stating that it intended to negotiate a one-year extension with BI Inc., a Geo subsidiary — an extension which could help Geo capitalize on a potential expansion in immigrant monitoring by President Donald Trump. Geo has told investors that it has the ability to grow the immigrant monitoring program to 'upwards of several millions of participants.' Such an expansion could balloon the value of the contract, currently worth about $250 million to $300 million annually, to more than $1 billion, said Joe Gomes, a financial analyst at Noble Capital Markets. It's unclear whether any of these contracts have been reviewed by DOGE. The DOGE team has strangled spending across the federal government since it swept into D.C. at the start of Trump's first administration — including by canceling thousands of contracts. An early target was the Education Department, where DOGE fed sensitive internal financial data into artificial intelligence software to help identify contracts to cut, The Post reported. Their plan was to replicate the process across government, ultimately eliminating every contract not essential to operations or required by law. DOGE has since nixed contracts at at least 22 agencies including the Department of Health and Human Services, the General Services Administration, and the Agriculture Department, according to the group's own online tracker. DOGE's work at Homeland Security has focused on boosting Trump's immigration priorities. In recent months, DOGE has sought to pool federal data across agencies to help the Trump administration identify and deport undocumented immigrants, The Post reported. DHS has been a crucial part of those DOGE-brokered efforts; for example, it asked the Social Security Administration for help with immigration enforcement and tracking down fraudulent use of Social Security numbers. DOGE also has worked with DHS staff to set up Trump's new visa program for wealthy immigrants, The Post reported. The Trump administration and ICE detention companies have said they expect to accelerate contracts for new detention centers when Congress makes more funding available for immigration enforcement. House Republicans last month approved a tax and spending package that included $59 billion for immigrant detention and transportation over five years — several times the current annual budget for detention. The legislation must still pass the Senate. Geo and its main rival, CoreCivic, together own at least 16 idle facilities that they have said they hope to reopen as immigrant detention centers, according to transcripts of analyst calls, investor filings and contract applications. Aaron Schaffer and Dan Keating contributed to this report.
CBS News
26 minutes ago
- CBS News
Couple faces retirement fears amid market swings: "We don't have do-over time"
Dinner at the Gomez home outside Boston provides a textbook image of the sandwich generation: three sets of relatives living under one roof. "A club sandwich has a lot of layers, and we have a lot of layers," 57-year-old Alicia Gomez said. It's not the easiest way to save for retirement, as Gomez and her 59-year-old husband, Chu, told CBS News during an interview last year. Back then, their nest egg was healthy and growing. Stocks were climbing, hitting an all-time high by February of this year. But they cratered as the trade war started, only to climb back and recover most of the losses. "I feel like I'm on a rollercoaster," Alicia Gomez said. "You just hope that if we're gonna be on the downturn now, will we be on the upturn when we decide to retire?" Like millions of Americans, the couple is experiencing waves of an uncertain, see-sawing market. These gyrations can trigger rash decisions, said labor economist Teresa Ghilarducci of the New School for Social Research. "We have a name for living through that kind of volatility, and it's called scarring," Ghilarducci said, stressing the importance of asking the experts in times of financial crisis. "Do not talk to your friends or your family about what to do. Take a breath, take a minute and rely on expert advice," Ghilarducci said. Alicia, who holds down two jobs, had thought maybe she'd cut back work at 62. Chu, who works in logistics, thought it would be at 65. Now, they've adjusted that mindset. "It's probably gonna be 67 at least, but you know, I think there's still a lot of unknowns," Alicia said. Right now, the couple is maxing out their retirement accounts, Chu said, but that could change if they needed to pull back. Adding to their anxiety is the fear that the Social Security system could run dry. There's been a 13% jump this year in people claiming retirement benefits early, despite the reduced payouts, according to the Urban Institute. Ghilarducci strongly advises against that. "Wait for the maximum benefit that you can get. Don't haircut yourself now, anticipating it'll be cut later," she said. The Gomezes say their retirement investments are up by about 3% this year, so they'll simply sit tight and work hard to hold onto their jobs. "A lot of us have been through a lot within, you know, just less than a year. We don't have do-over time," Alicia said.
