Key Takeaways VSCO surged 16.5% as its "Path to Potential" strategy drives margin gains and brand resurgence.FIVE rose 14.4% amid rising foot traffic, AI-driven inventory tools and solid multi-income group demand.AEO climbed 13.6%, fueled by Aerie's momentum, cost control and high-impact brand collaborations.After a volatile year defined by persistent inflation, tariff-related complexity, elevated borrowing costs and cautious consumer spending, the broader retail sector appears to be stabilizing, with condi ...

Core Insights - The retail sector is entering 2026 with improved conditions due to easing inflation, stabilizing supply chains, and the Federal Reserve cautiously cutting interest rates after a period of restrictive policy [1][2] Consumer Behavior - Consumer spending remains uneven, with higher-income shoppers focusing on premium products while price-sensitive households prefer discounts and essentials, influencing demand across the retail landscape [2] - Retailers with integrated pricing, loyalty programs, and omnichannel strategies are better positioned to attract customers without sacrificing margins [2] E-commerce and Fulfillment - Physical stores remain dominant, but sustained e-commerce growth is essential, supported by faster delivery and AI-driven recommendations [3] - Companies enhancing online shopping experiences and last-mile delivery are likely to expand their customer base, leveraging a combination of physical and digital channels for competitive advantage [3] Investment Opportunities - Stock selection in 2026 should focus on retailers with structural advantages, combining steady demand drivers with brand strength and operational efficiency [4] - Recommended retail stocks include Five Below, American Eagle Outfitters, The Gap, and Ulta Beauty, which are positioned well amid improving sector conditions [4][8] Company Highlights Five Below - Five Below is strengthening its position as a leading value retailer with a trend-focused product assortment appealing to teens and tweens, showing consistent increases in foot traffic and significant traffic growth through operational innovations [9] - The Zacks Consensus Estimate indicates sales growth of 19.6% for the current year and 8.9% for the next year [10] American Eagle - American Eagle is revitalizing its brands, particularly Aerie and OFFLINE, through impactful marketing and collaborations, leading to strong customer acquisition and operational resilience [12] - The Zacks Consensus Estimate forecasts sales growth of 2.4% for the current year and 2.6% for the next year [13] Gap - Gap is executing a brand reinvigoration strategy, leveraging marketing and partnerships to attract younger demographics while maintaining core customer loyalty [15] - The Zacks Consensus Estimate suggests sales growth of 1.8% for the current year and 2.4% for the next year [16] Ulta Beauty - Ulta Beauty is achieving momentum through its "Ulta Beauty Unleashed" strategy, with a competitive advantage from its diverse brand assortment and successful international expansion [18] - The Zacks Consensus Estimate indicates sales growth of 8.7% for the current year and 5.8% for the next year [19]

Key Takeaways Five Below posted 14.3% comps growth, with gains across departments, customers and income cohorts.FIVE's ticket growth was driven by AUR gains, whole-price strategy and higher average basket size.Net sales rose 23.1% y/y, topping $1B for a second straight quarter as traffic gains accelerated.Five Below, Inc.’s (FIVE) resilient demand trend is supported by sustained customer engagement across its store base. The company’s merchandising execution and in-store experience are driving repeat visits ...

The last time I wrote about Five Below ( FIVE ), I explained why its CEO Winnie Park was doing a great job with her merchandising strategy and why I expected the company toI am a freelance business writer. I formerly wrote articles for the Motley Fool Blogging Network, where I won several editor's choice awards. After that, I wrote articles for the main Motley Fool site. I typically focus on restaurants, retailers, and food manufacturers, considering both growth opportunities and valuation metrics. I usuall ...

PHILADELPHIA, PA, Dec. 22, 2025 (GLOBE NEWSWIRE) -- Five Below, Inc. (NASDAQ: FIVE), the trend-right, high-quality extreme-value retailer for the kid and the kid in all of us, today announced that management is currently scheduled to host a fireside chat at the 2026 ICR Conference in Orlando, Florida, on Monday, January 12, 2026, at 10:00 a.m. Eastern Time. The fireside chat will be webcast live at http://investor.fivebelow.com/. An archived replay will be available two hours after the conclusion of the liv ...

Five Below, Inc. (NASDAQ:FIVE) is one of the stocks Jim Cramer shed light on. Cramer highlighted that the removal of tariffs will benefit the company, as he remarked: “Five Below, a company that’s been on fire, even though its merchandise has been heavily tariffed, would benefit enormously if the tariffs get struck down.” A person with stock market data on a laptop. Photo by Anna Nekrashevich on Pexels Five Below, Inc. (NASDAQ:FIVE) sells a wide range of low-priced essentials, decor, tech accessories, ...

Core Viewpoint - Johnson Fistel, PLLP is investigating potential derivative claims on behalf of Five Below, Inc. regarding alleged breaches of fiduciary duty and violations of state and federal law by certain officers and directors [1] Shareholder Actions - Current shareholders of Five Below, Inc. who held shares continuously before July 16, 2024, may seek corporate governance reforms, return of funds to the Company, and a court-approved incentive award at no cost [2] Background of the Investigation - On July 16, 2024, Five Below, Inc. reported a 5.0% year-over-year decline in comparable sales and reduced fiscal second-quarter 2024 sales expectations, projecting revenue between $820 million and $826 million with an anticipated 6%–7% decrease in comparable sales [2] - The announcement also included the sudden departure of the Company's President and CEO [2] Legal Proceedings - Following the disclosures, Five Below and certain executives were named as defendants in a federal securities class action lawsuit for failing to disclose material adverse information to investors [3] - The court overseeing the case denied the Company's motion to dismiss in part, allowing significant portions of the case to proceed [3] Investigation Focus - Johnson Fistel's investigation is centered on whether Five Below's board of directors and senior management failed to oversee operations and disclosures properly, permitted misleading statements regarding financial performance and sales trends, and exposed the Company to legal, financial, and reputational harm [4]

For those looking to find strong Retail-Wholesale stocks, it is prudent to search for companies in the group that are outperforming their peers. Is Five Below (FIVE) one of those stocks right now? By taking a look at the stock's year-to-date performance in comparison to its Retail-Wholesale peers, we might be able to answer that question.Five Below is a member of the Retail-Wholesale sector. This group includes 196 individual stocks and currently holds a Zacks Sector Rank of #7. The Zacks Sector Rank includ ...

Core Insights - U.S. stock markets have experienced a significant rally in 2023, largely driven by advancements in artificial intelligence, with notable performance from non-tech companies as well [1][2] Group 1: Company Highlights - General Motors Co. (GM) holds a 17% market share as the top-selling U.S. automaker, benefiting from strong demand across its brands and a 10% year-over-year sales increase in China [6][7] - GM's software and services division generated $2 billion in revenue by the end of Q3 2025, with 11 million OnStar subscribers, indicating a shift towards software-led growth [7] - Robinhood Markets Inc. (HOOD) is seeing improved trading activity and higher net interest income, with a focus on product diversification to enhance its market position [10][11] - Expedia Group Inc. (EXPE) operates a robust platform that connects travelers and suppliers, leading to stable demand and increased gross bookings, supported by a strong brand portfolio [13][14] - Dillard's Inc. (DDS) is enhancing its customer base through store and online improvements, with a focus on fashionable merchandise driving traffic and better-than-expected earnings [15][16] - Five Below Inc. (FIVE) is experiencing strong momentum with traffic gains and improved marketing effectiveness, leading to an upward revision of its full-year sales expectations to $4.62-$4.65 billion [18][19] Group 2: Financial Performance and Projections - GM has an expected revenue growth rate of -0.3% and an earnings growth rate of 12.9% for the next year, with a 0.5% improvement in the Zacks Consensus Estimate for earnings [8] - HOOD's expected revenue and earnings growth rates are 21% and 17.9%, respectively, with a 1.8% improvement in the earnings estimate [12] - EXPE's expected revenue and earnings growth rates are 6.3% and 20.8%, respectively, with a 3.2% improvement in the earnings estimate [14] - DDS has an expected revenue growth rate of 0.7% and an earnings decline of -8.2%, with a 5.3% improvement in the earnings estimate [17] - FIVE's expected revenue and earnings growth rates are 8.6% and 5.6%, respectively, with a 1.3% improvement in the earnings estimate [20]

Group 1 - Retailers are extending discounts on various goods, including sports gear and books, to attract price-sensitive consumers amid rising costs and tariffs [2][3] - The average size of discounts on Amazon has slightly decreased from 2024 to 2025, with markdowns rarely exceeding 5% [3] - Major retailers like Target and Lowe's are promoting sales and encouraging consumers to take their time with purchases [5][9] Group 2 - Merchants are providing clear deadlines for holiday orders to ensure timely delivery, with cut-off dates varying by retailer [6] - Up to 20% of items may be available at their lowest prices of the year leading up to Christmas, with average reductions around 20% [7] - Heavily discounted categories include toys, books, games, and apparel, which are expected to remain well discounted [8][9]