Evercore ISI Group Raises Five Below Price Target to $132

Evercore ISI Group raised its price target for Five Below (FIVE) to $132, a 2.33% increase, and maintained its "In-Line" rating. The adjustment reflects the company's dynamic performance expectations in the retail sector. Based on 18 analysts' one-year price targets, the average target price is $136.02, with an upside of 3.09% from the current price.

Evercore ISI has increased its price target for Five Below (NASDAQ: FIVE) to $132, a 2.33% increase from the previous target. The firm maintains an "In-Line" rating, reflecting its expectations for the company's dynamic performance in the retail sector. This adjustment comes on the heels of Five Below's strong Q1 FY2025 performance, which showed signs of a genuine turnaround after a challenging 2024.

Five Below reported a robust revenue growth of 19.5% to $970.5 million in the first quarter of FY2025, significantly outperforming its peers in the retail sector. This growth was driven by a 7.1% increase in comparable sales, with a 6.2% rise in transactions and a 0.9% increase in average ticket size, indicating a growing customer base and strong brand loyalty [2].

The company's gross margin expanded by 140 basis points year-over-year to 32.8%, reflecting better inventory management and more efficient fixed cost leverage. Adjusted gross profit rose by 24.6% to $328.4 million, and earnings per share (EPS) surged 43% to $0.86, demonstrating strong financial performance [2].

Evercore ISI's price target increase is based on the company's strategic initiatives, such as the introduction of higher-priced items under the "Five Beyond" strategy and the recent partnership with Uber for expanded delivery and digital reach. These moves have helped Five Below maintain its value-driven model while expanding its price ladder and increasing accessibility to younger consumers [2].

Based on 18 analysts' one-year price targets, the average target price is $136.02, with an upside of 3.09% from the current price. Despite the strong performance, risks remain, including consumer sensitivity to price changes and exposure to tariffs [2]. Five Below's core demographic is price-sensitive, and any macroeconomic shocks could impact traffic. Tariffs and shipping costs also pose risks, despite the company's proactive measures to mitigate these issues [2].

In conclusion, Evercore ISI's price target increase for Five Below reflects the company's strong growth prospects and strategic execution. Investors should monitor the company's ability to maintain this momentum and navigate potential risks.

References:
[1] https://za.investing.com/news/analyst-ratings/the-trade-desk-stock-price-target-lowered-to-80-at-evercore-isi-93CH-3828502
[2] https://www.ainvest.com/news/upgraded-buy-hold-loop-capital-pt-165-2508/
[3] https://www.benzinga.com/quote/FIVE/analyst-ratings
[4] https://www.marketbeat.com/instant-alerts/us-foods-holding-corp-nyseusfd-receives-consensus-rating-of-buy-from-brokerages-2025-08-11/