3 models fit Five Below Inc. Common Stock and they disagree: 1 of 3 land within 15% of the average. The price is above every model.
Two or more of our models back this value.
Large premium(i)Bronze59
Valued as a growth company: Discounted cash flow, P/E comparison, and EV/EBITDA comparison.
ACCE opinionFive Below Inc. Common Stock (FIVE)
Fair value (3 models)
$117
ACCE price target
$242
Rating
Overvalued
Horizon
12 months
Fair value published on 21 Oct 2026, 11:06 CEST; previously $130 since 16 Oct 2026, 00:00 CEST.
ACCE price target published on 18 Oct 2026, 01:52 CEST; previously $225 since 26 Sept 2026, 00:00 CEST.
Rating published on 21 Oct 2026, 11:06 CEST.
Price used: $223 at the close on 23 Oct 2026, 22:00 CEST.
Models: Discounted cash flow, P/E comparison, and EV/EBITDA comparison.
Fair value: the average of the applicable valuation models (discounted cash flow, multiples, residual income, dividend discount, shareholder yield), each run on the latest financial statements and the market price shown. Opinion columns (fair value, target, rating) are shown apart from the data. Full methodology: acceinvestments.com/data/how-we-value-stocks
Conflicts of interest: The author holds no personal position in this security. General statement
Produced by ACCE Investments (acceinvestments.com)
Data
Price vs fair value
90.4% above
-47.5% to fair value
ACCE score
72
out of 100
Analysts
65% buy
26 covering
P/E
20.1x
forward 22.1x
1-year return
+42.1%
Dividend yield
0.00%
Five Below Inc. Common Stock in four questions
Plain answers, details below
Free accounts get 5 full stock pages a month, including the four answers.
Overview
ACCE thesis
Five Below sells everything at or under $5, plus a growing $5-to-$25 "Five Beyond" format, through roughly 1,500 small-box stores aimed at teens, tweens and their parents. Its edge is a treasure-hunt assortment that rotates constantly, which keeps shoppers returning and lets it buy closeout and off-price merchandise at prices competitors can't match. Revenue growth of 22.9% is well ahead of most specialty retailers, and the 28.2% return on equity says the store base is earning its keep. The key question is whether that growth rate survives a consumer slowdown, with the 8.9% operating margin against a 37.6% gross margin showing how much of the profit depends on keeping costs under control. At 19.1x trailing earnings and 19.3x forward, the market is pricing in that growth continuing without assigning it a premium, which is worth a closer look.