Deutsche Bank Starts Five Below (FIVE) at Buy; Going For Gold
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Price: $38.92 -1.24%
Rating Summary:
3 Buy, 7 Hold, 0 Sell
Rating Trend:
Up
Today's Overall Ratings:
Up: 13 | Down: 28 | New: 14
Rating Summary:
3 Buy, 7 Hold, 0 Sell
Rating Trend:
Up
Today's Overall Ratings:
Up: 13 | Down: 28 | New: 14
Trade FIVE Now!
Deutsche Bank initiates coverage on Five Below (NASDAQ: FIVE) with a Buy. PT $40.00.
Deutsche analyst said, "Few retailers hold the investment attributes that Five exhibits - (1) 25%+ unit growth, (2) HSD/LDD SSS growth led by traffic, (3) sizeable EBIT margin upside with a 4% fixed cost hurdle rate, & (4) a 30% LT EPS CAGR. Even with the stock up ~88% since its IPO on 7/18, we don't think FIVE looks back - see the post IPO performance of Dollar General (NYSE: DG), GNC (NYSE: GNC), Vitamin Shoppe (NYSE: VSI), & The Fresh Market (NYSE: TFM) as parallels in our space. Finally, while valuation is the biggest hurdle for most, we're willing to pay up for the growth that lies ahead for the team from Philly."
For an analyst ratings summary and ratings history on Five Below click here. For more ratings news on Five Below click here.
Shares of Five Below closed at $32.51 yesterday, with a 52 week range of $25.00-$33.97.
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Deutsche analyst said, "Few retailers hold the investment attributes that Five exhibits - (1) 25%+ unit growth, (2) HSD/LDD SSS growth led by traffic, (3) sizeable EBIT margin upside with a 4% fixed cost hurdle rate, & (4) a 30% LT EPS CAGR. Even with the stock up ~88% since its IPO on 7/18, we don't think FIVE looks back - see the post IPO performance of Dollar General (NYSE: DG), GNC (NYSE: GNC), Vitamin Shoppe (NYSE: VSI), & The Fresh Market (NYSE: TFM) as parallels in our space. Finally, while valuation is the biggest hurdle for most, we're willing to pay up for the growth that lies ahead for the team from Philly."
For an analyst ratings summary and ratings history on Five Below click here. For more ratings news on Five Below click here.
Shares of Five Below closed at $32.51 yesterday, with a 52 week range of $25.00-$33.97.
Join StreetInsider.com FREE and get immediately alerted when news breaks on your stocks and other market items - JOIN NOW
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