Five Below Shares Plunge Over 12% After Missing Q1 Estimates & Cutting Guidance

Shares of Five Below (NASDAQ:FIVE) experienced a significant drop of more than 12% intra-day today after the discount retailer reported disappointing first-quarter results and revised its earnings forecast for fiscal 2024 downward.

For Q1, Five Below reported EPS of $0.60, which was below the analyst consensus of $0.63. The company's revenue for the quarter was $811.9 million, missing the projected $835.01 million. Comparable sales for the quarter fell by 2.3%, contrasting sharply with the anticipated increase of 1.42% expected by analysts.

Looking ahead to the second quarter of 2024, management projects EPS to be between $0.57 and $0.69, which is significantly lower than the Street estimate of $0.99. The company expects revenue to range from $830 million to $850 million, falling short of analyst expectations of $883 million.

For the full 2024-year, Five Below now forecasts EPS to be between $5.00 and $5.40, a reduction from the previous range of $5.71 to $6.22, and below the Street estimate of $6.00. The company anticipates annual revenue to be between $3.79 billion and $3.87 billion, down from the earlier forecast of $3.97 billion to $4.07 billion, with analysts expecting $4.03 billion.