Insiders Trim Positions in Five Below Stock After 39% Run-Up

Key Points Shares of specialty discount retailer Five Below have been on a tear over the past year. Two Five Below insiders sold a slew of shares shortly after a strong Q2 earnings report. Even so, the stock still looks like a solid buy today after its big run-up. 10 stocks we like better than Five Below › Five Below (NASDAQ: FIVE) , the discount retail chain, has had a pretty good summer. The stock price has surged some 39% over the past two months to around $245 per share. It hit an all-time closing high of $262 per share on Aug. 24 and has returned about 68% over the past 12 months, including a 30% year-to-date return. This past week, two Five Below insiders sold a slew of shares, according to Securities and Exchange Commission (SEC) filings. On Sept. 4, Director Michael Devine sold roughly 4,250 shares in two batches. He sold about 3,400 shares for $250.44 per share and then sold 850 shares for $251.28 per share. The total value of the sales was about $1.1 million. Missed Nvidia in 2009? This Rare Signal Is Flashing Again. In 2009, a "Double Down" signal flashed for a little-known chipmaker called Nvidia. For the first time in years, that same "Total Conviction" signal is flashing for a company 1/100th the size of Nvidia. Continue » Devine still holds 12,953 shares of company stock which, at the current share price of $243, would be approximately $3.1 million. Image source: Getty Images. On the same day, Chief Operating Officer Kenneth Bull sold about 1,510 shares in a series of transactions. The share price at the time of sale had ranged from $240 per share to $255 per share in what was a wild day of trading. At an average share price of $248 per share, the total amount sold was roughly $2.6 million. Bull still holds about 75,064 shares which, at the current share price of $243, would be approximately $18.2 million. Surging sales The insider sales came shortly after the retail stock posted strong second-quarter earnings results on Sept. 2. Net sales spiked 23% to $1.3 billion while comparable store sales surged 14% year over year. In addition, the chain opened 52 net new stores and ended the quarter with 2,022 stores in 46 states, up 9% year over year. Adjusted operating income soared 105% to $113 million, while adjusted net income rose 108% to $93.4 million, or $1.68 per share. In addition, Five Below raised its guidance for the full fiscal year. It now expects $5.63 billion to $5.71 billion in net sales, up from the previous range of $5.4 billion to $5.48 billion. Comp sales are anticipated to grow 10% to 12%, up from the previous range of 6% to 8%, and adjusted earnings per share are targeted for $9.83 to $10.31, up from the previous target of $8.65 to $9.05. Management also launched a $600 million share buyback program. Should you buy or sell Five Below? Five Below stock got a slew of analyst price target upgrades after the earnings and outlook were released. Most notably, Morgan Stanley boosted it by $65 to $300 per share while UBS raised it $40 to $325 per share. Some 67% of Wall Street analysts rate Five Below stock as a buy with a median price target of $300 per share. That would suggest 24% upside. Five Below does indeed look like a solid buy as it's still at a decent valuation, even after such a big spike in the share price. It is trading at 22 times earnings, 23 times forward earnings, and has a PEG ratio of 0.98. indicating its relative long-term value. Should you buy stock in Five Below right now? Before you buy stock in Five Below, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Five Below wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $417,413 !* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,341,294 !* Now, it’s worth noting Stock Advisor’s total average return is 950 % — a market-crushing outperformance compared to 212% for the S&P 500. Don't miss the latest top 10 list, available with Stock Advisor , and join an investing community built by individual investors for individual investors. See the 10 stocks » *Stock Advisor returns as of September 13, 2026. Dave Kovaleski has no position in any of the stocks mentioned. The Motley Fool recommends Five Below. The Motley Fool has a disclosure policy .

Shares of specialty discount retailer Five Below have been on a tear over the past year.

Two Five Below insiders sold a slew of shares shortly after a strong Q2 earnings report.

Even so, the stock still looks like a solid buy today after its big run-up.

Five Below (NASDAQ: FIVE) , the discount retail chain, has had a pretty good summer. The stock price has surged some 39% over the past two months to around $245 per share. It hit an all-time closing high of $262 per share on Aug. 24 and has returned about 68% over the past 12 months, including a 30% year-to-date return.

This past week, two Five Below insiders sold a slew of shares, according to Securities and Exchange Commission (SEC) filings. On Sept. 4, Director Michael Devine sold roughly 4,250 shares in two batches. He sold about 3,400 shares for $250.44 per share and then sold 850 shares for $251.28 per share. The total value of the sales was about $1.1 million.

Missed Nvidia in 2009? This Rare Signal Is Flashing Again. In 2009, a "Double Down" signal flashed for a little-known chipmaker called Nvidia. For the first time in years, that same "Total Conviction" signal is flashing for a company 1/100th the size of Nvidia. Continue »

Devine still holds 12,953 shares of company stock which, at the current share price of $243, would be approximately $3.1 million.