Why Five Below Stock Was Sinking Today
Shares of Five Below (NASDAQ: FIVE) were falling today after the discount retailer posted disappointing holiday sales numbers and trimmed its earnings guidance. As a result, the stock was down 13.4% as of 12:43 p.m. EST.
Five Below, which sells whimsical items like sunglasses, jewelry, toys, and tech accessories for under $5, said that comparable sales declined 2.6% in the November/December period. Management blamed the poor performance on the shorter holiday season as Thanksgiving was six days later this year, and said that comparable sales during the key holiday selling periods were positive. CEO Joel Anderson still acknowledged, "Overall sales did not meet expectations." Total sales in November and December rose 13.4% to $596.6 million due to the company's rapid store expansion.
Image source: Five Below.
Source Fool.com
