Five Below shares gain on strong quarterly results, but analysts warn of tariff impact on margins
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Five Below reported strong Q4 results with sales of $1.39 billion and EPS of $3.48, exceeding analyst expectations. The company provided positive Q1 guidance, but Bank of America warns of potential margin pressures due to tariffs, with 60% of cost of goods sold sourced from China.

March 20, 2025 | 5:30 pm
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Five Below's Q4 performance exceeded expectations, but Bank of America analysts highlight potential margin pressures from Chinese tariffs in fiscal 2025 and 2026.
While the company delivered strong quarterly results and positive guidance, potential tariff-related margin pressures could offset near-term gains. The stock's performance will depend on the company's ability to mitigate these challenges.
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