Latest Ratios: P/E Ratio 35.2x · EV/EBITDA 21.4x · ROE 17.9%. (2010–2025 historical series)
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $12.6B | $10.7B | $5.2B | $10.0B | $11.0B | $9.2B | $9.9B | $6.4B | $7.0B | $3.6B | $2.2B |
| Enterprise Value | $13.9B | $12.0B | $6.8B | $11.5B | $12.2B | $10.5B | $10.7B | $7.1B | $6.7B | $3.5B | $2.1B |
| P/E Ratio → | 35.20 | 29.67 | 20.39 | 33.17 | 42.03 | 33.13 | 79.88 | 36.29 | 46.52 | 35.29 | 30.65 |
| P/S Ratio | 2.64 | 2.24 | 1.33 | 2.80 | 3.57 | 3.24 | 5.02 | 3.44 | 4.46 | 2.82 | 2.20 |
| P/B Ratio | 5.76 | 4.86 | 2.86 | 6.30 | 8.07 | 8.24 | 11.17 | 8.37 | 11.31 | 7.87 | 6.63 |
| P/FCF | 30.54 | 25.88 | 48.50 | 60.65 | 174.51 | 232.33 | 59.43 | — | 98.79 | 36.23 | 35.53 |
| P/OCF | 21.44 | 18.17 | 12.01 | 19.98 | 34.89 | 28.16 | 26.92 | 34.00 | 37.78 | 21.55 | 20.60 |
P/E links to full P/E history page with 30-year chart
Enterprise-value multiples — capital-structure-neutral measures of total business value
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 2.51 | 1.76 | 3.24 | 3.95 | 3.68 | 5.45 | 3.85 | 4.30 | 2.73 | 2.12 |
| EV / EBITDA | 21.37 | 18.42 | 13.89 | 22.35 | 26.97 | 22.53 | 47.70 | 26.10 | 29.32 | 18.33 | 15.08 |
| EV / EBIT | 30.35 | 24.90 | 20.14 | 28.77 | 34.97 | 28.28 | 69.07 | 32.70 | 35.82 | 22.21 | 18.61 |
| EV / FCF | — | 29.06 | 63.97 | 70.13 | 193.00 | 263.38 | 64.50 | — | 95.22 | 35.09 | 34.30 |
Margins and return-on-capital ratios measuring operating efficiency
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 32.0% | 32.0% | 34.9% | 35.8% | 35.6% | 36.2% | 33.2% | 36.5% | 36.2% | 36.3% | 35.7% |
| Operating Margin | 9.6% | 9.6% | 8.4% | 10.8% | 11.2% | 13.3% | 7.9% | 11.8% | 12.0% | 12.3% | 11.4% |
| Net Profit Margin | 7.5% | 7.5% | 6.5% | 8.5% | 8.5% | 9.8% | 6.3% | 9.5% | 9.6% | 8.0% | 7.2% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | 17.9% | 17.9% | 14.9% | 20.4% | 21.1% | 27.9% | 15.0% | 25.5% | 27.9% | 25.9% | 24.9% |
| ROA | 7.3% | 7.3% | 6.2% | 8.4% | 8.4% | 10.7% | 5.8% | 12.0% | 18.2% | 17.1% | 16.1% |
| ROIC | 9.9% | 9.9% | 7.4% | 10.2% | 10.6% | 14.0% | 7.2% | 17.4% | 39.6% | 39.3% | 38.3% |
| ROCE | 11.2% | 11.2% | 9.6% | 13.1% | 13.8% | 18.2% | 8.9% | 18.8% | 30.4% | 34.4% | 33.8% |
Solvency and debt-coverage ratios — lower is generally safer
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | 0.93 | 0.93 | 1.10 | 1.10 | 1.10 | 1.16 | 1.26 | 1.25 | — | — | — |
| Debt / EBITDA | 3.13 | 3.13 | 4.03 | 3.37 | 3.32 | 2.80 | 4.95 | 3.48 | — | — | — |
| Net Debt / Equity | — | 0.60 | 0.91 | 0.98 | 0.85 | 1.10 | 0.95 | 0.98 | -0.41 | -0.25 | -0.23 |
| Net Debt / EBITDA | 2.01 | 2.01 | 3.36 | 3.02 | 2.58 | 2.66 | 3.75 | 2.74 | -1.10 | -0.59 | -0.54 |
| Debt / FCF | — | 3.18 | 15.47 | 9.47 | 18.49 | 31.05 | 5.08 | — | -3.58 | -1.13 | -1.23 |
| Interest Coverage | — | — | — | — | — | 106.47 | 89.17 | — | — | — | — |
Short-term solvency ratios and asset-utilisation metrics
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 2.01 | 2.01 | 1.79 | 1.68 | 1.77 | 1.54 | 1.73 | 1.89 | 2.54 | 2.91 | 2.92 |
| Quick Ratio | 1.12 | 1.12 | 0.91 | 0.86 | 0.89 | 0.77 | 1.09 | 0.97 | 1.57 | 1.78 | 1.59 |
| Cash Ratio | 0.98 | 0.98 | 0.70 | 0.64 | 0.66 | 0.58 | 0.94 | 0.74 | 1.33 | 1.49 | 1.32 |
| Asset Turnover | — | 0.86 | 0.89 | 0.92 | 0.93 | 0.99 | 0.85 | 0.94 | 1.64 | 1.84 | 2.00 |
| Inventory Turnover | 3.83 | 3.83 | 3.83 | 3.91 | 3.75 | 3.99 | 4.66 | 3.62 | 4.08 | 4.36 | 4.17 |
| Days Sales Outstanding | — | — | 0.44 | 0.50 | 1.06 | 1.45 | 1.18 | — | — | — | — |
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | — | — | — | — | — | — | — | — | — | — | — |
| Payout Ratio | — | — | — | — | — | — | — | — | — | — | — |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 2.8% | 3.4% | 4.9% | 3.0% | 2.4% | 3.0% | 1.3% | 2.8% | 2.1% | 2.8% | 3.3% |
| FCF Yield | 3.3% | 3.9% | 2.1% | 1.6% | 0.6% | 0.4% | 1.7% | — | 1.0% | 2.8% | 2.8% |
| Buyback Yield | 0.0% | 0.0% | 0.9% | 1.0% | 0.4% | 0.7% | 0.2% | 0.7% | 0.1% | 0.0% | 0.1% |
| Total Shareholder Yield | 0.0% | 0.0% | 0.9% | 1.0% | 0.4% | 0.7% | 0.2% | 0.7% | 0.1% | 0.0% | 0.1% |
| Shares Outstanding | — | $56M | $55M | $56M | $56M | $56M | $56M | $56M | $56M | $56M | $55M |
Includes 30+ ratios · 16 years · Updated daily
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Quick answers to the most common questions about buying FIVE stock.
Five Below, Inc.'s current P/E ratio is 35.2x. The historical average is 40.0x. This places it at the 46th percentile of its historical range.
Five Below, Inc.'s current EV/EBITDA is 21.4x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 23.7x.
Five Below, Inc.'s return on equity (ROE) is 17.9%. The historical average is 24.8%.
Based on historical data, Five Below, Inc. is trading at a P/E of 35.2x. This is at the 46th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.
Five Below, Inc. has 32.0% gross margin and 9.6% operating margin.
Five Below, Inc.'s Debt/EBITDA ratio is 3.1x, indicating high leverage. A ratio between 2-4x is manageable but warrants monitoring.
Key Metrics
Top Statement Risk
Margin sustainability from trend-driven inventory
Metrics are mathematically derived from official filings.
Premium Multiple Reflects Growth Expectations
Five Below trades at a significant premium to its discount retail peers, with a P/E of 39.04 and EV/EBITDA of 23.48, suggesting the market is pricing in sustained high growth rather than a mature, low-margin discount model.
The company's valuation multiples are substantially higher than peers like Dollar Tree (P/E 22.12) and Dollar General (P/E 19.45), indicating investors are paying for a growth story. The PEG ratio of 1.62 suggests the premium is partially justified by expected earnings growth, but the valuation leaves little room for execution missteps. This pricing appears to reflect a belief that Five Below is a unique 'social trend' retailer, not a traditional defensive dollar store.
Gross Margin Surge Signals Structural Shift
Gross margin expanded dramatically to 48.5% in Q2 2026, a significant leap from the 32.7% reported in Q2 2024, suggesting a potential structural improvement in the business model's earning power.
This margin expansion, far exceeding the historical 30-40% range, appears to be driven by the successful 'Five Beyond' initiative and favorable input costs. The resulting 17.6% net margin in Q2 2026 demonstrates powerful operating leverage, as SG&A as a percentage of revenue has also improved. However, the sustainability of this new margin level is the key question, as it represents a significant departure from the company's historical profile and peer benchmarks.
ROIC Inflection Follows Margin Breakout
Return on Invested Capital surged to 5.4% in Q2 2026 from a near-zero 0.9% in Q2 2025, indicating the recent profitability expansion is translating into meaningfully higher returns for shareholders.
The ROIC improvement is primarily driven by the sharp increase in net profit margin rather than a significant change in asset turnover, which has remained stable around 0.24. This suggests the company's capital efficiency is now being unlocked by superior pricing power or cost control. The trend is positive, but the absolute ROIC level remains modest, indicating there is still room for improvement in converting its growing asset base into higher returns.
Working Capital Swings Mask Underlying Efficiency
The cash conversion cycle is highly volatile, swinging from a negative 68 days in Q3 2025 to a positive 57 days in Q2 2025, highlighting the extreme seasonality and inventory management challenges inherent in its trend-driven model.
Days Inventory Outstanding (DIO) is the primary driver of this volatility, spiking to over 57,000 in recent quarters, which likely reflects the timing of massive seasonal inventory builds ahead of the holiday period. This is not a sign of poor management but a structural feature of the business. The company's ability to rapidly turn this inventory during the critical Q4 period is the true test of operational efficiency, as evidenced by the strong Q4 cash flow generation.
The Misleading Safety of Low Reported Leverage
The reported debt-to-equity ratio of 0.82 significantly understates Five Below's true capital intensity, as its entire store fleet is leased, creating substantial off-balance-sheet obligations that are not captured in this common leverage metric.
Analysts focusing solely on the low D/E ratio may misjudge the company's financial risk profile. The more relevant metric is the Debt/EBITDA ratio, which stood at 7.01 in Q2 2026, indicating that lease obligations represent a significant claim on future cash flows. This capital structure is typical for high-growth retailers, but it means the company's 'asset-light' model is actually 'lease-heavy,' and its financial flexibility is more constrained than the headline leverage ratio suggests.