Shares of discount retailer Five Below soared Thursday, a day after the company reported strong sales growth and offered up guidance that topped Wall Street's expectations.

The company's shares have been on a tear, roughly tripling over the past year with the help of value-seeking shoppers.

Five Below stock's climb isn't slowing down.

Shares of Five Below (FIVE) surged some 10% in Thursday trading, a day after the company reported better-than-expected results for its fiscal 2025 fourth quarter. The move extended a lengthy upward run for the discount retailer's shares: Five Below has roughly tripled in value over the past year, and are up about 20% since the start of 2026. Shares of Dollar Tree (DLTR) and Dollar General (DG) were recently in retreat; read Investopedia's full coverage of today's trading here.

The company has been lifted by an economic environment that has driven shoppers at a range of income levels to discount retailers as they seek value and affordable price points. Results from some of Five Below's counterparts have lately raised questions about whether lower-income consumers might be feeling enough of a pinch that their business might soften, but its latest results demonstrated solid growth. The Philadelphia-based company posted adjusted earnings of $4.31 per share on net sales that increased 24% year-over-year to $1.73 billion; Analysts surveyed by Visible Alpha had expected $3.99 and $1.71 billion, respectively.

"Our outstanding fourth quarter results capped off a transformational year," CEO Winnie Park said.

Five Below's guidance for the current-quarter and fiscal 2026 adjusted EPS and net sales comfortably topped estimates.

Wall Street analysts broadly expect further gains for Five Below's shares. The Street's mean price target, near $247, suggests a more than 15% premium to Wednesday's close. Bank of America after the results reiterated a buy rating and lifted its target to a Street-high $305, up from $260.

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