Shares of Five Below (FIVE) surged 5.05% in a 24-hour period, following the release of the company's impressive first-quarter results and increased full-year guidance. The discount retailer demonstrated resilience in a challenging economic environment, surpassing analyst expectations and showing strong growth potential.

Five Below reported adjusted earnings per share of $0.86 for the first quarter, beating the consensus estimate of $0.83. Revenue came in at $970.5 million, exceeding analysts' expectations of $966.49 million. The company's top-line growth was driven by a robust 7.1% increase in comparable sales, outpacing the 6.7% growth Wall Street had projected. This strong performance led Five Below to raise its full-year 2025 guidance, with net sales now expected between $4.33 billion and $4.42 billion, up from its previous forecast of $4.21 billion to $4.33 billion.

Despite the positive financial results, Five Below announced that CFO Kristy Chipman will be stepping down for personal reasons, with COO Ken Bull serving as interim CFO. The company also noted that tariffs are expected to weigh on earnings in the second half of the year, potentially moderating some metrics. However, investors appear to be focusing on the strong financial performance and improved outlook, as reflected in the stock's significant after-hours surge.