1138 ET - Five Below generated nearly unprecedented growth at the end of 2025 and its success is unlikely to end anytime soon, UBS analysts say. "We think the retailer will continue to generate outsized demand next year," the analysts say. "We don't think it's pulling forward its potential gains. Rather, it's building a base and setting up for further potential upside." The company has opportunities to improve its marketing via social media and email, expand into other age cohorts, grow its product assortment and chase trends better. "We think the stock's upside should be driven by continued upward estimate revisions and higher valuation," the analysts say. (nicholas.miller@wsj.com)

(END) Dow Jones Newswires

January 13, 2026 11:38 ET (16:38 GMT)

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