Investors can contact the law firm at no cost to learn more about recovering their losses
LOS ANGELES, Aug. 30, 2024 (GLOBE NEWSWIRE) -- The Portnoy Law Firm advises Five Below, Inc. ("Five Below" or the "Company") (NASDAQ:FIVE) investors of a class action representing investors that bought securities between March 20, 2024 and July 16, 2024, inclusive (the "Class Period"). Five Below investors have until September 30, 2024 to file a lead plaintiff motion.
Investors are encouraged to contact attorney Lesley F. Portnoy, by phone 310-692-8883 or email: lesley@portnoylaw.com, to discuss their legal rights, or click here to join the case. The Portnoy Law Firm can provide a complimentary case evaluation and discuss investors’ options for pursuing claims to recover their losses.
The complaint alleges that Five Below, which operates specialty discount stores with most products priced at $5 or less, misled investors about its store traffic, merchandising opportunities, and expansion plans during the relevant period. In reality, Five Below faced macroeconomic challenges that impacted store traffic and business execution.
On June 5, 2024, Five Below reportedly disclosed that economic pressures had led lower-income customers to cut back on spending, resulting in disappointing financial results for the first quarter of 2024. Despite assurances that the company would continue to capitalize on trends, this news caused Five Below’s stock price to drop by about 10%, from $132.79 per share on June 5, 2024, to $118.72 per share on June 6, 2024.
After the market closed on July 16, 2024, Five Below announced the immediate resignation of CEO Joel Anderson and revealed that second-quarter results showed a 5% decline in comparable sales compared to the previous year. The company also revised its sales forecast for the quarter to $820 million - $860 million, with a projected comparable sales decline of 6%-7%. This news led to a sharp 25% drop in the stock price, from $102.07 per share on July 16, 2024, to $76.50 per share on July 17, 2024.
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The Portnoy Law Firm represents investors in pursuing claims against caused by corporate wrongdoing. The Firm’s founding partner has recovered over $5.5 billion for aggrieved investors. Attorney advertising. Prior results do not guarantee similar outcomes.
Lesley F. Portnoy, Esq.
Admitted CA and NY Bar
lesley@portnoylaw.com
310-692-8883
www.portnoylaw.com
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