Five Below (NASDAQ:FIVE) and Calloway’s Nursery (OTCMKTS:CLWY) Financial Contrast

Five Below (NASDAQ:FIVE) and Calloway’s Nursery (OTCMKTS:CLWY) are both retail/wholesale companies, but which is the superior stock? We will contrast the two companies based on the strength of their analyst recommendations, institutional ownership, dividends, risk, earnings, profitability and valuation.

Risk & Volatility

Five Below has a beta of 1.04, suggesting that its stock price is 4% more volatile than the S&P 500. Comparatively, Calloway’s Nursery has a beta of 0.46, suggesting that its stock price is 54% less volatile than the S&P 500.

Analyst Ratings

This is a summary of recent ratings and price targets for Five Below and Calloway’s Nursery, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Five Below	1	14	6	0	2.24
Calloway’s Nursery	0	0	0	0	0.00

Five Below currently has a consensus target price of $113.30, suggesting a potential downside of 12.03%. Given Five Below’s stronger consensus rating and higher possible upside, research analysts clearly believe Five Below is more favorable than Calloway’s Nursery.

Profitability

This table compares Five Below and Calloway’s Nursery’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Five Below	6.52%	17.00%	6.89%
Calloway’s Nursery	N/A	N/A	N/A

Valuation & Earnings

This table compares Five Below and Calloway’s Nursery”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Five Below	$3.88 billion	1.83	$253.61 million	$4.77	27.00
Calloway’s Nursery	$87.25 million	0.16	$5.75 million	N/A	N/A

Five Below has higher revenue and earnings than Calloway’s Nursery.

Summary

Five Below beats Calloway’s Nursery on 10 of the 10 factors compared between the two stocks.

About Five Below

Five Below, Inc. operates as a specialty value retailer in the United States. The company offers range of accessories, which includes novelty socks, sunglasses, jewelry, scarves, gloves, hair accessories, athletic tops and bottoms, and t-shirts, as well as nail polish, lip gloss, fragrance, and branded cosmetics; and personalized living space products, such as lamps, posters, frames, fleece blankets, plush items, pillows, candles, incense, lighting, novelty décor, accent furniture, and related items, as well as provides storage options. It provides assortment of sports balls, team sports merchandise, and fitness accessories comprising hand weights, jump ropes, and gym balls; various games, such as board games, puzzles, collectibles, and toys, including remote control; and summer season sports, which includes pool, beach, and outdoor toys, as well as games and accessories. In addition, the company offers accessories for cell phones, tablets, audio, and computers, as well as cases, chargers, headphones, and other related items; and media products including books, video games, and DVDs. It also provides assortment of craft activity kits, and arts and crafts supplies, such as crayons, markers, and stickers; and school products comprising backpacks, fashion notebooks and journals, novelty pens and pencils, and locker accessories. Further, the company offers party products, which includes party goods, decorations, gag gifts, and greeting cards, as well as every day and special occasion merchandise; assortment of classic and novelty candy bars, movie-size box candy, seasonal-related candy, and gum and snack food products, as well as sells chilled drinks through coolers; and provides seasonally specific items used to celebrate and decorate for events. The company was formerly known as Cheap Holdings, Inc. and changed its name to Five Below, Inc. in August 2002. Five Below, Inc. was incorporated in 2002 and is headquartered in Philadelphia, Pennsylvania.

About Calloway’s Nursery

Calloway's Nursery, Inc. operates garden centers in the United States. The company offers birding, fertilizers, garden tools,insect and pest control; mosquito control solutions, pottery, soils and mulches; weed control and fungicide to gardeners. It also provides cornelius home decor and lawn décor products. In addition, the company provides landscape design services. The company operates 24 stores under the Calloway's Nursery name in Texas. Calloway's Nursery, Inc. was founded in 1986 and is based in Fort Worth, Texas.