Five Below price target lowered to $245 from $270 at UBS

UBS lowered the firm’s price target on Five Below to $245 from $270 and keeps a Buy rating on the shares. Shrink had a greater impact on Five Below’s earnings performance than the company had predicted, but this should reverse in 2H as Five Below laps easier shrink comparisons, the analyst tells investors. Five Below’s Q4 print had several factors that are likely to muddle what is still a good long-term growth story, but UBS thinks the implied pullback will further tilt the risk-reward to the upside, the firm says.