Deutsche Bank Reiterates Buy, Lowers PT On Five Below On Lower Revised Estimates

In a report published Friday, Deutsche Bank analyst Paul Trussell reiterated a Buy rating on

, but lowered the price target from $42.00 to $39.00. In the report, Deutsche Bank noted, "Although we suspect 1Q is off to a soft start due to weather and West Coast port issues, we do not sense reduced customer excitement around FIVE's business concept, and believe SSS had accelerated to ~MSD in the weeks immediately following Holiday not impacted by snow storms. We believe sq. footage growth and a re-tooled Holiday assortment will drive growth this year. Valuation still appears compelling to us at 24.3x our FY16 EPS estimate vs. our expectation for ~24% EPS growth over the next few years." Five Below closed on Thursday at $31.37.