Which Is a Better Investment, Carvana Co. or Five Below, Inc. Stock?

By Jenna Brashear
December 12, 2025
Large versus logo comparing two stocks in the same industry
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Sifting through countless of stocks in the Specialty Retail industry can be tedious, and sometimes two stocks are just too similar to judge which is the better investment. If you’re on the fence about investing in Carvana Co., Five Below or Inc. because you’re not sure how they measure up, it’s important to compare them on a few factors before making your decision.

Read on to learn how Carvana Co., Five Below and Inc. compare based on key financial metrics to determine which better meets your investment needs.

About Carvana Co., Five Below and Inc.

Carvana Co., together with its subsidiaries, operates an e-commerce platform for buying and selling used cars in the United States. The company offers vehicle acquisition, inspection and reconditioning, online search and shopping experience, financing, complementary products, logistics network and distinctive fulfillment experience, and post-sale customer support services. It also operates auction sites. Carvana Co. was founded in 2012 and is based in Tempe, Arizona.

Five Below, Inc. operates as a specialty value retailer in the United States. It offers socks, jewelry, hair accessories, cozy loungewear, and t-shirts, as well as personal care essentials, skincare, 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. The company also provides assortment of sport balls, team sports merchandise, and fitness accessories, including hand weights, jump ropes and gym balls; various games, such as board games, puzzles, collectibles, and toys; and summer season sports, which include pool, beach, and outdoor toys, as well as games and accessories. In addition, it offers accessories for cell phones, tablets, audio, computers, and automobiles, as well as cases, chargers, cables, headphones, and other related items; and products for audio, gaming, and gadgets. Further, the company 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. Additionally, it offers 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.

Latest Specialty Retail and Carvana Co., Five Below, Inc. Stock News

As of December 11, 2025, Carvana Co. had a $66.9 billion market capitalization, compared to the Specialty Retail median of $876.7 million. Carvana Co.’s stock is up 125.9% in 2025, up 14.9% in the previous five trading days and up 93.72% in the past year.

Currently, Carvana Co.’s price-earnings ratio is 107.5. Carvana Co.’s trailing 12-month revenue is $18.3 billion with a 3.4% net profit margin. Year-over-year quarterly sales growth most recently was 54.5%. Analysts expect adjusted earnings to reach $5.460 per share for the current fiscal year. Carvana Co. does not currently pay a dividend.

As of December 11, 2025, Five Below, Inc. had a $10.0 billion market cap, putting it in the 79th percentile of all stocks. Five Below, Inc.’s stock is up 74.5% in 2025, up 5.7% in the previous five trading days and up 62.08% in the past year.

Currently, Five Below, Inc.’s price-earnings ratio is 32.6. Five Below, Inc.’s trailing 12-month revenue is $4.4 billion with a 7.0% net profit margin. Year-over-year quarterly sales growth most recently was 23.1%. Analysts expect adjusted earnings to reach $5.919 per share for the current fiscal year. Five Below, Inc. does not currently pay a dividend.

How We Compare Carvana Co., Five Below and Inc. Stock Grades

Stock evaluation requires access to huge amounts of data and the knowledge and time to sift through it all, make sense of financial ratios, read income statements and analyze recent stock movements. AAII created A+ Investor, a robust data suite that condenses data research in an actionable and customizable way suitable for investors of all knowledge levels, to help investors streamline and work through such data.

AAII’s proprietary stock grades come with A+ Investor. These offer intuitive A‐F grades for each of five key investing factors: value, growth, momentum, earnings estimate revisions and quality. Here, we’ll take a closer look at Carvana Co., Five Below and Inc.’s stock grades to see how they measure up against one another.

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Carvana Co., Five Below and Inc. Stock Value Grades

Company Ticker Value
Carvana Co. CVNA F
Five Below, Inc. FIVE D

Successful stock investing involves buying low and selling high, so stock valuation is an important consideration for stock selection.

Buying stocks that are going to go up typically means buying stocks that are undervalued in the first place, although momentum investors may argue that point.

AAII’s A+ Investor Value Grade derives from a stock’s value score. The Value Score is the percentile rank of the average of the percentile ranks of the price-to-sales ratio, price-earnings ratio, enterprise-value-to-EBITDA (EV/EBITDA) ratio, shareholder yield, price-to-book-value ratio and price-to-free-cash-flow ratio. The score is variable, meaning it can consider all six ratios or, should any of the six ratios not be valid, the remaining ratios that are valid. To be assigned a Value Score, stocks must have a valid (non-null) ratio and corresponding ranking for at least two of the six valuation ratios.

Stocks with a Value Score from 81 to 100 are considered deep value, those with a score between 61 and 80 are a good value and so on.

Carvana Co. has a Value Score of 5, which is Ultra Expensive. Five Below, Inc. has a Value Score of 26, which is Expensive.

The Value Stock Winner: No Clear Winner

Neither Carvana Co., Five Below or Inc. has a high enough value grade to be considered a “winner.” Investors who are considering these companies should do additional due diligence and research to see if either could be a good addition to their portfolio. It’s important to look at a wide range of financial metrics in order to determine if Carvana Co., Five Below or Inc. is the better investment when it comes to value.

Carvana Co., Five Below and Inc. Growth Grades

Company Ticker Growth
Carvana Co. CVNA D
Five Below, Inc. FIVE B

The foundation of growth investing is seeking out stocks of companies exhibiting strong, consistent and prolonged growth that is expected to continue into the future.

In order to compute the growth score and assign it a letter grade, the percentile ranks for each of three components‐consistency of annual sales growth, five-year sales growth rankings adjusted for extreme levels, and consistency of positive annual cash from operations‐must be determined. These three rank figures are added together, and the sum is ranked against the entire stock universe to arrive at a company’s Growth Score to create an equal distribution of grades.

The companies in the bottom 20% of the stock universe receive Growth Grades of F, considered to be very weak, while those in the top 20% receive A grades, which are considered very strong.

Carvana Co. has a Growth Score of 27, which is Weak. Five Below, Inc. has a Growth Score of 70, which is Strong.

The Growth Grade Winner: Five Below, Inc.

As you can clearly see from the Growth Grade breakdown above, Five Below, Inc. has a more attractive growth grade than Carvana Co.. For investors who focus solely on how a company is growing relative to other companies in the same industry, Five Below, Inc. could be a good stock to add to their portfolio. However, it’s important for investors to analyze multiple factors based on a wide range of metrics before deciding whether to buy.

Carvana Co., Five Below and Inc.’s Momentum Grades

Company Ticker Momentum
Carvana Co. CVNA A
Five Below, Inc. FIVE A

Momentum grades help to uncover stocks experiencing anomalously high rates of return; research finds that stocks with high relative levels of momentum tend to outperform, whereas those with low levels of momentum tend to continue underperforming. Momentum is based on the price change of a stock over a specified period relative to all other stocks.

Typically, AAII looks at the weighted relative strength over the trailing four quarters. The weighted four-quarter relative strength rank is the relative price change for each of the past four quarters. The most recent quarterly price change is given a weight of 40% and each of the three previous quarters are given a weighting of 20%.

Carvana Co. has a Momentum Score of 90, which is Very Strong. Five Below, Inc. has a Momentum Score of 87, which is Very Strong.

The Momentum Grade Winner: It’s a Tie!

Looking at the Momentum Grade breakdown above, both Carvana Co., Five Below and Inc. have a grade of A. For those who focus solely on a company’s momentum, further research will need to be conducted into both companies to see if they fit your individual needs as an investor.

Don’t Forget Your Free Special Report on How A+ Grades Can Help You Make Investment Decisions

Other Carvana Co., Five Below and Inc. Grades

In addition to Growth, Momentum and Value, A+ Investor also provides grades for Estimate Revisions and Quality.

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AAII’s expansive and robust screening tools like A+ Investor help investors make confident decisions.

Earnings estimate revisions scores take into account the magnitude of a company’s earnings surprise in its last two reported fiscal quarters. Often, surprises beget further surprises‐or at least continued sales growth (the exact opposite is generally true, too).

AAII’s A+ Investor Quality Grade comes from the ranking of key metrics. Specifically, the quality grade is the percentile rank of the composite of return on assets (ROA), return on invested capital (ROIC), gross profit relative to assets, buyback yield, change in total liabilities to assets, accruals, Z double prime bankruptcy risk (Z) score and F-Score.

These 2 key factors, when combined with the above, provide a holistic view into a particular stock. Further, by joining A+ Investor you can see whether Carvana Co., Five Below and Inc. pass any of our 60+ stock screens that have outperformed the market since their creation.

So, Which Is the Better Investment, Carvana Co., Five Below or Inc. Stock?

Overall, Carvana Co. stock has a Value Score of 5, Growth Score of 27 and Momentum Score of 90.

Five Below, Inc. stock has a Value Score of 26, Growth Score of 70 and Momentum Score of 87.

Comparing Carvana Co., Five Below and Inc.’s grades, scores and metrics can act as a solid basis to determine whether they may be a good investment or not. You’ll also want to look at your portfolio’s asset allocation as well as your risk tolerance and financial goals to see if either of these stocks would make a good fit for you. AAII can help you figure out which investments align with your individual needs and preferences.

Investors are encouraged to do their own due diligence and research. In this way, individuals can effectively become managers of their own assets‐without having to rely on others for financial independence. You can count on AAII for timeless articles on financial planning and stock-picking, unbiased research and actionable analysis.

A+ Investor adds to our qualitative teaching with a powerful data suite to help you whittle down investment choices to find stocks, exchange-traded funds (ETFs) or mutual funds that meet your needs.

Learn More About A+ Investor

AAII Disclaimer

We make no representations or warranties that any investor will, or is likely to, achieve profits similar to those shown, because past, hypothetical or simulated performance is not necessarily indicative of future results. Before making an investment decision, you should consider your circumstances and whether the information on our content is applicable to your situation. This information was prepared in good faith, and we accept no liability for any errors or omissions. The full disclaimer can be read here.



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