Any hot growth stock that trades at lofty valuation multiples typically becomes more attractive after a cooling-down period. One such company is Five Below (NASDAQ: FIVE ) , whose stock doubled after a successful IPO. Following a quarter that disappointed most investors, the company's stock recently plunged around 25%; this provides a potentially ideal entry point for long-term investors.
Five Below is a specialty value retailer that offers teen- and
pre-teen-targeted merchandise. The company offers products priced at $5
and less, providing a general comparison to the dollar-store concepts.
The retailer is growing exceptionally fast, with its 2013 store openings
increasing 25% over the previous year. Five Below also recently opened
an incredible 11 stores in the Dallas market on the same day in
September, generating the largest single-day grand opening in company
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