New Analysis: Five Below, Inc. ($FIVE) vs Dollar Tree, Inc. ($DLTR)

2019-08-16 | Welcome! Today we compared how two different stocks in the Department/Specialty Retail Stores industry are trading: Five Below, Inc. and Dollar Tree, Inc.. While these two companies may have very different market capitalizations and balance sheets, they are worth comparing given how they are in the same sector. Below you’ll see how the different technical indicators differ between these two stocks, and we’ll also show what Trading View thinks of them based on the technical analysis. But before we get ahead of ourselves, please note that this is technical analysis only (ie. analyzing how these companies are trading, not digging into the company fundamentals), and therefore you should not rely only on this to guide you on whether you should buy or sell anything – take it with a grain of salt only, and pay attention to the disclaimer below. With that said, many traders find value in technical analysis and others even swear by it, so if that is you, I hope my analysis will be of use to you. Let’s get to it…

First things first: during its last day of trading, Five Below, Inc. opened at 109.48, got to a maximum price of 110.05 and dropped to as low as 106.71 before finishing the session at 108.2. In total there were 634900 shares traded, which is enough to conduct our analysis. Compare that now to Dollar Tree, Inc., which opened at 93.72, had a high of 94.92, a low of 92.34, closed at 93.14 and had a total volume of 1563600.

VOLUME ANALYSIS: Generally, the higher the volume indicators are, the better – you need liquidity to trade, after all. All of the volume indicators are as follows… (click here for an explanation on volume)

Volume Indicator Five Below, Inc. Dollar Tree, Inc.
Accumulation-distribution index 1466.26726 418.32852
on-balance volume 108.5 -93.17
chaikin money flow

10.7193 3.3
force index

-4.61965 -2.8178
ease of movement rating

0.0058 0.02159
volume-price trend

-15.94804 -10.03385
negative volume index

1000.0 1000.0

VOLATILITY ANALYSIS: Now to compare the volatility between these two companies… (click here for an explanation on volatility)

Volatility Indicator Five Below, Inc. Dollar Tree, Inc.
Average true range 2.77079 1.51893
Bolinger bands 107.74368 92.53198
Upper bollinger band 106.21632 91.93802
Lower bollinger band

106.71 92.34
Bollinger high band indicator

1.0 1.0
Bollinger high low indicator

1.0 1.0
Central keltner channel

108.74667 93.66
High band keltner channel

108.17667 92.46
Low band keltner channel

109.31667 94.86
High band keltner channel indicator

1.0 1.0
Low band keltner channel indicator

1.0 1.0
Donchain channel high band

106.71 92.34
Donchain channel low band

106.71 92.34
Donchain channel high band indicator

1.0 1.0
Donchain channel low band indicator

1.0 1.0

TREND ANALYSIS: Now for the most interesting and detailed part, the trend. Where is the stock actually going? Let’s compare the indicators… (click here for an explanation on trend)

Trend Indicator Five Below, Inc. Dollar Tree, Inc.
Moving Average Convergence Divergence (MACD) trend_macd -0.00471
MACD signal 0.00673 -0.00262
MACD difference 0.00538 -0.00209
fast Exponential Moving Average (EMA) indicator

106.71 92.34
slow Exponential Moving Average (EMA) indicator

106.71 92.34
Average Directional Movement Index (ADX)

unknown unknown
ADX positive

20.0 20.0
ADX negative

20.0 20.0
positive Vortex Indicator (VI)

1.0 1.0
negative VI

1.0 1.0
trend vortex difference

0.09302 0.09516
trix

-11.65635 -8.69557
Mass Index (MI)

1.0 1.0
Commodity Channel Index (CCI)

-66.66667 -66.66667
Detrended Price Oscillator (DPO)

18.42497 11.15996
KST Oscillator (KST)

-147.2408 -107.82577
KST Oscillator (KST Signal)

-147.2408 -107.82577
KST difference

1.07884 -0.50725
Ichimoku rating

109.765 94.32
Ichimoku B rating

109.765 94.32
Ichimoku visual trend A

126.54831 104.11406
Ichimoku visual trend B

122.62251 101.86105
Aroon Indicator (AI)

4.0 4.0
AI indicator down

4.0 4.0
AI difference

4.0 -4.0

MOMENTUM ANALYSIS: What about momentum? Let’s dive into it… (click here for an explanation on momentum)

Momentum Indicator Five Below, Inc. Dollar Tree, Inc.
Relative Strength Index (RSI) 50.0 50.0
Money Flow Index (MFI) 50.04545 19.38977
True Strength Index (TSI) -100.0 -100.0
ultimate oscillator

-22.14124 -30.07006
stochastic oscillator

585.96491 215.0
stochastic oscillator signal

585.96491 215.0
Williams %R rating

485.96491 115.0
awesome oscillator

0.067 -0.24833

RETURNS: That’s all for technical analysis. Now let’s just list the returns for Five Below, Inc. and Dollar Tree, Inc..

Daily return -14.72408 -10.78258
Daily log return 0.50477 -0.22768
Cumulative return 0.50604 -0.22742

So there you have it: our deep, grueling analysis comparing Five Below, Inc. and Dollar Tree, Inc. together. But what does all of the above mean? Various technical indicators above are positive, while others are negative, and if we want to decide overall if the technical analysis indicates a bullish or bearish chart, we have to consider all of them together. That’s what the Trading View widget below can do, so let’s see what it says considering all these indicators. First, here’s Five Below, Inc.:

The verdict above will consider all these technical indicators and consider which are strong and weak, and then put them all together to come up with a conclusion stating whether FIVE is strong or weak. Again – this is not a reliable indication of whether Five Below, Inc. is a good investment! None of these indicators consider the company fundamentals. All of this data is based on how it trades only. Now with that out of the way, let’s compare it with Dollar Tree, Inc.

So there you have it. We hope you have found this analysis useful, and if you see any errors or have any feedback, please comment below.

How can you profit off trading these 2 companies and other stocks like it? First, check out the Beat The Market Analyzer software – this is worth its weight in gold. Some other great services for earning income from trading and investing are Dividend Stocks (an outstanding resource for anyone interested in high dividend paying stocks), Microcap Millionaires (the best site online for profiting off micro-cap stocks) and Trading Code (an extremely powerful system for profiting off trading).

DISCLAIMER: We are not registered investment advisers and the above analysis should be taken at face value only. We strongly advise against buying or selling anything based solely on our analysis above, and are not responsible for any losses that you may incur if you choose make any investment decisions based on the above.

Abigale Lormen

Abigale is a Masters in Business Administration by education. After completing her post-graduation, Abigale jumped the journalism bandwagon as a freelance journalist. Soon after that she landed a job of reporter and has been climbing the news industry ladder ever since to reach the post of editor at amarketreportsjournal.
Abigale Lormen

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