Form 4: Five Below Director Dinesh S. Lathi Acquires Shares in Lieu of Quarterly Retainer

Director Dinesh S. Lathi acquired 195 shares of Five Below, Inc. common stock on May 6, 2024, in lieu of a portion of his quarterly retainer.

Summary

• On May 6, 2024, Dinesh S. Lathi, a director of Five Below, Inc., acquired 195 shares of common stock.
• The acquisition was made in lieu of a quarterly retainer payment of $28,750.00, less applicable tax withholdings, as part of the company's Compensation Policy for Non-Employee Directors.
• The price per share was $146.02.
• Following the transaction, Lathi directly owns 8,216 shares of Five Below, Inc.

Sentiment

Score: 7

Explanation: The sentiment is neutral to slightly positive. A director acquiring shares suggests confidence, but it's a routine transaction related to compensation.

Positives

• The acquisition of shares by a director can be seen as a positive sign, indicating confidence in the company's future performance.

Industry Context

Directors receiving stock in lieu of cash compensation is a fairly common practice, particularly for non-employee directors. It aligns their interests with shareholders and conserves company cash.

Comparison to Industry Standards

• Director compensation structures vary across the retail industry.
• Some companies provide a mix of cash and stock, while others rely more heavily on one form of compensation.
• Comparing Five Below's director compensation policy to peers like Dollar General (DG), Dollar Tree (DLTR), and Target (TGT) would provide a better understanding of its relative competitiveness.

Stakeholder Impact

• The transaction has a minor positive impact on shareholders as it aligns the director's interests with theirs.

Key Dates