Five Below Inc (FIVE) is slightly undervalued and Gamestop Corp (GME) is overvalued.
Against our estimates of intrinsic value, FIVE trades at the wider discount: a margin of safety of +11%, against -66% for GME.
Values as of the 22 Sept 2026 close.
Discounting its cash flows at 9.1% (average of 3 methods) values the shares at $260.16; the price of $232.28 is 11% below that value, and 77% of that value comes from beyond year five.
Leak Score 81/100 on 3 of 12 signals
Discounting its cash flows at 12.4% (average of 3 methods) values the shares at $14.47; the price of $24.03 is 66% above that value, and 64% of that value comes from beyond year five.
Leak Score 49/100 on 10 of 12 signals
| Metric | FIVE | GME |
|---|---|---|
| Verdict | Slightly undervalued | Overvalued |
| Price | $232.28 | $24.03 |
| Intrinsic value | $260.16 | $14.47 |
| Margin of safety | +11% | -66% |
| Leak Score | 81/100 (3/12) | 49/100 (10/12) |
| Market cap | $12.8B | $12.1B |
| Revenue growth, 5 years | 19.4% | -6.5% |
| Operating margin | 14.8% | 13.9% |
| Net margin | 11.7% | 25.2% |
| Return on equity | 28.2% | 15.8% |
| Debt to equity | 0.82 | 0.71 |
| P/E | 20.8x | 15.9x |
| Forward P/E | 21.0x | 12.9x |
| P/B | 5.2x | 1.8x |