** Shares of discount retailer Five Below FIVE.O fall ~10% to $199.74 premarket

** Co sees Q2 comparable sales rising 7% to 9%, slowing from 12.4% a year earlier and 22.7% in Q1

** Jefferies said the outlook implies a sequential deceleration on a two-year stack, suggesting growth has peaked despite continued earnings upside

** Brokerage added co has cycled past tariff-driven pricing benefits, while second half of year faces tough comparisons against last year’s growth amid a more challenging consumer backdrop

** Co beat Q1 estimates and raised its annual forecast, but analysts said the outsized quarter was disproportionately driven by a viral “squishy” toy trend that boosted traffic but resulted in smaller basket sizes

** Executives downplayed the durability of the trend, calling it a one-off event and “not a meaningful catalyst” to comparable sales

** 17 of 26 brokerages rate the stock “buy” or higher, with the rest at “hold,” and a median price target of $257 - data compiled by LSEG

** Up to last close, stock rose 18.3% YTD