Petco Health and Wellness (NASDAQ:WOOF) Given New $3.25 Price Target at Robert W. Baird

Key Points

• Robert W. Baird raised Petco’s price target from $3.00 to $3.25 while maintaining a neutral rating, implying 23.57% upside from the prior close. Analysts overall have a consensus “Hold” rating and a $3.72 target price.
• Petco reported quarterly EPS of $0.13, exceeding the $0.07 consensus estimate, while revenue of $1.49 billion matched expectations. Analysts forecast full-year EPS of $0.09.
• The stock opened at $2.63 and has traded between $2.24 and $3.96 over the past year. Recent insider activity was negative, with insiders selling 450,000 shares over 90 days, although several institutional investors increased their holdings.

Petco Health and Wellness (NASDAQ:WOOF - Get Free Report) had its target price lifted by research analysts at Robert W. Baird from $3.00 to $3.25 in a research report issued on Thursday, Benzinga reports. The brokerage presently has a "neutral" rating on the stock. Robert W. Baird's price objective would suggest a potential upside of 23.57% from the company's previous close.

Several other equities analysts also recently commented on WOOF. Wall Street Zen upgraded shares of Petco Health and Wellness from a "hold" rating to a "buy" rating in a report on Saturday, July 4th. Citigroup reduced their target price on shares of Petco Health and Wellness from $4.00 to $3.25 and set a "neutral" rating for the company in a report on Thursday, June 4th. Zacks Research cut shares of Petco Health and Wellness from a "strong-buy" rating to a "hold" rating in a report on Monday, May 18th. Finally, Weiss Ratings restated a "sell (d)" rating on shares of Petco Health and Wellness in a research report on Thursday, June 11th. One investment analyst has rated the stock with a Buy rating, six have issued a Hold rating and one has assigned a Sell rating to the stock. According to data from MarketBeat, the company presently has an average rating of "Hold" and a consensus target price of $3.72.

Petco Health and Wellness Stock Performance

Shares of WOOF stock opened at $2.63 on Thursday. The company has a debt-to-equity ratio of 1.27, a current ratio of 0.85 and a quick ratio of 0.29. The company has a fifty day moving average price of $2.71 and a two-hundred day moving average price of $2.74. The stock has a market cap of $850.43 million, a P/E ratio of 131.57, a P/E/G ratio of 2.99 and a beta of 1.53. Petco Health and Wellness has a one year low of $2.24 and a one year high of $3.96.

Petco Health and Wellness (NASDAQ:WOOF - Get Free Report) last released its quarterly earnings data on Wednesday, September 2nd. The company reported $0.13 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.07 by $0.06. Petco Health and Wellness had a return on equity of 1.36% and a net margin of 0.09%.The firm had revenue of $1.49 billion for the quarter, compared to analyst estimates of $1.49 billion. During the same quarter in the prior year, the company earned $0.05 earnings per share. As a group, equities analysts predict that Petco Health and Wellness will post 0.09 EPS for the current year.

Insider Buying and Selling

In related news, insider Holly May sold 200,000 shares of the firm's stock in a transaction dated Thursday, July 9th. The shares were sold at an average price of $2.54, for a total transaction of $508,000.00. Following the transaction, the insider directly owned 1,327,867 shares of the company's stock, valued at approximately $3,372,782.18. This trade represents a 13.09% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Insiders have sold 450,000 shares of company stock worth $1,145,500 over the last 90 days. 6.50% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

Several hedge funds have recently made changes to their positions in WOOF. AQR Capital Management LLC boosted its stake in shares of Petco Health and Wellness by 9.1% in the first quarter. AQR Capital Management LLC now owns 1,274,588 shares of the company's stock valued at $3,887,000 after buying an additional 106,295 shares during the period. Goldman Sachs Group Inc. lifted its position in shares of Petco Health and Wellness by 60.2% during the 1st quarter. Goldman Sachs Group Inc. now owns 3,637,695 shares of the company's stock valued at $11,095,000 after acquiring an additional 1,367,299 shares during the period. Creative Planning lifted its position in shares of Petco Health and Wellness by 14.8% during the 2nd quarter. Creative Planning now owns 36,779 shares of the company's stock valued at $104,000 after acquiring an additional 4,734 shares during the period. Cetera Investment Advisers grew its holdings in shares of Petco Health and Wellness by 17.6% during the 2nd quarter. Cetera Investment Advisers now owns 28,419 shares of the company's stock worth $80,000 after purchasing an additional 4,258 shares in the last quarter. Finally, Legal & General Group Plc grew its holdings in shares of Petco Health and Wellness by 23.9% during the 2nd quarter. Legal & General Group Plc now owns 126,352 shares of the company's stock worth $358,000 after purchasing an additional 24,369 shares in the last quarter.

Key Headlines Impacting Petco Health and Wellness

Here are the key news stories impacting Petco Health and Wellness this week:

• Positive Sentiment: Petco reported Q2 fiscal 2026 EPS of $0.13, above the $0.07 analyst consensus and up from $0.05 a year earlier. Net income reached $38.7 million, while operating cash flow nearly doubled. The company also delivered its second consecutive quarter of positive comparable-sales growth. Petco Reports Second Quarter 2026 Results
• Positive Sentiment: Management announced a $75 million debt prepayment, advancing its goal of reducing leverage to twice adjusted EBITDA. This could lower interest costs and improve balance-sheet flexibility. Petco Reports Second Quarter 2026 Results
• Positive Sentiment: The “Reach for the Sky” strategy is showing early progress through growth in consumables, services, omnichannel sales and expanded service offerings. Investors also received fresh Wall Street price-target increases ahead of the results. The Market Is Finally Starting To Come Around To Petco Health and Wellness Company
• Neutral Sentiment: Q2 revenue was $1.49 billion, essentially matching estimates, while fiscal 2026 revenue guidance remained flat to up 1.5% at approximately $6.0 billion to $6.1 billion. Adjusted EBITDA guidance was set at $415 million to $430 million, indicating that the earnings improvement is primarily a profitability story rather than a major sales-growth story. Petco Fiscal 2026 Guidance
• Negative Sentiment: Some of the cash-flow improvement benefited from a one-time tariff refund, and Petco continues to operate with thin net margins and relatively high leverage. Flat sales guidance and limited liquidity remain risks if the turnaround loses momentum. Petco Profit Rises in Q2

About Petco Health and Wellness

Petco Health and Wellness Company, Inc NASDAQ: WOOF is a leading U.S. pet specialty retailer focused on delivering products, services and solutions that improve the health and well-being of pets. The company operates a network of retail locations that provide high-quality pet food, supplies and accessories, along with a growing digital platform that supports online ordering, subscription delivery and telehealth consultations for pets.

In addition to its retail offerings, Petco has built a full suite of in-store and virtual services, including grooming, training, dog daycare and veterinary care.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

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