Chewy (NYSE:CHWY) Earns Hold (C) Rating from Weiss Ratings

Key Points

• Chewy's stock rating has been reaffirmed as "hold (C)" by Weiss Ratings, as various analysts continue to adjust their ratings amid fluctuating investor sentiment.
• The company's most recent earnings report revealed a missed earnings estimate of $0.14 per share, compared to the consensus of $0.33, although revenues were slightly above expectations at $3.1 billion.
• Recent trading activity saw Chewy's stock price decline by 3.0%, bringing the current price to $35.14, with a target price consensus of $45.84 set by analysts.

Chewy (NYSE:CHWY - Get Free Report)'s stock had its "hold (c)" rating reissued by research analysts at Weiss Ratings in a report issued on Friday,Weiss Ratings reports.

CHWY has been the subject of several other reports. Wall Street Zen cut Chewy from a "buy" rating to a "hold" rating in a research note on Sunday, September 21st. JMP Securities reissued a "market outperform" rating and issued a $48.00 target price on shares of Chewy in a research note on Thursday, September 11th. Moffett Nathanson raised Chewy from a "neutral" rating to a "buy" rating and set a $48.00 target price for the company in a research note on Thursday, September 25th. Robert W. Baird lowered their target price on Chewy from $52.00 to $48.00 and set an "outperform" rating for the company in a research note on Thursday, September 11th. Finally, Royal Bank Of Canada lowered their target price on Chewy from $44.00 to $43.00 and set an "outperform" rating for the company in a research note on Thursday, September 11th. Two research analysts have rated the stock with a Strong Buy rating, twenty have assigned a Buy rating and five have given a Hold rating to the stock. According to MarketBeat, Chewy has an average rating of "Moderate Buy" and a consensus target price of $45.84.

Chewy Stock Down 3.0%

CHWY traded down $1.09 during trading on Friday, hitting $35.14. The company's stock had a trading volume of 6,959,213 shares, compared to its average volume of 5,954,617. The firm's 50 day moving average price is $38.84 and its two-hundred day moving average price is $39.24. Chewy has a 12 month low of $26.28 and a 12 month high of $48.62. The stock has a market capitalization of $14.58 billion, a price-to-earnings ratio of 100.41, a price-to-earnings-growth ratio of 9.04 and a beta of 1.62.

Chewy (NYSE:CHWY - Get Free Report) last released its earnings results on Wednesday, September 10th. The company reported $0.14 EPS for the quarter, missing the consensus estimate of $0.33 by ($0.19). The firm had revenue of $3.10 billion during the quarter, compared to analyst estimates of $3.08 billion. Chewy had a net margin of 1.22% and a return on equity of 50.45%. The firm's quarterly revenue was up 8.6% on a year-over-year basis. During the same period last year, the business posted $0.24 earnings per share. Chewy has set its FY 2025 guidance at EPS. Q3 2025 guidance at 0.280-0.330 EPS. On average, sell-side analysts forecast that Chewy will post 0.24 earnings per share for the current year.

Insider Buying and Selling

In related news, CAO William G. Billings sold 20,142 shares of Chewy stock in a transaction on Monday, August 4th. The stock was sold at an average price of $35.57, for a total transaction of $716,450.94. Following the completion of the sale, the chief accounting officer directly owned 29,464 shares of the company's stock, valued at $1,048,034.48. The trade was a 40.60% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, CTO Satish Mehta sold 8,727 shares of Chewy stock in a transaction on Tuesday, August 5th. The stock was sold at an average price of $35.82, for a total value of $312,601.14. Following the sale, the chief technology officer directly owned 276,467 shares of the company's stock, valued at approximately $9,903,047.94. This trade represents a 3.06% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold a total of 68,657 shares of company stock valued at $2,444,311 over the last three months. Company insiders own 0.43% of the company's stock.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently added to or reduced their stakes in CHWY. BC Partners PE LP acquired a new position in Chewy in the first quarter valued at about $7,142,402,000. AQR Capital Management LLC grew its stake in Chewy by 231.1% in the second quarter. AQR Capital Management LLC now owns 4,631,343 shares of the company's stock valued at $196,323,000 after acquiring an additional 3,232,763 shares during the period. State Street Corp grew its stake in Chewy by 75.5% in the second quarter. State Street Corp now owns 6,170,197 shares of the company's stock valued at $262,974,000 after acquiring an additional 2,654,496 shares during the period. Geode Capital Management LLC grew its stake in Chewy by 88.1% in the second quarter. Geode Capital Management LLC now owns 4,076,911 shares of the company's stock valued at $174,097,000 after acquiring an additional 1,909,457 shares during the period. Finally, Invesco Ltd. grew its stake in Chewy by 34.7% in the second quarter. Invesco Ltd. now owns 7,187,518 shares of the company's stock valued at $306,332,000 after acquiring an additional 1,852,531 shares during the period. 93.09% of the stock is owned by institutional investors and hedge funds.

About Chewy

Chewy, Inc, together with its subsidiaries, engages in the pure play e-commerce business in the United States. It provides pet food and treats, pet supplies and pet medications, and other pet-health products, as well as pet services for dogs, cats, fish, birds, small pets, horses, and reptiles through its retail websites and mobile applications.

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