Chewy (NYSE:CHWY) Upgraded to "Strong-Buy" at Seaport Res Ptn

Key Points

• Chewy has been upgraded from a "hold" to a "strong-buy" rating by Seaport Res Ptn, indicating increased analyst confidence in the stock.
• Multiple analysts, including Deutsche Bank and Citizens JMP, have also raised their ratings on Chewy, with a consensus price target averaging around $45.72.
• Despite a revenue increase of 8.6% year-over-year, Chewy reported a quarterly earnings miss, with an EPS of $0.14 against a consensus estimate of $0.33.

Seaport Res Ptn upgraded shares of Chewy (NYSE:CHWY - Free Report) from a hold rating to a strong-buy rating in a report published on Wednesday morning,Zacks.com reports.

CHWY has been the topic of several other research reports. Wedbush reiterated an "outperform" rating and issued a $45.00 target price on shares of Chewy in a research note on Thursday. Needham & Company LLC restated a "hold" rating on shares of Chewy in a research note on Thursday. Evercore ISI set a $52.00 price target on Chewy and gave the stock an "outperform" rating in a research note on Thursday, June 12th. UBS Group dropped their price target on Chewy from $46.00 to $43.00 and set a "neutral" rating on the stock in a research note on Thursday. Finally, Barclays dropped their price target on Chewy from $50.00 to $47.00 and set an "overweight" rating on the stock in a research note on Thursday. Two research analysts have rated the stock with a Strong Buy rating, nineteen have issued a Buy rating and four have given a Hold rating to the stock. Based on data from MarketBeat, the company has a consensus rating of "Moderate Buy" and a consensus target price of $45.72.

Chewy Trading Down 3.6%

Shares of Chewy stock traded down $1.30 during trading on Wednesday, hitting $34.72. 13,551,107 shares of the stock traded hands, compared to its average volume of 7,988,499. The firm has a market cap of $14.42 billion, a P/E ratio of 99.20, a price-to-earnings-growth ratio of 7.25 and a beta of 1.65. Chewy has a 52-week low of $26.28 and a 52-week high of $48.62. The stock's fifty day simple moving average is $38.47 and its 200 day simple moving average is $38.33.

Chewy (NYSE:CHWY - Get Free Report) last announced its quarterly 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). Chewy had a net margin of 1.22% and a return on equity of 50.45%. The firm had revenue of $3.10 billion for the quarter, compared to analysts' expectations of $3.08 billion. During the same quarter in the prior year, the business posted $0.24 EPS. The business's quarterly revenue was up 8.6% on a year-over-year basis. Chewy has set its FY 2025 guidance at EPS. Q3 2025 guidance at 0.280-0.330 EPS. As a group, equities analysts expect that Chewy will post 0.24 EPS for the current year.

Insider Buying and Selling

In other Chewy news, major shareholder Argos Holdings Gp Llc sold 29,940,120 shares of the business's stock in a transaction that occurred on Wednesday, June 25th. The stock was sold at an average price of $41.75, for a total value of $1,250,000,010.00. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, CTO Satish Mehta sold 8,727 shares of the business's stock in a transaction that occurred on Tuesday, August 5th. The shares were sold at an average price of $35.82, for a total value of $312,601.14. Following the completion of the transaction, the chief technology officer directly owned 276,467 shares of the company's stock, valued at $9,903,047.94. The trade was a 3.06% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last three months, insiders sold 30,008,777 shares of company stock valued at $1,252,444,321. Insiders own 0.43% of the company's stock.

Institutional Inflows and Outflows

Several large investors have recently made changes to their positions in the business. Centaurus Financial Inc. acquired a new position in shares of Chewy during the 2nd quarter worth approximately $120,000. Orion Porfolio Solutions LLC raised its stake in shares of Chewy by 19.2% during the 2nd quarter. Orion Porfolio Solutions LLC now owns 53,175 shares of the company's stock worth $2,266,000 after buying an additional 8,562 shares during the period. Thrivent Financial for Lutherans raised its stake in shares of Chewy by 4.5% during the 2nd quarter. Thrivent Financial for Lutherans now owns 114,234 shares of the company's stock worth $4,868,000 after buying an additional 4,876 shares during the period. State of Wyoming raised its stake in shares of Chewy by 20.5% during the 2nd quarter. State of Wyoming now owns 11,972 shares of the company's stock worth $510,000 after buying an additional 2,038 shares during the period. Finally, Geneos Wealth Management Inc. raised its stake in Chewy by 21.8% in the 2nd quarter. Geneos Wealth Management Inc. now owns 7,202 shares of the company's stock valued at $307,000 after purchasing an additional 1,289 shares during the last quarter. 93.09% of the stock is owned by institutional investors and hedge funds.

Chewy Company Profile

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.