Picton Mahoney Asset Management Trims Holdings in Chewy (NYSE:CHWY)

Key Points

• Picton Mahoney Asset Management reduced its holdings in Chewy (NYSE:CHWY) by 33.6%, selling 390,597 shares and retaining a total of 770,701 shares valued at approximately $25 million.
• Analysts have shown a positive outlook on Chewy, with multiple firms raising their price targets; JPMorgan increased its target from $36.00 to $47.00, and Morgan Stanley raised its target from $39.00 to $50.00.
• Insider trading activity included a major shareholder selling 29.9 million shares at an average price of $41.75, totaling over $1.25 billion, while CEO Sumit Singh also sold 148,063 shares.

Picton Mahoney Asset Management reduced its holdings in shares of Chewy (NYSE:CHWY - Free Report) by 33.6% during the 1st quarter, according to its most recent 13F filing with the SEC. The fund owned 770,701 shares of the company's stock after selling 390,597 shares during the period. Picton Mahoney Asset Management owned approximately 0.19% of Chewy worth $25,056,000 as of its most recent filing with the SEC.

Other hedge funds and other institutional investors also recently bought and sold shares of the company. Parallel Advisors LLC grew its holdings in shares of Chewy by 150.2% during the first quarter. Parallel Advisors LLC now owns 788 shares of the company's stock worth $26,000 after buying an additional 473 shares during the last quarter. Banque Transatlantique SA acquired a new stake in Chewy during the 4th quarter worth approximately $30,000. Golden State Wealth Management LLC grew its stake in shares of Chewy by 104.6% in the 1st quarter. Golden State Wealth Management LLC now owns 941 shares of the company's stock valued at $31,000 after purchasing an additional 481 shares during the last quarter. North Star Investment Management Corp. increased its holdings in shares of Chewy by 26.6% in the first quarter. North Star Investment Management Corp. now owns 1,678 shares of the company's stock valued at $55,000 after purchasing an additional 353 shares during the period. Finally, UMB Bank n.a. increased its holdings in shares of Chewy by 225.7% in the first quarter. UMB Bank n.a. now owns 1,866 shares of the company's stock valued at $61,000 after purchasing an additional 1,293 shares during the period. 93.09% of the stock is owned by hedge funds and other institutional investors.

Analyst Upgrades and Downgrades

Several equities research analysts recently weighed in on the company. JPMorgan Chase & Co. increased their price target on Chewy from $36.00 to $47.00 and gave the stock an "overweight" rating in a report on Thursday, June 12th. Evercore ISI set a $52.00 target price on shares of Chewy and gave the company an "outperform" rating in a report on Thursday, June 12th. Royal Bank Of Canada reiterated an "outperform" rating and set a $44.00 price target (up from $42.00) on shares of Chewy in a research note on Thursday, June 12th. Cowen restated a "buy" rating on shares of Chewy in a research report on Friday, June 6th. Finally, Morgan Stanley reaffirmed an "overweight" rating and issued a $50.00 price objective (up previously from $39.00) on shares of Chewy in a report on Thursday, June 12th. Nine equities research analysts have rated the stock with a hold rating, seventeen have assigned a buy rating and one has given a strong buy rating to the stock. Based on data from MarketBeat.com, the stock has an average rating of "Moderate Buy" and an average target price of $43.89.

Chewy Trading Up 0.1%

Shares of CHWY opened at $36.36 on Tuesday. Chewy has a 12-month low of $19.75 and a 12-month high of $48.62. The stock has a market cap of $15.10 billion, a P/E ratio of 40.85, a PEG ratio of 7.58 and a beta of 1.71. The company has a 50-day moving average of $41.88 and a two-hundred day moving average of $38.05.

Chewy (NYSE:CHWY - Get Free Report) last issued its quarterly earnings data on Wednesday, June 11th. The company reported $0.35 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.34 by $0.01. Chewy had a return on equity of 35.04% and a net margin of 3.21%. The firm had revenue of $3.12 billion during the quarter, compared to the consensus estimate of $3.08 billion. During the same period in the previous year, the firm posted $0.31 EPS. The company's quarterly revenue was up 6.3% compared to the same quarter last year. As a group, analysts forecast that Chewy will post 0.24 EPS for the current fiscal year.

Insider Buying and Selling

In other news, major shareholder Argos Holdings Gp Llc sold 29,940,120 shares of Chewy stock in a transaction dated Wednesday, June 25th. The shares were sold at an average price of $41.75, for a total transaction of $1,250,000,010.00. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, CEO Sumit Singh sold 148,063 shares of the company's stock in a transaction that occurred on Wednesday, May 14th. The shares were sold at an average price of $40.67, for a total transaction of $6,021,722.21. Following the transaction, the chief executive officer directly owned 705,252 shares in the company, valued at $28,682,598.84. The trade was a 17.35% decrease in their position. The disclosure for this sale can be found here. Insiders have sold 30,167,614 shares of company stock valued at $1,259,102,436 over the last three months. Insiders own 0.43% of the company's stock.

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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