Weiss Ratings Reaffirms "Hold (C)" Rating for Chewy (NYSE:CHWY)

Key Points

• Weiss Ratings has reaffirmed its "hold (C)" rating for Chewy (NYSE:CHWY) as of a recent report, indicating a cautious outlook on the company's stock performance.
• Quarterly earnings revealed that Chewy missed analysts' consensus estimates with $0.14 earnings per share, compared to an expected $0.33, though revenue increased by 8.6% year-over-year to $3.10 billion.
• The stock has shown recent activity with a trading price of $38.27, and a consensus price target set at $45.84, supported by a mix of ratings from several analysts.

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

Other research analysts also recently issued reports about the company. Seaport Res Ptn upgraded Chewy from a "hold" rating to a "strong-buy" rating in a research report on Wednesday, September 10th. Guggenheim reiterated a "buy" rating and set a $45.00 target price (up from $42.00) on shares of Chewy in a research report on Thursday, June 12th. Wall Street Zen downgraded Chewy from a "buy" rating to a "hold" rating in a research report on Sunday, September 21st. JPMorgan Chase & Co. decreased their price objective on Chewy from $47.00 to $45.00 and set an "overweight" rating for the company in a report on Thursday, September 11th. Finally, Royal Bank Of Canada decreased their price objective on Chewy from $44.00 to $43.00 and set an "outperform" rating for the company in a report on Thursday, September 11th. Two investment analysts have rated the stock with a Strong Buy rating, twenty have assigned a Buy rating and five have issued a Hold rating to the stock. According to data from MarketBeat.com, the stock presently has an average rating of "Moderate Buy" and a consensus price target of $45.84.

Chewy Stock Up 1.7%

NYSE CHWY traded up $0.64 during trading hours on Wednesday, reaching $38.27. 5,765,382 shares of the company were exchanged, compared to its average volume of 9,681,090. The stock has a market capitalization of $15.88 billion, a P/E ratio of 109.34, a P/E/G ratio of 9.41 and a beta of 1.62. The business's 50 day simple moving average is $38.64 and its 200-day simple moving average is $38.85. Chewy has a 1 year low of $26.28 and a 1 year high of $48.62.

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

Insider Activity at Chewy

In related news, CEO Sumit Singh sold 4,264 shares of the company's stock in a transaction that occurred on Monday, August 4th. The stock was sold at an average price of $35.57, for a total value of $151,670.48. Following the sale, the chief executive officer owned 72,549 shares in the company, valued at $2,580,567.93. This represents a 5.55% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, CTO Satish Mehta sold 8,727 shares of the company'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 sale, the chief technology officer owned 276,467 shares in the company, valued at approximately $9,903,047.94. This represents a 3.06% decrease in their position. The disclosure for this sale can be found here. Insiders have sold a total of 68,657 shares of company stock worth $2,444,311 over the last quarter. Insiders own 0.43% of the company's stock.

Institutional Inflows and Outflows

Several large investors have recently made changes to their positions in CHWY. Osterweis Capital Management Inc. acquired a new position in shares of Chewy during the 2nd quarter worth approximately $30,000. Golden State Wealth Management LLC grew its holdings in 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 buying an additional 481 shares in the last quarter. N.E.W. Advisory Services LLC acquired a new stake in shares of Chewy during the first quarter valued at about $44,000. EverSource Wealth Advisors LLC increased its position in shares of Chewy by 412.2% during the second quarter. EverSource Wealth Advisors LLC now owns 1,091 shares of the company's stock valued at $46,000 after acquiring an additional 878 shares during the last quarter. Finally, Parkside Financial Bank & Trust lifted its stake in Chewy by 34.5% during the 2nd quarter. Parkside Financial Bank & Trust now owns 1,161 shares of the company's stock worth $49,000 after acquiring an additional 298 shares in 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.

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