Chewy (NYSE:CHWY) Raised to Strong-Buy at Barclays

Chewy (NYSE:CHWY) was upgraded by research analysts at Barclays to a “strong-buy” rating in a report issued on Thursday,Zacks.com reports.

Several other brokerages also recently issued reports on CHWY. Guggenheim reissued a “buy” rating and set a $45.00 target price on shares of Chewy in a research note on Monday, April 27th. JPMorgan Chase & Co. decreased their price objective on shares of Chewy from $35.00 to $29.00 and set an “overweight” rating for the company in a report on Thursday. Royal Bank Of Canada decreased their price target on shares of Chewy from $47.00 to $34.00 and set an “outperform” rating for the company in a report on Thursday. Wedbush decreased their price target on shares of Chewy from $42.00 to $36.00 and set an “outperform” rating for the company in a report on Thursday, March 26th. Finally, Jefferies Financial Group restated a “hold” rating and set a $23.00 price target on shares of Chewy in a report on Thursday. Two equities research analysts have rated the stock with a Strong Buy rating, seventeen have assigned a Buy rating and six have issued a Hold rating to the company. According to MarketBeat, Chewy has a consensus rating of “Moderate Buy” and a consensus target price of $32.05.

Chewy Stock Performance

NYSE CHWY opened at $19.30 on Thursday. The stock has a market capitalization of $8.04 billion, a P/E ratio of 32.16, a P/E/G ratio of 0.87 and a beta of 1.44. Chewy has a 1 year low of $18.22 and a 1 year high of $43.84. The business’s fifty day moving average is $23.48 and its two-hundred day moving average is $27.46.

Chewy (NYSE:CHWY) last posted its quarterly earnings results on Wednesday, June 10th. The company reported $0.43 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.24 by $0.19. The company had revenue of $3.36 billion for the quarter, compared to analysts’ expectations of $3.35 billion. Chewy had a return on equity of 60.02% and a net margin of 1.99%.The firm’s revenue was up 9.7% on a year-over-year basis. During the same quarter in the prior year, the company earned $0.35 earnings per share. Chewy has set its Q2 2026 guidance at 0.360-0.360 EPS. On average, research analysts forecast that Chewy will post 0.87 earnings per share for the current year.

Insider Activity

In other Chewy news, CEO Sumit Singh sold 4,220 shares of the company’s stock in a transaction dated Monday, May 4th. The shares were sold at an average price of $25.60, for a total transaction of $108,032.00. Following the sale, the chief executive officer directly owned 123,955 shares of the company’s stock, valued at approximately $3,173,248. This represents a 3.29% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, General Counsel Da-Wai Hu sold 8,149 shares of the company’s stock in a transaction dated Wednesday, April 1st. The stock was sold at an average price of $26.91, for a total transaction of $219,289.59. The SEC filing for this sale provides additional information. Insiders have sold 95,675 shares of company stock worth $2,459,955 over the last ninety days. Insiders own 0.34% of the company’s stock.

Institutional Trading of Chewy

Several hedge funds have recently modified their holdings of CHWY. Wellington Management Group LLP grew its stake in shares of Chewy by 295.9% during the third quarter. Wellington Management Group LLP now owns 17,622,768 shares of the company’s stock valued at $712,841,000 after purchasing an additional 13,171,325 shares during the last quarter. Viking Global Investors LP grew its stake in shares of Chewy by 146.9% during the fourth quarter. Viking Global Investors LP now owns 13,536,645 shares of the company’s stock valued at $447,386,000 after purchasing an additional 8,052,955 shares during the last quarter. AQR Capital Management LLC grew its stake in shares of Chewy by 120.2% during the third quarter. AQR Capital Management LLC now owns 10,196,146 shares of the company’s stock valued at $407,948,000 after purchasing an additional 5,564,803 shares during the last quarter. Norges Bank bought a new stake in shares of Chewy during the fourth quarter valued at approximately $154,647,000. Finally, State Street Corp grew its stake in shares of Chewy by 75.5% during the second quarter. State Street Corp now owns 6,170,197 shares of the company’s stock valued at $262,974,000 after purchasing an additional 2,654,496 shares during the last quarter. 93.09% of the stock is owned by institutional investors.

Chewy News Summary

Here are the key news stories impacting Chewy this week:

• Positive Sentiment: Chewy’s Autoship subscription program continued to grow faster than overall sales in Q1, supporting recurring revenue, customer retention, and visibility into future cash flow. Chewy’s Autoship Business Continues to Drive Recurring Revenue Growth
• Positive Sentiment: Several analysts still see upside despite trimming price targets, and Citi reiterated a Buy rating while saying valuation has compressed enough to leave room for recovery. Chewy: Buy Rating Reiterated as Analyst Cuts Price Target to $31 but Sees Significant Upside from Compressed Valuation
• Positive Sentiment: Chewy’s Q1 results showed revenue growth and margin expansion, and management kept profitability guidance intact even as it lowered the sales outlook. Chewy Q1 Earnings Meet Estimates, Sales Beat on Autoship Strength

Chewy Company Profile

Chewy, Inc (NYSE: CHWY) is a leading e-commerce retailer specializing in pet food, supplies and services. The company offers a comprehensive assortment of products for dogs, cats, fish, birds and other small animals, including prescription medications, veterinary health products, grooming essentials and toys. Through its online platform and mobile app, Chewy provides an intuitive shopping experience with features such as Autoship, ensuring regular deliveries of pet essentials at schedule intervals.

Founded in 2011 by Ryan Cohen and Michael Day, Chewy initially operated under the name Mr.