Chewy (NYSE:CHWY) Upgraded by Barclays to “Strong-Buy” Rating

Barclays upgraded shares of Chewy (NYSE:CHWY) to a strong-buy rating in a research note issued to investors on Thursday morning,Zacks.com reports.

A number of other brokerages also recently commented on CHWY. TD Cowen reduced their price objective on Chewy from $42.00 to $34.00 and set a “buy” rating for the company in a research report on Thursday. Raymond James Financial reiterated a “buy” rating on shares of Chewy in a research report on Wednesday. UBS Group reduced their price objective on Chewy from $32.00 to $24.00 and set a “neutral” rating for the company in a research report on Thursday. Mizuho reduced their price objective on Chewy from $50.00 to $40.00 and set an “outperform” rating for the company in a research report on Wednesday, June 3rd. Finally, Bank of America reduced their price objective on Chewy from $33.00 to $31.00 in a research report on Thursday. Two investment analysts have rated the stock with a Strong Buy rating, seventeen have issued a Buy rating and six have given a Hold rating to the company’s stock. Based on data from MarketBeat, Chewy presently has an average rating of “Moderate Buy” and an average price target of $32.05.

Chewy Trading Up 2.8%

Shares of CHWY stock opened at $19.30 on Thursday. The stock has a 50 day moving average of $23.48 and a two-hundred day moving average of $27.46. Chewy has a 12 month low of $18.22 and a 12 month high of $43.84. The company 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 (NYSE:CHWY) last announced its quarterly earnings data on Wednesday, June 10th. The company reported $0.43 EPS for the quarter, topping analysts’ consensus estimates of $0.24 by $0.19. Chewy had a return on equity of 60.02% and a net margin of 1.99%.The company had revenue of $3.36 billion during the quarter, compared to the consensus estimate of $3.35 billion. During the same quarter last year, the company earned $0.35 EPS. The company’s quarterly revenue was up 9.7% on a year-over-year basis. Chewy has set its Q2 2026 guidance at 0.360-0.360 EPS. Sell-side analysts predict that Chewy will post 0.87 earnings per share for the current fiscal year.

Insider Activity at Chewy

In related news, CEO Sumit Singh sold 83,306 shares of the firm’s stock in a transaction that occurred on Monday, May 4th. The stock was sold at an average price of $25.60, for a total transaction of $2,132,633.60. Following the completion of the transaction, the chief executive officer owned 874,061 shares in the company, valued at $22,375,961.60. This trade represents a 8.70% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through the SEC website. 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 firm’s stock in a transaction that occurred on Wednesday, April 1st. The stock was sold at an average price of $26.91, for a total value of $219,289.59. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold a total of 95,675 shares of company stock valued at $2,459,955 in the last 90 days. 0.34% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On Chewy

Several hedge funds and other institutional investors have recently modified their holdings of CHWY. Transatlantique Private Wealth LLC raised its position in Chewy by 3.0% in the 3rd quarter. Transatlantique Private Wealth LLC now owns 10,922 shares of the company’s stock valued at $442,000 after purchasing an additional 314 shares during the last quarter. National Bank of Canada FI raised its holdings in shares of Chewy by 12.5% in the third quarter. National Bank of Canada FI now owns 2,910 shares of the company’s stock valued at $118,000 after buying an additional 324 shares during the last quarter. Angeles Wealth Management LLC lifted its position in Chewy by 6.6% during the 3rd quarter. Angeles Wealth Management LLC now owns 5,305 shares of the company’s stock worth $215,000 after buying an additional 330 shares in the last quarter. 180 Wealth Advisors LLC lifted its position in Chewy by 4.4% during the 4th quarter. 180 Wealth Advisors LLC now owns 9,222 shares of the company’s stock worth $305,000 after buying an additional 390 shares in the last quarter. Finally, Dynasty Wealth Management LLC lifted its position in Chewy by 6.6% during the 4th quarter. Dynasty Wealth Management LLC now owns 6,321 shares of the company’s stock worth $209,000 after buying an additional 394 shares in the last quarter. Institutional investors own 93.09% of the company’s stock.

Key Headlines Impacting Chewy

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

About Chewy

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.