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Chewy (CHWY) Suffers a Larger Drop Than the General Market: Key Insights
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Chewy (CHWY - Free Report) closed the most recent trading day at $25.51, moving -1.51% from the previous trading session. The stock's performance was behind the S&P 500's daily loss of 0.71%. On the other hand, the Dow registered a loss of 0.93%, and the technology-centric Nasdaq decreased by 0.81%.
The online pet store's shares have seen an increase of 1.57% over the last month, surpassing the Retail-Wholesale sector's loss of 0.03% and the S&P 500's gain of 1.08%.
The upcoming earnings release of Chewy will be of great interest to investors. On that day, Chewy is projected to report earnings of $0.22 per share, which would represent year-over-year growth of 46.67%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $2.86 billion, up 2.86% from the year-ago period.
For the full year, the Zacks Consensus Estimates project earnings of $0.96 per share and a revenue of $11.74 billion, demonstrating changes of +39.13% and +5.54%, respectively, from the preceding year.
Investors might also notice recent changes to analyst estimates for Chewy. Such recent modifications usually signify the changing landscape of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 10.66% higher within the past month. Chewy presently features a Zacks Rank of #1 (Strong Buy).
In terms of valuation, Chewy is presently being traded at a Forward P/E ratio of 26.86. Its industry sports an average Forward P/E of 21.11, so one might conclude that Chewy is trading at a premium comparatively.
Investors should also note that CHWY has a PEG ratio of 0.9 right now. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. As the market closed yesterday, the Internet - Commerce industry was having an average PEG ratio of 1.04.
The Internet - Commerce industry is part of the Retail-Wholesale sector. This group has a Zacks Industry Rank of 52, putting it in the top 21% of all 250+ industries.
The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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Chewy (CHWY) Suffers a Larger Drop Than the General Market: Key Insights
Chewy (CHWY - Free Report) closed the most recent trading day at $25.51, moving -1.51% from the previous trading session. The stock's performance was behind the S&P 500's daily loss of 0.71%. On the other hand, the Dow registered a loss of 0.93%, and the technology-centric Nasdaq decreased by 0.81%.
The online pet store's shares have seen an increase of 1.57% over the last month, surpassing the Retail-Wholesale sector's loss of 0.03% and the S&P 500's gain of 1.08%.
The upcoming earnings release of Chewy will be of great interest to investors. On that day, Chewy is projected to report earnings of $0.22 per share, which would represent year-over-year growth of 46.67%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $2.86 billion, up 2.86% from the year-ago period.
For the full year, the Zacks Consensus Estimates project earnings of $0.96 per share and a revenue of $11.74 billion, demonstrating changes of +39.13% and +5.54%, respectively, from the preceding year.
Investors might also notice recent changes to analyst estimates for Chewy. Such recent modifications usually signify the changing landscape of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 10.66% higher within the past month. Chewy presently features a Zacks Rank of #1 (Strong Buy).
In terms of valuation, Chewy is presently being traded at a Forward P/E ratio of 26.86. Its industry sports an average Forward P/E of 21.11, so one might conclude that Chewy is trading at a premium comparatively.
Investors should also note that CHWY has a PEG ratio of 0.9 right now. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. As the market closed yesterday, the Internet - Commerce industry was having an average PEG ratio of 1.04.
The Internet - Commerce industry is part of the Retail-Wholesale sector. This group has a Zacks Industry Rank of 52, putting it in the top 21% of all 250+ industries.
The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.