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Chewy (CHWY) Rises As Market Takes a Dip: Key Facts
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In the latest market close, Chewy (CHWY - Free Report) reached $24.81, with a +1.72% movement compared to the previous day. The stock outpaced the S&P 500's daily loss of 0.5%. At the same time, the Dow added 0.5%, and the tech-heavy Nasdaq lost 1.28%.
Prior to today's trading, shares of the online pet store had lost 4.13% over the past month. This has lagged the Retail-Wholesale sector's loss of 1.37% and the S&P 500's gain of 0.1% in that time.
The investment community will be closely monitoring the performance of Chewy in its forthcoming earnings report. The company is expected to report EPS of $0.22, up 46.67% from the prior-year quarter. Simultaneously, our latest consensus estimate expects the revenue to be $2.86 billion, showing a 2.86% escalation compared to the year-ago quarter.
Looking at the full year, the Zacks Consensus Estimates suggest analysts are expecting earnings of $0.96 per share and revenue of $11.74 billion. These totals would mark changes of +39.13% and +5.54%, respectively, from last year.
Additionally, investors should keep an eye on any recent revisions to analyst forecasts 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 shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 1.5% increase. Currently, Chewy is carrying a Zacks Rank of #1 (Strong Buy).
Valuation is also important, so investors should note that Chewy has a Forward P/E ratio of 25.29 right now. For comparison, its industry has an average Forward P/E of 20.04, which means Chewy is trading at a premium to the group.
Also, we should mention that CHWY has a PEG ratio of 0.85. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. By the end of yesterday's trading, the Internet - Commerce industry had an average PEG ratio of 1.12.
The Internet - Commerce industry is part of the Retail-Wholesale sector. This industry, currently bearing a Zacks Industry Rank of 61, finds itself in the top 25% echelons of all 250+ industries.
The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Keep in mind to rely on Zacks.com to watch all these stock-impacting metrics, and more, in the succeeding trading sessions.
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Chewy (CHWY) Rises As Market Takes a Dip: Key Facts
In the latest market close, Chewy (CHWY - Free Report) reached $24.81, with a +1.72% movement compared to the previous day. The stock outpaced the S&P 500's daily loss of 0.5%. At the same time, the Dow added 0.5%, and the tech-heavy Nasdaq lost 1.28%.
Prior to today's trading, shares of the online pet store had lost 4.13% over the past month. This has lagged the Retail-Wholesale sector's loss of 1.37% and the S&P 500's gain of 0.1% in that time.
The investment community will be closely monitoring the performance of Chewy in its forthcoming earnings report. The company is expected to report EPS of $0.22, up 46.67% from the prior-year quarter. Simultaneously, our latest consensus estimate expects the revenue to be $2.86 billion, showing a 2.86% escalation compared to the year-ago quarter.
Looking at the full year, the Zacks Consensus Estimates suggest analysts are expecting earnings of $0.96 per share and revenue of $11.74 billion. These totals would mark changes of +39.13% and +5.54%, respectively, from last year.
Additionally, investors should keep an eye on any recent revisions to analyst forecasts 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 shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 1.5% increase. Currently, Chewy is carrying a Zacks Rank of #1 (Strong Buy).
Valuation is also important, so investors should note that Chewy has a Forward P/E ratio of 25.29 right now. For comparison, its industry has an average Forward P/E of 20.04, which means Chewy is trading at a premium to the group.
Also, we should mention that CHWY has a PEG ratio of 0.85. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. By the end of yesterday's trading, the Internet - Commerce industry had an average PEG ratio of 1.12.
The Internet - Commerce industry is part of the Retail-Wholesale sector. This industry, currently bearing a Zacks Industry Rank of 61, finds itself in the top 25% echelons of all 250+ industries.
The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Keep in mind to rely on Zacks.com to watch all these stock-impacting metrics, and more, in the succeeding trading sessions.