In This Article:
Chewy (CHWY) closed at $37.21 in the latest trading session, marking a +0.19% move from the prior day. The stock fell short of the S&P 500, which registered a gain of 0.58% for the day. Meanwhile, the Dow experienced a rise of 0.75%, and the technology-dominated Nasdaq saw an increase of 0.55%.
The the stock of online pet store has risen by 14.24% in the past month, leading the Retail-Wholesale sector's loss of 0.19% and the S&P 500's loss of 0.84%.
The investment community will be closely monitoring the performance of Chewy in its forthcoming earnings report. The company's upcoming EPS is projected at $0.34, signifying a 9.68% increase compared to the same quarter of the previous year. Alongside, our most recent consensus estimate is anticipating revenue of $3.07 billion, indicating a 6.85% upward movement from the same quarter last year.
For the annual period, the Zacks Consensus Estimates anticipate earnings of $1.23 per share and a revenue of $12.4 billion, signifying shifts of +18.27% and +4.52%, respectively, from the last year.
Furthermore, it would be beneficial for investors to monitor any recent shifts in analyst projections for Chewy. Recent revisions tend to reflect the latest near-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding 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 past month, the Zacks Consensus EPS estimate has shifted 3.83% upward. Chewy presently features a Zacks Rank of #2 (Buy).
In the context of valuation, Chewy is at present trading with a Forward P/E ratio of 30.17. This signifies a premium in comparison to the average Forward P/E of 23.45 for its industry.
We can also see that CHWY currently has a PEG ratio of 3.19. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. The average PEG ratio for the Internet - Commerce industry stood at 1.39 at the close of the market yesterday.
The Internet - Commerce industry is part of the Retail-Wholesale sector. At present, this industry carries a Zacks Industry Rank of 83, placing it within the top 34% of over 250 industries.