Chewy (NYSE:CHWY) Sets New 52-Week Low – What’s Next?

Chewy (NYSE:CHWY)’s share price hit a new 52-week low during mid-day trading on Wednesday . The company traded as low as $19.47 and last traded at $19.6150, with a volume of 19157032 shares changing hands. The stock had previously closed at $21.63.

More Chewy News

Here are the key news stories impacting Chewy this week:

• Negative Sentiment: Chewy’s investor-conference comments reportedly reflected caution on consumer spending, which could weigh on near-term sales growth and customer demand. Chewy slides nearly 8% as cautious consumer tone pressures shares at investor conference
• Negative Sentiment: The stock hit a new 52-week low, which often triggers additional technical and momentum-driven selling from traders and systematic funds. Chewy Stock Is Hit New 52-Week Low On Tuesday – Here’s Why
• Neutral Sentiment: Chewy presented at J.P. Morgan’s technology, media and communications conference, keeping the stock in focus, but the transcript itself does not provide a clear new catalyst. Chewy, Inc. (CHWY) Presents at J.P. Morgan 54th Annual Global Technology, Media and Communications Conference Transcript
• Neutral Sentiment: Chewy was also highlighted by analysts as a GARP-style stock and as a name with premium/value mix expansion potential, but these are longer-term supportive themes rather than immediate trading catalysts. Add These 4 GARP Stocks to Your Portfolio to Receive Handsome Returns

Analysts Set New Price Targets

Several analysts have recently commented on CHWY shares. Argus upgraded shares of Chewy to a “strong-buy” rating in a research report on Tuesday, April 7th. Raymond James Financial upgraded shares of Chewy from a “market perform” rating to an “outperform” rating and set a $28.00 price target on the stock in a research report on Thursday, February 19th. Citigroup lowered their price target on shares of Chewy from $40.00 to $37.00 and set a “buy” rating on the stock in a research report on Tuesday, May 12th. BNP Paribas Exane reiterated a “neutral” rating and issued a $28.00 price target (down from $38.00) on shares of Chewy in a research report on Thursday, March 26th. Finally, JPMorgan Chase & Co. lowered their price target on shares of Chewy from $46.00 to $40.00 and set an “overweight” rating on the stock in a research report on Thursday, March 26th. Two analysts have rated the stock with a Strong Buy rating, eighteen have assigned a Buy rating and five have given a Hold rating to the company. According to MarketBeat.com, Chewy presently has a consensus rating of “Moderate Buy” and an average price target of $42.77.

Chewy Price Performance

The firm’s 50-day moving average price is $25.15 and its 200 day moving average price is $29.05. The firm has a market capitalization of $8.17 billion, a price-to-earnings ratio of 37.72, a price-to-earnings-growth ratio of 0.94 and a beta of 1.50.

Chewy (NYSE:CHWY) last announced its earnings results on Wednesday, March 25th. The company reported $0.09 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.28 by ($0.19). Chewy had a return on equity of 53.48% and a net margin of 1.77%.The firm had revenue of $3.26 billion for the quarter, compared to analyst estimates of $3.26 billion. During the same quarter last year, the business posted $0.28 EPS. The firm’s revenue was up .5% compared to the same quarter last year. On average, analysts predict that Chewy will post 0.89 earnings per share for the current fiscal year.

Insider Buying and Selling

In related news, General Counsel Da-Wai Hu sold 8,149 shares of the firm’s stock in a transaction that occurred on Wednesday, April 1st. The shares were sold at an average price of $26.91, for a total transaction of $219,289.59. The sale was disclosed in a document filed with the SEC, which is accessible through the SEC website. Also, CEO Sumit Singh sold 4,220 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 $108,032.00. Following the sale, the chief executive officer owned 123,955 shares in the company, valued at approximately $3,173,248. This trade represents a 3.29% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. 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. In the last 90 days, insiders have sold 95,675 shares of company stock worth $2,459,955. 0.43% of the stock is owned by company insiders.

Institutional Trading of Chewy

Hedge funds have recently bought and sold shares of the company. CoreCap Advisors LLC boosted its holdings in shares of Chewy by 306.3% in the 4th quarter. CoreCap Advisors LLC now owns 845 shares of the company’s stock valued at $28,000 after purchasing an additional 637 shares during the last quarter. Harbour Investments Inc. boosted its holdings in shares of Chewy by 81.4% in the 4th quarter. Harbour Investments Inc. now owns 907 shares of the company’s stock valued at $30,000 after purchasing an additional 407 shares during the last quarter. Osterweis Capital Management Inc. acquired a new position in shares of Chewy in the 2nd quarter valued at $30,000. Los Angeles Capital Management LLC acquired a new position in shares of Chewy in the 4th quarter valued at $31,000. Finally, Modus Advisors LLC acquired a new position in shares of Chewy in the 4th quarter valued at $34,000. Institutional investors and hedge funds own 93.09% of the company’s stock.

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.