Chewy (NYSE:CHWY) Shares Gap Down – Time to Sell?

Chewy, Inc. (NYSE:CHWY) shares gapped down prior to trading on Wednesday . The stock had previously closed at $33.62, but opened at $30.81. Chewy shares last traded at $31.14, with a volume of 5,818,740 shares.

Wall Street Analyst Weigh In

A number of analysts have issued reports on the company. TD Cowen assumed coverage on Chewy in a research note on Wednesday, October 9th. They issued a “buy” rating and a $38.00 target price for the company. UBS Group raised their price objective on Chewy from $30.00 to $34.00 and gave the stock a “neutral” rating in a research report on Tuesday. Royal Bank of Canada raised their price objective on Chewy from $24.00 to $32.00 and gave the stock an “outperform” rating in a research report on Thursday, August 29th. Raymond James downgraded Chewy from an “outperform” rating to a “market perform” rating in a research report on Wednesday, August 21st. Finally, JPMorgan Chase & Co. lifted their target price on Chewy from $28.00 to $33.00 and gave the company an “overweight” rating in a research report on Thursday, August 29th. Eight research analysts have rated the stock with a hold rating and fourteen have given a buy rating to the company. According to MarketBeat, the company has a consensus rating of “Moderate Buy” and a consensus target price of $32.80.

Chewy Stock Down 1.0 %

The stock has a fifty day moving average of $30.31 and a 200-day moving average of $26.99. The stock has a market capitalization of $13.91 billion, a price-to-earnings ratio of 37.35, a P/E/G ratio of 3.15 and a beta of 1.12.

Chewy (NYSE:CHWY) last announced its quarterly earnings results on Wednesday, December 4th. The company reported $0.20 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.05 by $0.15. The firm had revenue of $2.89 billion during the quarter, compared to the consensus estimate of $2.86 billion. Chewy had a return on equity of 21.00% and a net margin of 3.20%. The firm’s quarterly revenue was up 5.2% compared to the same quarter last year. During the same period in the prior year, the company posted ($0.08) earnings per share. On average, equities analysts forecast that Chewy, Inc. will post 0.33 EPS for the current fiscal year.

Insider Activity

In other news, major shareholder Argos Holdings Gp Llc sold 26,870,748 shares of the stock in a transaction that occurred on Monday, September 23rd. The stock was sold at an average price of $29.40, for a total value of $789,999,991.20. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Corporate insiders own 2.10% of the company’s stock.

Institutional Investors Weigh In On Chewy

Hedge funds have recently modified their holdings of the stock. 1620 Investment Advisors Inc. acquired a new stake in shares of Chewy during the second quarter worth $33,000. Blue Trust Inc. raised its position in Chewy by 183.6% in the third quarter. Blue Trust Inc. now owns 1,398 shares of the company’s stock worth $38,000 after acquiring an additional 905 shares in the last quarter. Industrial Alliance Investment Management Inc. purchased a new position in Chewy in the second quarter worth $44,000. First Horizon Advisors Inc. purchased a new position in Chewy in the second quarter worth $48,000. Finally, Planning Capital Management Corp purchased a new position in Chewy in the third quarter worth $52,000. 93.09% of the stock is owned by institutional investors and hedge funds.

Chewy Company Profile

Chewy, Inc, together with its subsidiaries, engages in the pure play e-commerce business in the United States. It provides pet food and treats, pet supplies and pet medications, and other pet-health products, as well as pet services for dogs, cats, fish, birds, small pets, horses, and reptiles through its retail websites and mobile applications.