Chewy (NYSE:CHWY) Raised to Outperform at Mizuho

Chewy (NYSE:CHWY) was upgraded by research analysts at Mizuho from a “neutral” rating to an “outperform” rating in a report released on Monday, MarketBeat.com reports. The brokerage presently has a $42.00 price target on the stock, up from their prior price target of $24.00. Mizuho’s price target suggests a potential upside of 17.15% from the company’s previous close.

Other analysts have also recently issued research reports about the stock. Morgan Stanley increased their price target on shares of Chewy from $33.00 to $36.00 and gave the stock an “overweight” rating in a research report on Monday, November 25th. Bank of America upgraded shares of Chewy from an “underperform” rating to a “buy” rating and increased their target price for the stock from $24.00 to $40.00 in a report on Wednesday, November 20th. Piper Sandler boosted their price target on shares of Chewy from $35.00 to $40.00 and gave the stock an “overweight” rating in a research note on Monday, December 2nd. Wedbush reiterated an “outperform” rating and issued a $39.00 price objective (up from $35.00) on shares of Chewy in a research note on Thursday, December 5th. Finally, Robert W. Baird boosted their target price on Chewy from $35.00 to $40.00 and gave the stock an “outperform” rating in a research note on Monday, November 25th. Seven research analysts have rated the stock with a hold rating and sixteen have assigned a buy rating to the stock. According to data from MarketBeat.com, the stock has a consensus rating of “Moderate Buy” and an average price target of $35.70.

Chewy Stock Performance

NYSE:CHWY opened at $35.85 on Monday. Chewy has a fifty-two week low of $14.69 and a fifty-two week high of $39.10. The company has a 50 day moving average price of $32.73 and a 200 day moving average price of $29.13. The stock has a market capitalization of $14.60 billion, a P/E ratio of 39.40, a PEG ratio of 4.28 and a beta of 1.10.

Chewy (NYSE:CHWY) last released its quarterly earnings results on Wednesday, December 4th. The company reported $0.20 EPS for the quarter, topping the consensus estimate of $0.05 by $0.15. Chewy had a return on equity of 24.47% and a net margin of 3.51%. The business had revenue of $2.89 billion during the quarter, compared to analyst estimates of $2.86 billion. During the same period last year, the business posted ($0.08) earnings per share. The company’s quarterly revenue was up 5.2% on a year-over-year basis. Research analysts forecast that Chewy will post 0.24 earnings per share for the current fiscal year.

Insider Buying and Selling

In other news, CEO Sumit Singh sold 71,161 shares of the firm’s stock in a transaction that occurred on Thursday, December 19th. The shares were sold at an average price of $32.50, for a total transaction of $2,312,732.50. Following the transaction, the chief executive officer now directly owns 77,838 shares in the company, valued at approximately $2,529,735. This trade represents a 47.76 % decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is accessible through this link. Also, major shareholder Argos Holdings Gp Llc sold 1,250,000 shares of the company’s stock in a transaction on Tuesday, October 15th. The shares were sold at an average price of $29.40, for a total transaction of $36,750,000.00. The disclosure for this sale can be found here. Insiders have sold 21,990,619 shares of company stock worth $689,372,618 in the last ninety days. 2.10% of the stock is owned by corporate insiders.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently bought and sold shares of CHWY. BC Partners Advisors L.P. acquired a new stake in shares of Chewy during the second quarter worth about $7,517,800,000. Marshall Wace LLP raised its stake in Chewy by 1,028.6% during the 2nd quarter. Marshall Wace LLP now owns 2,892,841 shares of the company’s stock valued at $78,801,000 after acquiring an additional 2,636,526 shares during the last quarter. FMR LLC lifted its position in Chewy by 166.8% during the 3rd quarter. FMR LLC now owns 3,995,329 shares of the company’s stock worth $117,023,000 after acquiring an additional 2,497,689 shares during the period. Clearbridge Investments LLC purchased a new position in shares of Chewy in the 2nd quarter valued at approximately $40,798,000. Finally, Eagle Asset Management Inc. increased its holdings in shares of Chewy by 97.9% in the third quarter. Eagle Asset Management Inc. now owns 1,972,136 shares of the company’s stock valued at $60,485,000 after purchasing an additional 975,647 shares during the period. 93.09% of the stock is owned by hedge funds and other institutional investors.

About Chewy

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.