In the latest close session, Chewy (CHWY) was down 3.79% at $33.47. This change lagged the S&P 500's daily gain of 0.25%. Meanwhile, the Dow experienced a rise of 0.39%, and the technology-dominated Nasdaq saw an increase of 0.59%.
Prior to today's trading, shares of the online pet store had gained 5.68% outpaced the Retail-Wholesale sector's loss of 0.34% and the S&P 500's loss of 0.23%.
Analysts and investors alike will be keeping a close eye on the performance of Chewy in its upcoming earnings disclosure. The company's earnings report is set to go public on December 10, 2025. The company is forecasted to report an EPS of $0.31, showcasing a 55% upward movement from the corresponding quarter of the prior year. Simultaneously, our latest consensus estimate expects the revenue to be $3.09 billion, showing a 7.49% escalation compared to the year-ago quarter.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $1.27 per share and revenue of $12.59 billion, indicating changes of +22.12% and +6.12%, respectively, compared to the previous year.
Investors should also note any recent changes to analyst estimates for Chewy. Recent revisions tend to reflect the latest near-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the business and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an 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 0.64% upward. Chewy is currently sporting a Zacks Rank of #3 (Hold).
With respect to valuation, Chewy is currently being traded at a Forward P/E ratio of 27.35. This represents a premium compared to its industry average Forward P/E of 18.55.
We can also see that CHWY currently has a PEG ratio of 3.52. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Internet - Commerce industry currently had an average PEG ratio of 1.38 as of yesterday's close.
The Internet - Commerce industry is part of the Retail-Wholesale sector. At present, this industry carries a Zacks Industry Rank of 95, placing it within the top 39% of over 250 industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within 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): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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