Chewy (CHWY) Stock Slides as Market Rises: Facts to Know Before You Trade

Chewy (CHWY) closed the most recent trading day at $38.51, moving -0.28% from the previous trading session. This change lagged the S&P 500's daily gain of 0.39%. On the other hand, the Dow registered a gain of 0.71%, and the technology-centric Nasdaq increased by 0.2%.The online pet store's stock has climbed by 7.97% in the past month, falling short of the Retail-Wholesale sector's gain of 8.29% and outpacing the S&P 500's gain of 1.7%.Analysts and investors alike will be keeping a close eye on the performance of Chewy in its upcoming earnings disclosure. The company is predicted to post an EPS of $0.20, indicating a 11.11% growth compared to the equivalent quarter last year. Simultaneously, our latest consensus estimate expects the revenue to be $3.2 billion, showing a 13.11% escalation compared to the year-ago quarter.Investors might also notice recent changes to analyst estimates for Chewy. These latest adjustments often mirror the shifting dynamics of short-term business patterns. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.Research indicates that these estimate revisions are directly correlated with near-term share price momentum. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, there's been a 0.32% fall in the Zacks Consensus EPS estimate. Currently, Chewy is carrying a Zacks Rank of #3 (Hold).Looking at its valuation, Chewy is holding a Forward P/E ratio of 31.15. This expresses a premium compared to the average Forward P/E of 20.55 of its industry.It is also worth noting that CHWY currently has a PEG ratio of 0.84. 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 1.1 at the close of the market yesterday.The Internet - Commerce industry is part of the Retail-Wholesale sector. This group has a Zacks Industry Rank of 40, putting it in the top 16% of all 250+ industries.The Zacks Industry Rank gauges the strength of our individual 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.Don't forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.5 Stocks Set to DoubleEach was handpicked by a Zacks expert as the #1 favorite stock to gain +100% or more in 2024. While not all picks can be winners, previous recommendations have soared +143.0%, +175.9%, +498.3% and +673.0%.Most of the stocks in this report are flying under Wall Street radar, which provides a great opportunity to get in on the ground floor.Today, See These 5 Potential Home Runs >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Chewy (CHWY): Free Stock Analysis ReportTo read this article on Zacks.com click here.Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks