Why Chewy Stock Sank by 6% on Thursday

Chewy (NYSE: CHWY) stock took another hit on Thursday, a day after getting dinged by investors reacting to the company's third-quarter earnings report. While there was no direct news of note from the company, one analyst tracking its shares downgraded his recommendation. The result was that Chewy's share price fell by 6% across the trading session, a notably steeper decline than the S&P 500 index's 0.2% drop.Well before market open that day, Exane BNP Paribas' Chris Bottiglieri changed his recommendation on Chewy. It's now a neutral, according to him, where previously he felt it was worthy of an outperform (i.e., buy). His price target currently stands at $30 per share. It wasn't immediately clear why Bottiglieri made the adjustment, although it hardly seems coincidental that it almost immediately followed that earnings announcement. Although the pet care company managed to grow its revenue and flip to a bottom-line profit, its net income figure came in under the consensus analyst estimate. Continue readingWeiter zum vollständigen Artikel bei MotleyFool Weiter zum vollständigen Artikel bei MotleyFool