Key Takeaways CHWY Q3 adjusted EBITDA grew 30% to $180.9M, with margin up 100 basis points to 5.8%.CHWY targets a 10% EBITDA margin, with gains split between gross margin and expense leverage.CHWY expects FY25 EBITDA margin of 5.6%-5.7%, backed by Autoship and ad revenue strength.Chewy, Inc. (CHWY) posted a steady year-over-year profitability improvement in the third quarter of 2025 and remains firmly on course to achieve its long-term target of a 10% adjusted EBITDA margin. Third-quarter performance built ...

Core Viewpoint - Chewy's Autoship program, while highlighted as a significant revenue source, does not accurately reflect the company's recurring revenue potential, as the metric used is misleading and includes non-Autoship sales [2][5][11] Revenue and Financial Performance - Chewy generated $3.1 billion in revenue during the latest quarter, with nearly 84% attributed to what it calls Autoship customer sales [1][10] - Revenue growth was modest at 8.3% in the third quarter of 2025, and the core business operates with a low GAAP operating margin of 2.1% [10] Customer Metrics - The number of active customers reached 21.2 million in the latest quarter, indicating an increase in customer engagement and spending [7][8] - Chewy's definition of an Autoship customer includes any customer who has had an order shipped through the Autoship program in the past 364 days, which may inflate the perceived value of the Autoship metric [5][6] Valuation and Market Position - Chewy's stock has seen a significant decline, dropping over 40% from its 52-week high and nearly 80% from its all-time high during the pandemic [9] - The stock currently trades at approximately 20 times the average analyst estimate for 2026 adjusted earnings per share, making it more attractive compared to previous valuations [9][10] Future Growth Potential - Chewy's expansion into veterinary care could serve as a future growth driver, although the current financial metrics present challenges [8][11]

Investors looking for stocks in the Internet - Commerce sector might want to consider either Commerce.com (CMRC) or Chewy (CHWY) . But which of these two stocks offers value investors a better bang for their buck right now? We'll need to take a closer look.We have found that the best way to discover great value opportunities is to pair a strong Zacks Rank with a great grade in the Value category of our Style Scores system. The Zacks Rank favors stocks with strong earnings estimate revision trends, and our S ...

Pet retailer Chewy Inc (NYSE:CHWY) was last seen up 4.3% to trade at $25.20, after an upgrade from Raymond James to "outperform" from "market perform." The firm noted an "attractive" risk/reward profile after the stock's recent selloff, setting its price target at $28.Chewy stock hit a 52-week low of $23.06 this past Tuesday, but yesterday snapped a six-day losing streak. Since the start of 2026, the shares have already dropped 24.2%. Puts have been much more popular than usual over the past couple weeks, p ...

Top Wall Street analysts changed their outlook on these top names. For a complete view of all analyst rating changes, including upgrades, downgrades and initiations, please see our analyst ratings page.Considering buying CAKE stock? Here’s what analysts think: Photo via Shutterstock ...

Chewy, Inc. (NYSE:CHWY) is among the best money-making stocks to buy right now. On February 13, Chewy, Inc. (NYSE:CHWY) stock declined to $24.06. This is slightly higher than the stock’s 52-week low of $24.02. Despite this weak performance, 72% of the analysts remain bullish on the stock. With a consensus 1-year median price target of $46, the stock boasts an upside potential of 89.85%. Earlier, on February 6, Piper Sandler reaffirmed an Overweight rating and a price target of $48 on Chewy, Inc. (NYSE:CH ...

Core Insights - Chewy, Inc. will have its CEO, Sumit Singh, participate in a fireside chat at the Morgan Stanley Technology, Media & Telecom Conference on March 2, 2026 [1] - The event will be accessible via a live audio webcast on the company's investor relations website, with a replay available for 90 days post-event [1]

Core Viewpoint - Chewy (CHWY) is currently trading at $24.23 per share, making it an attractive option for long-term investors despite recent stock performance challenges [1][4]. Financial Performance - Chewy's stock has seen a decline, with average annual returns of -35.31% over the past year, 18.64% over the past three years, and 27.19% over the past five years [3]. - The company reported a revenue increase of 8.3% year over year in its third-quarter results, with gross profit margins rising by 0.5 percentage points [8]. Market Position - Chewy has a market capitalization of $10 billion and a current price-to-earnings (P/E) ratio of 24, significantly lower than its five-year average of 73 [5][8]. - The price-to-sales ratio stands at 0.82, also below its five-year average of 1.35, indicating a potentially undervalued stock [8]. Customer Loyalty and Revenue Streams - Chewy's Autoship service has been a significant contributor to its revenue, accounting for 84% of total revenue, showcasing strong customer loyalty [5][8]. - Net sales per active customer have been gradually increasing, indicating a positive trend in customer engagement [8]. Investment Potential - If Chewy continues to grow at 8%, an investment of $12,000 annually could yield substantial returns over time, potentially reaching over $3 million in 40 years [5]. - While Chewy is not expected to be the sole driver of wealth accumulation, it is positioned as a promising growth stock within a diversified portfolio [6].

Core Viewpoint - Growth stocks have been a significant driver of market performance over the past three years, but many are now considered overpriced, making it essential to evaluate individual companies for fair valuations [1] Company Overview - Chewy is the leading e-commerce provider for pet supplies, known for its strong customer loyalty [5] - The company has a net sales retention rate exceeding 100%, indicating that customers tend to spend more in subsequent years [6] Financial Performance - Chewy's Autoship program accounted for 84% of its sales in Q3 2025, allowing for predictable sales and improved inventory management [7] - The company achieved a 5.4% adjusted EBITDA margin over the trailing 12 months, with a long-term target of a 10% margin [7] Growth Opportunities - Chewy's expansion into pet healthcare, insurance, and advertising is expected to enhance margin growth and customer loyalty [8] - The integration of these services with core retail operations allows for higher-margin sales without significantly increasing operating expenses [8] Revenue and Earnings Projections - Chewy is expected to achieve solid revenue growth in the high single digits, with earnings projected to grow at 23% year-over-year [9]

Core Insights - Pet insurance can alleviate financial burdens from unexpected veterinary bills, and discounts can make these plans more affordable [1][21] - The analysis of 30 pet insurance plans identified the best discount opportunities available from various insurers [1][21] Group 1: MetLife Pet Insurance - MetLife is rated the highest for pet insurance discounts, offering a multi-pet discount of up to 5% and the ability to combine cats and dogs under one plan with shared deductibles [3][4] - Additional discounts include military, online purchase, first responders, healthcare workers, and affinity group discounts, along with a disappearing deductible that reduces the deductible by $50 for each claim-free year [4][8] - Average costs for coverage are $81.05/month for $5,000 and $128.59/month for $10,000, both with a $500 deductible and 90% reimbursement [8] Group 2: Lemonade Pet Insurance - Lemonade offers a multi-pet discount of up to 10% and a discount for paying the policy premium in full, with average rates being the second-lowest in the analysis [9][11] - Discounts are also available for bundling with other Lemonade insurance policies, such as auto or home insurance [9][11] - Average costs for coverage are $63.96/month for $5,000 and $72.81/month for $15,000, both with a $500 deductible and 90% reimbursement [18] Group 3: Liberty Mutual Pet Insurance - Liberty Mutual provides a multi-pet discount of up to 10% for three or more pets and allows stacking of military and multipolicy discounts [11][13] - The average cost for $5,000 annual coverage is $56.96/month, making it the lowest among the evaluated insurers [13][15] - Discounts are available for annual payments and bundling with other insurance types [13][15] Group 4: Chewy Pet Insurance - Chewy's Lemonade plan offers discounts of up to 10% for multiple pets and a 10% discount for bundling with other Lemonade insurance policies [15][19] - Average costs for $5,000 annual coverage are $63.96/month, with a $500 deductible and 90% reimbursement [18] - Chewy's Trupanion plan received lower ratings due to fewer discount options [15] Group 5: USAA Pet Insurance - USAA offers exclusive discounts for military members, including a 10% discount for service dog owners and a multi-pet discount of up to 10% [20][24] - Average costs for $5,000 annual coverage are $67.05/month, with a $500 deductible and 90% reimbursement [24] - USAA's plans are available only to military members, veterans, and their immediate family [20] Group 6: General Insights on Discounts - Discounts for pet insurance vary widely among insurers, with common types including multi-pet, bundling, and military discounts [21][26] - Many insurers allow stacking of discounts, which can significantly reduce overall premiums [21][26] - The analysis indicates that over one-third of pet owners have multiple pets, making multi-pet discounts a valuable consideration [22][26]