Company Overview - Maev is the first and only human-grade raw dog food brand, founded in 2019 by Katie Spies, an MIT Engineer and dog parent [4] - The brand's mission is to provide easy-to-feed, efficacious daily nutrition for dogs, developed with the assistance of PhD veterinary nutritionists [4] Product Offering - Maev offers a range of premium raw-frozen dog food products, including Beef, Chicken, and Puppy formulas, designed to meet the nutritional needs of dogs [1] - The products are free from additives, fillers, and heat-driven nutrient loss, providing higher protein and nutrient value compared to kibble and home-cooked meals [1] - Maev's formulas are designed to deliver noticeable benefits in 28 days or less [1] Market Position and Growth - The frozen raw dog food market is experiencing remarkable growth, with Maev establishing itself as a leader in this segment [1] - The availability of Maev products on Chewy represents a significant milestone in making premium raw dog food accessible nationwide [2] Vision and Commitment - Maev aims to elevate pet nutrition and empower dog owners to make healthier choices for their pets [2] - The company is committed to improving the lives of dogs through high-quality nutrition [2]

Core Insights - Long-term investing is preferable to market timing, which is often ineffective [1] - Growth stocks can be volatile but offer significant returns if backed by strong businesses [2] Company Analysis: Eli Lilly - Eli Lilly has seen a resurgence in growth due to its GLP-1 drugs, with a 118% increase in annual profitability and a 71% increase in revenue over the past decade [3][4] - The company currently pays an annual dividend of $6 per share, yielding approximately 0.75%, with a payout ratio of about 54% [5] - Eli Lilly's drug portfolio includes successful treatments across various disease areas, with recent approvals for Kisunla, Ebglyss, and Omvoh expected to drive growth [6][7][8] - Preliminary revenue estimates for 2024 indicate a 32% increase compared to 2023, totaling $45 billion, despite a slight downward revision from previous guidance [9] - For the first nine months of 2024, Eli Lilly reported $32 billion in revenue, a 27% increase year-over-year, and net income of approximately $6.2 billion, doubling the previous year's profits [10] - The demand for Eli Lilly's products positions it well for continued growth and profitability [11] Company Analysis: Chewy - Chewy operates a pet e-commerce platform, with its Autoship subscription service accounting for 80% of net sales, totaling $2.3 billion in Q3 2024, a 9% increase from the previous year [12][14] - The majority of Chewy's sales come from non-discretionary purchases, which made up 85% of net sales in Q3 2024 [16] - Chewy is expanding its revenue sources through online pet pharmacy services, telehealth, health insurance, and a new advertising program expected to contribute 1% to 3% of net sales in fiscal 2024 [17] - The company is also opening vet clinics across the U.S., with six already operational, targeting a $25 billion addressable market [18][19] - Despite heavy investments in growth, Chewy generated $4 million in net income in Q3 2024, indicating resilience in its business model [20]

Group 1 - The article provides an update on Chewy Inc. (NYSE: CHWY) following a previous bullish recommendation based on the Investor Day review [1] - The author emphasizes a fundamentals-based approach to value investing, focusing on companies with long-term durability and robust balance sheets [1] - There is a disagreement with the notion that low multiple stocks are inherently cheap, highlighting the importance of valuation in investment decisions [1] Group 2 - The author expresses a belief that in certain situations, the potential for growth can outweigh immediate price concerns [1]

Core Insights - Chewy Inc. has experienced a 6% increase in stock value over the past month, closing at $37.01, which is 5.3% below its 52-week high of $39.10 [1][7] - The stock is currently trading at a forward 12-month P/E multiple of 29.97X, above the industry average of 25.96X, raising questions about the potential for further upside [1][4] - The company is projected to achieve net sales between $11.79 billion and $11.81 billion for fiscal 2024, reflecting an approximate 6% year-over-year growth [10] Financial Performance - Chewy's Autoship program generated $2.3 billion in sales during the third quarter, accounting for 80% of net sales and showing an 8.7% year-over-year increase [11] - The active customer base grew by 160,000 in the third quarter, reaching 20.2 million, with net sales per active customer increasing by 4.2% year-over-year to $567 [14] - The adjusted EBITDA margin expanded to 4.8% in the third quarter, but guidance for the fourth quarter indicates a decline to 3.4% due to higher seasonal marketing costs [18] Market Position and Strategy - Chewy has entered the veterinary services market with Chewy Vet Care, targeting a $25 billion addressable market and operating six veterinary clinics [15] - The company's sponsored ads business is on track to meet its long-term target range of 1-3% of net sales by fiscal 2024, contributing to gross margin improvement [16] - Chewy's expansion into the Canadian market is showing positive results, with improvements in Autoship penetration and net sales growth [16] Challenges and Outlook - Analysts have revised earnings estimates downward, with the Zacks Consensus Estimate for fiscal 2024 now at $1.08 per share, down from previous estimates [21] - The company faces challenges such as slowing growth, potential customer acquisition saturation, and rising cost pressures in a price-sensitive market [17][19] - Elevated advertising and marketing expenses reached $191.8 million in the third quarter, which could strain profitability if revenue growth does not accelerate [20]

Shares of leading pet e-commerce behemoth Chewy (CHWY 5.58%) were up 5% as of 12:45 p.m. ET on Friday, according to data provided by S&P Global Market Intelligence.Following five separate price target increases from analysts in December, Chewy received its first upgrade of the new year from Wolfe Research, which named the stock one of its top picks for 2025.Does Chewy still have room to run?Despite Chewy's stock already doubling from its 2024 lows, Wolfe Research (and I) believe the best is yet to come. The ...

Core Viewpoint - Chewy Inc (NYSE:CHWY) has received an upgrade from Wolfe Research, moving from "peer perform" to "outperform," highlighting potential for revenue and margin growth along with a strong valuation [1] Group 1: Stock Performance - Over the last nine months, Chewy's stock has increased nearly 107%, with a year-over-year gain of 62.2% [2] - The stock is approaching its 12-month high of $39.10, reached on June 27, following a recovery from an early November bear gap [2] Group 2: Analyst Ratings - Despite positive price movements, 11 out of 27 analysts still rate Chewy stock as a "hold," indicating potential for further upgrades [3] - A short squeeze could provide additional upward momentum, as short interest represents 7.4% of the stock's available float, equating to over two days of buying power [3] Group 3: Options Market - Options trading appears to be an affordable strategy, with Chewy's Schaeffer's Volatility Index (SVI) at 46%, ranking in the 4th percentile of its annual range, suggesting lower-than-usual volatility expectations [4]

Ex-hedge fund analyst with a strong interest in finding winners and losers in industries where corporate strategy matters most. I focus on analysing the market structure, competitive positioning and strategic catalysts that lead to money-making ideas in varying time horizons. Enjoy reading the research!Analyst’s Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, but may initiate a beneficial Long position through a purchase of the stock, or the purchase ...

PLANTATION, FLORIDA - JUNE 01: Exterior view of the Chewy Inc.’s headquarters building on June 01, ... [+] 2023 in Plantation, Florida. (Photo by Joe Raedle/Getty Images)Getty ImagesChewy’s stock (NYSE: CHWY) has experienced a notable 47% surge in the last year to around $32 (Dec 18), garnering significant investor attention. Chewy’s stock has plummeted 73% from its February 2021 peak of approximately $120 and currently trades at a level lower than its June 2019 initial public offering price ($35). The pand ...

Tractor Supply Company (TSCO) has announced the nationwide expansion of Stella & Chewy's product offerings at its Petsense by Tractor Supply stores yesterday. The expanded selection includes freeze-dried raw patties, meal mixers, kibble and raw-inspired nutrition solutions for dogs and cats, catering to the rising demand for premium, natural pet food.To celebrate the launch and encourage customers to engage in the product trial, the company offers a 20% discount on all Stella & Chewy’s freeze-dried raw dog ...

Chewy Inc. (CHWY) has surged an impressive 36.5% year to date, capturing the attention of investors. With this strong run on the bourses, many are wondering whether Chewy stock still has room to run or if it is time to take profits. With its continued dominance in the pet care space and ambitious expansion plans, Chewy presents opportunities and potential risks. As investors look for their next best move, evaluating whether this rally is sustainable or if the stock is primed for a pullback is important.Whil ...