Chewy (CHWY) Rises Higher Than Market: Key Facts

Core Viewpoint - Chewy is showing strong performance in the market, with significant gains in stock price and positive earnings forecasts, indicating investor confidence and potential growth opportunities. Group 1: Stock Performance - Chewy closed at $37.50, reflecting a +0.78% change from the previous day, outperforming the S&P 500's gain of 0.15% [1] - Over the past month, Chewy's shares increased by 11.14%, significantly surpassing the Retail-Wholesale sector's gain of 0.27% and the S&P 500's loss of 0.21% [1] Group 2: Earnings Forecast - Chewy is expected to report an EPS of $0.34, representing a 9.68% increase from the same quarter last year, with projected revenue of $3.07 billion, a 6.85% rise year-over-year [2] - For the entire year, the Zacks Consensus Estimates predict earnings of $1.23 per share and revenue of $12.4 billion, indicating increases of +18.27% and +4.52%, respectively, compared to the previous year [3] Group 3: Analyst Estimates and Rankings - Recent modifications to analyst estimates for Chewy reflect short-term business trends, with positive revisions indicating analysts' confidence in the company's performance [4] - The Zacks Rank system, which assesses estimated changes, currently ranks Chewy at 2 (Buy), with the Zacks Consensus EPS estimate having increased by 3.83% in the past month [6] Group 4: Valuation Metrics - Chewy's Forward P/E ratio stands at 30.23, higher than the industry average of 23.44, suggesting that Chewy is trading at a premium [7] - The company has a PEG ratio of 3.2, compared to the Internet - Commerce industry's average PEG ratio of 1.41, indicating a higher valuation relative to expected earnings growth [8] Group 5: Industry Context - The Internet - Commerce industry, part of the Retail-Wholesale sector, holds a Zacks Industry Rank of 61, placing it in the top 25% of over 250 industries, suggesting strong overall performance [8][9]