CART or CHWY: Which Is the Better Value Stock Right Now?

Core Insights - The article compares two Internet - Commerce stocks, Maplebear (CART) and Chewy (CHWY), to determine which offers better value for investors [1] Group 1: Zacks Rank and Analyst Outlook - Maplebear has a Zacks Rank of 2 (Buy), indicating a more favorable earnings estimate revision trend compared to Chewy, which has a Zacks Rank of 3 (Hold) [3] - The improving analyst outlook for CART suggests a more positive sentiment among analysts compared to CHWY [3] Group 2: Valuation Metrics - CART has a forward P/E ratio of 18.02, significantly lower than CHWY's forward P/E of 26.72, indicating that CART may be undervalued [5] - The PEG ratio for CART is 1.07, while CHWY's PEG ratio is 1.46, suggesting that CART has a better balance between its price and expected earnings growth [5] - CART's P/B ratio is 3.19, compared to CHWY's P/B of 30.02, further highlighting CART's relative undervaluation [6] Group 3: Value Grades - CART has a Value grade of B, while CHWY has a Value grade of D, indicating that CART is perceived as a better value investment [6] - The combination of Zacks Rank and Style Scores suggests that value investors may prefer CART over CHWY at this time [6]