PETCO does not really compete with PETM. PETM has much larger stores and much lower prices. PETCO exists because of geography.
Last time I looked PETM prices were within 5% of those of any other seller, including WalMart, Target, etc. .
We heard that PETM would suffer when WalMart expanded their pet line. Never happened. Same Target.
According to Motley Fool, this Nomuro downgrade is the worst analyst recommendation of the week.
Is AMZN a growing competitor?
What!!!! Me Worry!!!!!
AMZN sells almost everything by the internet. They have been selling pet goods for a while. PETM has been very successful taking on all comers over the years. I see no reason anyone will hurt them now.