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Chewy (CHWY) Dips More Than Broader Markets: What You Should Know

Zacks Equity Research

Chewy (CHWY) closed the most recent trading day at $30.73, moving -0.87% from the previous trading session. This change lagged the S&P 500's daily loss of 0.32%. Elsewhere, the Dow lost 0.47%, while the tech-heavy Nasdaq lost 0.34%.

Prior to today's trading, shares of the online pet store had lost 9.25% over the past month. This has lagged the Consumer Staples sector's loss of 1.42% and the S&P 500's loss of 4.64% in that time.

Investors will be hoping for strength from CHWY as it approaches its next earnings release.

Investors should also note any recent changes to analyst estimates for CHWY. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.

Based on our research, we believe these estimate revisions are directly related to near-team stock moves. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.

The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. CHWY is currently a Zacks Rank #2 (Buy).

The Consumer Products - Staples industry is part of the Consumer Staples sector. This group has a Zacks Industry Rank of 35, putting it in the top 14% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

You can find more information on all of these metrics, and much more, on Zacks.com.


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