Chewy (CHWY) Stock Sinks As Market Gains: What You Should Know
In the latest trading session, Chewy (CHWY) closed at $40.92, marking a -0.12% move from the previous day. This change lagged the S&P 500's daily gain of 0.48%. Elsewhere, the Dow gained 0.59%, while the tech-heavy Nasdaq lost 0.15%.
Coming into today, shares of the online pet store had gained 17.59% in the past month. In that same time, the Consumer Staples sector gained 7.92%, while the S&P 500 gained 7.49%.
Investors will be hoping for strength from Chewy as it approaches its next earnings release, which is expected to be December 8, 2022. In that report, analysts expect Chewy to post earnings of -$0.08 per share. This would mark a year-over-year decline of 166.67%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $2.51 billion, up 13.26% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of -$0.11 per share and revenue of $10.1 billion. These totals would mark changes of -466.67% and +13.6%, respectively, from last year.
Any recent changes to analyst estimates for Chewy should also be noted by investors. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 5.1% lower within the past month. Chewy is holding a Zacks Rank of #3 (Hold) right now.
The Consumer Products - Staples industry is part of the Consumer Staples sector. This industry currently has a Zacks Industry Rank of 186, which puts it in the bottom 27% 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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