Chewy (NYSE:CHWY) Reaches New 12-Month Low – Should You Sell?

Chewy (NYSE:CHWY)’s stock price hit a new 52-week low during mid-day trading on Tuesday . The company traded as low as $22.74 and last traded at $23.17, with a volume of 1682407 shares traded. The stock had previously closed at $23.59.

More Chewy News

Here are the key news stories impacting Chewy this week:

• Positive Sentiment: Q4 results and upbeat 2026 outlook — Chewy reported higher profit, revenue roughly in line with expectations and gave a confident full‑year outlook that emphasizes margin expansion and free‑cash‑flow growth, which drove the stock rally. Chewy Announces Fiscal Fourth Quarter and Full Year 2025 Financial Results
• Positive Sentiment: Margin and cash‑flow improvement — Research/coverage highlights expanding EBITDA and free‑cash‑flow margins (FCF up ~48% to $232M), supporting the thesis that Chewy is converting revenue into stronger profitability. Chewy: Expanding Margin Profile
• Positive Sentiment: AI and efficiency tailwinds — Analysts and commentary point to AI‑driven cost savings and technology upgrades that should sustainably lift margins over the coming years, supporting investor optimism about profit leverage. Why Chewy Stock Rallied Today
• Positive Sentiment: Management messaging — CEO Sumit Singh’s interview and the earnings call underscored Autoship strength, product mix gains and a path to higher margins, which reassured investors. Watch CNBC’s full interview with Chewy CEO Sumit Singh
• Neutral Sentiment: Unusual options and trading flows amplified the move — Heavy call buying and elevated option volume suggest event‑driven positioning and possible short‑covering contributed to the intraday pop beyond fundamentals. Chewy Sees Unusually Large Options Volume (NYSE:CHWY)
• Neutral Sentiment: Analyst support — Some firms reiterated or raised bullish views (upgrades/Buy ratings and attractive valuation commentary), which likely helped momentum but consensus targets remain dispersed. Chewy: This Is What A Mispriced Growth Stock Looks Like (Upgrade)
• Negative Sentiment: Near‑term execution risks and prior weakness — the stock had traded to a 52‑week low before earnings, and Q4 GAAP/non‑GAAP EPS was effectively flat to a penny shy of some estimates; continued pressure on top‑line growth or execution could weigh on the shares. Chewy stock hits 52-week low

Analyst Upgrades and Downgrades

CHWY has been the topic of a number of research analyst reports. Barclays reduced their price objective on shares of Chewy from $52.00 to $48.00 and set an “overweight” rating on the stock in a research note on Thursday, March 5th. Needham & Company LLC reissued a “hold” rating on shares of Chewy in a research report on Thursday, December 11th. Raymond James Financial upgraded shares of Chewy from a “market perform” rating to an “outperform” rating and set a $28.00 target price on the stock in a research note on Thursday, February 19th. Weiss Ratings reiterated a “hold (c)” rating on shares of Chewy in a research note on Wednesday, January 21st. Finally, Morgan Stanley lowered their price objective on Chewy from $51.00 to $50.00 and set an “overweight” rating for the company in a report on Tuesday, March 10th. Seventeen analysts have rated the stock with a Buy rating and four have assigned a Hold rating to the company. According to data from MarketBeat, the company has an average rating of “Moderate Buy” and a consensus target price of $45.55.

Chewy Stock Up 13.1%

The firm’s 50 day simple moving average is $27.19 and its two-hundred day simple moving average is $32.34. The stock has a market cap of $11.00 billion, a P/E ratio of 55.23, a price-to-earnings-growth ratio of 1.59 and a beta of 1.60.

Insider Activity at Chewy

In other news, CTO Satish Mehta sold 13,013 shares of Chewy stock in a transaction dated Monday, February 2nd. The shares were sold at an average price of $28.99, for a total value of $377,246.87. Following the completion of the transaction, the chief technology officer directly owned 273,835 shares of the company’s stock, valued at approximately $7,938,476.65. The trade was a 4.54% decrease in their position. The transaction was disclosed in a filing with the SEC, which is accessible through this hyperlink. Company insiders own 0.43% of the company’s stock.

Hedge Funds Weigh In On Chewy

A number of large investors have recently bought and sold shares of the business. Wellington Management Group LLP grew its holdings in shares of Chewy by 295.9% during the third quarter. Wellington Management Group LLP now owns 17,622,768 shares of the company’s stock valued at $712,841,000 after purchasing an additional 13,171,325 shares during the last quarter. Viking Global Investors LP lifted its holdings in shares of Chewy by 146.9% in the 4th quarter. Viking Global Investors LP now owns 13,536,645 shares of the company’s stock worth $447,386,000 after purchasing an additional 8,052,955 shares during the last quarter. AQR Capital Management LLC boosted its position in Chewy by 120.2% during the 3rd quarter. AQR Capital Management LLC now owns 10,196,146 shares of the company’s stock valued at $407,948,000 after purchasing an additional 5,564,803 shares during the period. Norges Bank acquired a new position in Chewy during the 4th quarter valued at approximately $154,647,000. Finally, State Street Corp grew its stake in Chewy by 75.5% during the 2nd quarter. State Street Corp now owns 6,170,197 shares of the company’s stock worth $262,974,000 after buying an additional 2,654,496 shares during the last quarter. Institutional investors own 93.09% of the company’s stock.

Chewy Company Profile

Chewy, Inc (NYSE: CHWY) is a leading e-commerce retailer specializing in pet food, supplies and services. The company offers a comprehensive assortment of products for dogs, cats, fish, birds and other small animals, including prescription medications, veterinary health products, grooming essentials and toys. Through its online platform and mobile app, Chewy provides an intuitive shopping experience with features such as Autoship, ensuring regular deliveries of pet essentials at schedule intervals.

Founded in 2011 by Ryan Cohen and Michael Day, Chewy initially operated under the name Mr.