Chewy (NYSE:CHWY) Reaches New 1-Year Low – Should You Sell?

Chewy (NYSE:CHWY)’s stock price reached a new 52-week low on Wednesday . The stock traded as low as $19.47 and last traded at $19.6150, with a volume of 19157032 shares changing hands. The stock had previously closed at $21.63.

Analyst Ratings Changes

Several equities analysts have recently commented on the company. Zacks Research upgraded Chewy from a “hold” rating to a “strong-buy” rating in a research report on Thursday, April 16th. Raymond James Financial upgraded Chewy from a “market perform” rating to an “outperform” rating and set a $28.00 price objective on the stock in a research report on Thursday, February 19th. Citizens Jmp reduced their price objective on Chewy from $48.00 to $45.00 and set a “market outperform” rating on the stock in a research report on Thursday, March 26th. The Goldman Sachs Group reduced their price objective on Chewy from $52.00 to $46.00 and set a “buy” rating on the stock in a research report on Thursday, March 26th. Finally, Guggenheim reiterated a “buy” rating and set a $45.00 price objective on shares of Chewy in a research report on Monday, April 27th. Two equities research analysts have rated the stock with a Strong Buy rating, eighteen have given a Buy rating and five have assigned a Hold rating to the stock. According to MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and an average price target of $42.77.

Chewy Stock Performance

The firm has a 50-day moving average price of $24.92 and a 200 day moving average price of $28.85. The stock has a market capitalization of $8.29 billion, a P/E ratio of 38.24, a price-to-earnings-growth ratio of 0.87 and a beta of 1.50.

Chewy (NYSE:CHWY) last posted its quarterly earnings results on Wednesday, March 25th. The company reported $0.09 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.28 by ($0.19). Chewy had a return on equity of 53.48% and a net margin of 1.77%.The company had revenue of $3.26 billion for the quarter, compared to the consensus estimate of $3.26 billion. During the same quarter in the previous year, the business earned $0.28 earnings per share. Chewy’s revenue was up .5% compared to the same quarter last year. On average, equities analysts anticipate that Chewy will post 0.89 earnings per share for the current fiscal year.

Insider Activity at Chewy

In related news, General Counsel Da-Wai Hu sold 8,149 shares of the firm’s stock in a transaction that occurred on Wednesday, April 1st. The stock was sold at an average price of $26.91, for a total transaction of $219,289.59. The transaction was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, CEO Sumit Singh sold 83,306 shares of the firm’s stock in a transaction that occurred on Monday, May 4th. The stock was sold at an average price of $25.60, for a total value of $2,132,633.60. Following the transaction, the chief executive officer owned 874,061 shares in the company, valued at approximately $22,375,961.60. The trade was a 8.70% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Over the last 90 days, insiders have sold 95,675 shares of company stock worth $2,459,955. 0.43% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On Chewy

Several institutional investors and hedge funds have recently bought and sold shares of CHWY. Osterweis Capital Management Inc. bought a new stake in shares of Chewy in the 2nd quarter worth approximately $30,000. CoreCap Advisors LLC grew its position in shares of Chewy by 306.3% in the 4th quarter. CoreCap Advisors LLC now owns 845 shares of the company’s stock worth $28,000 after buying an additional 637 shares during the last quarter. Los Angeles Capital Management LLC bought a new stake in shares of Chewy in the 4th quarter worth approximately $31,000. Harbour Investments Inc. grew its position in shares of Chewy by 81.4% in the 4th quarter. Harbour Investments Inc. now owns 907 shares of the company’s stock worth $30,000 after buying an additional 407 shares during the last quarter. Finally, Modus Advisors LLC bought a new stake in shares of Chewy in the 4th quarter worth approximately $34,000. 93.09% of the stock is currently owned by institutional investors.

About Chewy

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.