Chewy (CHWY) Increases Despite Market Slip: Here's What You Need to Know

Chewy (CHWY) closed the latest trading day at $38.17, indicating a +0.95% change from the previous session's end. This move outpaced the S&P 500's daily loss of 0.77%. Meanwhile, the Dow lost 0.95%, and the Nasdaq, a tech-heavy index, lost 0.87%.Shares of the online pet store witnessed a gain of 19.77% over the previous month, beating the performance of the Retail-Wholesale sector with its gain of 9.54% and the S&P 500's gain of 11.54%.The investment community will be paying close attention to the earnings performance of Chewy in its upcoming release. The company's earnings per share (EPS) are projected to be $0.34, reflecting a 9.68% increase from the same quarter last year. At the same time, our most recent consensus estimate is projecting a revenue of $3.07 billion, reflecting a 6.85% rise from the equivalent quarter last year.For the full year, the Zacks Consensus Estimates project earnings of $1.23 per share and a revenue of $12.4 billion, demonstrating changes of +18.27% and +4.52%, respectively, from the preceding year.Furthermore, it would be beneficial for investors to monitor any recent shifts in analyst projections for Chewy. These latest adjustments often mirror the shifting dynamics of short-term business patterns. 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. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. At present, Chewy boasts a Zacks Rank of #2 (Buy).In terms of valuation, Chewy is currently trading at a Forward P/E ratio of 30.72. For comparison, its industry has an average Forward P/E of 23.97, which means Chewy is trading at a premium to the group.We can additionally observe that CHWY currently boasts a PEG ratio of 3.25. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The average PEG ratio for the Internet - Commerce industry stood at 1.43 at the close of the market yesterday.The Internet - Commerce industry is part of the Retail-Wholesale sector. This industry, currently bearing a Zacks Industry Rank of 61, finds itself in the top 25% echelons of all 250+ industries.The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.Don't forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.Zacks' Research Chief Names "Stock Most Likely to Double"Our team of experts has just released the 5 stocks with the greatest probability of gaining +100% or more in the coming months. Of those 5, Director of Research Sheraz Mian highlights the one stock set to climb highest.This top pick is among the most innovative financial firms. With a fast-growing customer base (already 50+ million) and a diverse set of cutting edge solutions, this stock is poised for big gains. Of course, all our elite picks aren’t winners but this one could far surpass earlier Zacks’ Stocks Set to Double like Nano-X Imaging which shot up +129.6% in little more than 9 months.Free: See Our Top Stock And 4 Runners UpWant the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Chewy (CHWY): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks