CHWY

It has been about a month since the last earnings report for Chewy (CHWY). Shares have added about 10.1% in that time frame, outperforming the S&P 500. But investors have to be wondering, will the recent positive trend continue leading up to its next earnings release, or is Chewy due for a pullback? Well, first let's take a quick look at its most recent earnings report in order to get a better handle on the recent catalysts for Chewy before we dive into how investors and analysts have reacted as of late. Chewy reported solid first-quarter fiscal 2026 results, wherein the top line beat the Zacks Consensus Estimate, and the bottom line met the same. Both metrics showed year-over-year growth.Chewy noted that while the overall pet category remains resilient, the consumer environment has become more challenging since the company established its initial fiscal 2026 outlook. In response to these evolving conditions, management is updating its full-year sales outlook to reflect softer consumer trends and more conservative internal assumptions. Chewy posted adjusted earnings of 43 cents per share, which came in line with the Zacks Consensus Estimate. The figure increased from 35 cents in the prior-year period.The company reported net sales of $3,357.2 million, surpassing the Zacks Consensus Estimate of $3,352 million. The figure increased 7.7% from $3,116 million posted in the year-ago period.The Autoship subscription program remained a cornerstone of Chewy’s model. Autoship customer sales grew 10.5% year over year to $2,832.6 million from $2,562.7 million, outpacing overall net sales growth. The metric represented 84.4% of total net sales.The company ended the quarter with 21.5 million active customers, increasing 3.6% year over year. Chewy’s net sales per active customer reached $597. The metric reflects a 2.4% year-over-year increase from $583. Chewy’s gross profit increased 3.6% year over year to $1,011.4 million from $923.8 million. The gross margin expanded by 50 basis points (bps) year over year to 30.1%, driven primarily by continued growth in sponsored ads, favorable category mix and operating discipline.Adjusted SG&A expenses reached $593 million in the fiscal first quarter. As a percentage of net sales, this metric declined 90 basis points year over year to 17.7%, due to lower variable costs from productivity improvements and AI-led efficiencies.Advertisin...

Looking back on online retail stocks’ Q1 earnings, we examine this quarter’s best and worst performers, including Chewy (NYSE:CHWY) and its peers. Consumers ever rising demand for convenience, selection, and speed are secular engines underpinning ecommerce adoption. For years prior to Covid, ecommerce penetration as a percentage of overall retail would grow 1-2% annually, but in 2020 adoption accelerated by 5%, reaching 25%, as increased emphasis on convenience drove consumers to structurally buy more online. The surge in buying caused many online retailers to rapidly grow their logistics infrastructures, preparing them for further growth in the years ahead as consumer shopping habits continue to shift online. The 6 online retail stocks we track reported a very strong Q1. As a group, revenues beat analysts’ consensus estimates by 2.3% while next quarter’s revenue guidance was 4% above. While some online retail stocks have fared somewhat better than others, they have collectively declined. On average, share prices are down 1.7% since the latest earnings results. Founded by Ryan Cohen, who later became known for his involvement in GameStop, Chewy (NYSE:CHWY) is an online retailer specializing in pet food, supplies, and healthcare services. Chewy reported revenues of $3.36 billion, up 7.7% year on year. This print was in line with analysts’ expectations, and overall, it was a strong quarter for the company with an impressive beat of analysts’ EBITDA estimates. Interestingly, the stock is up 1.3% since reporting and currently trades at $20.67. Is now the time to buy Chewy? Access our full analysis of the earnings results here, it’s free. Founded by Jeff Bezos after quitting his stock-picking job at D.E. Shaw, Amazon (NASDAQ:AMZN) is the world’s largest online retailer and provider of cloud computing services. Amazon reported revenues of $181.5 billion, up 16.6% year on year, outperforming analysts’ expectations by 2.4%. The business had a stunning quarter with an impressive beat of analysts’ EPS estimates and revenue guidance for next quarter exceeding analysts’ expectations. Although it had a fine quarter compared to its peers, the market seems unhappy with the results as the stock is down 6.8% since reporting. It currently trades at $245.13. Is now the time to buy Amazon? Access our full analysis of the earnings results here, it’s free. Founded in 2010 by Harv...

Get insights on thousands of stocks from the global community of over 7 million individual investors at Simply Wall St. Chewy stock is coming off a difficult stretch, with the share price significantly below its level of five years ago, while the current valuation checks still lean on the expensive side rather than flagging a clear bargain. Over the last five years, Chewy has delivered a cumulative decline of about 74.8%, which means long term holders have seen substantial value eroded. Recent enthusiasm around AI and automation initiatives can support expectations for better efficiency and growth, but mixed sentiment and insider selling leave a risk that the market is still cautious on how durable those benefits will be. Chewy scores 2 out of 6 on broader valuation checks, which points to a stock that currently looks more expensive than cheap on these measures. The issue now is whether the recent optimism around Chewy is enough to justify its valuation after such a weak longer term share price record. Find out why Chewy's -48.1% return over the last year is lagging behind its peers. The P/E ratio is a useful way to think about what you are paying today for each dollar of Chewy’s earnings. On this measure, Chewy trades on a P/E of 34.2x, which is well above the Specialty Retail industry average of 19.4x and also higher than the peer group average of 14.8x. The fair P/E for Chewy, based on a model that considers its growth profile, margins, size and risk, is estimated at 23.1x. The current multiple sits clearly above that mark. Despite recent optimism around Chewy’s AI and automation announcements lifting interest in the stock, the present valuation suggests investors are already paying a premium compared with both sector norms and what the tailored fair multiple implies. On the P/E multiple, Chewy stock currently screens as overvalued relative to its own fair ratio and broader industry benchmarks. See what the numbers say about this price — find out in our valuation breakdown. Simply Wall St Narratives picks up where Chewy's valuation puzzle leaves off by spelling out which combinations of future growth, margins and earnings would need to hold for the stock to be worth materially more or less than today's market price, and by turning each view of Chewy's fair value into a thesis about the business that you can revisit over time as new information comes throu...

Chewy’s fourth quarter results were met positively by the market, reflecting steady execution in a challenging environment for pet retail. Management credited robust recurring revenue from its Autoship program, which now accounts for over 80% of net sales, and emphasized gains in operational efficiency. CEO Sumit Singh highlighted a continued focus on premium product mix and disciplined expense management, stating, “We are delivering share gains, expanding margins through structural efficiencies and generating growing free cash flow.” The company also noted that customer net additions remained healthy, driven by new initiatives in health and private brands. Notably, net sales for Q4 grew 8.1% year over year on a comparable 52-week basis. Is now the time to buy CHWY? Find out in our full research report (it’s free). Revenue: $3.36 billion vs analyst estimates of $3.35 billion (7.7% year-on-year growth, in line) Adjusted EPS: $0.43 vs analyst estimates of $0.43 (in line) Adjusted EBITDA: $253.1 million vs analyst estimates of $240.1 million (7.5% margin, 5.4% beat) Operating Margin: 3.8%, up from 2.5% in the same quarter last year Market Capitalization: $7.69 billion While we enjoy listening to the management’s commentary, our favorite part of earnings calls is the analyst questions. Those are unscripted and can often highlight topics that management teams would rather avoid or topics where the answer is complicated. Here is what has caught our attention. Mark Stephen Mahaney (Evercore ISI) asked about the sustainability of marketing leverage and the impact of the Chewy Made strategy. CEO Sumit Singh emphasized ongoing marketing efficiency and noted that private brands should drive both margin and customer spend per order. Eric Sheridan (Goldman Sachs) questioned the scale of AI-driven cost savings and how they would be balanced between profit growth and reinvestment. Singh explained that AI is already reducing customer service costs and that future savings would support both higher margins and reinvestment. Douglas Anmuth (JPMorgan) inquired about the impact of Agentic Commerce and the resilience of Chewy’s Autoship model. Singh stated that Chewy’s service-rich, recurring model is well-insulated from industry disruption and is positioned to benefit from new distribution channels. David Bellinger (Mizuho) asked for detail on quarterly revenue ramp and margin e...

Chewy (NYSE: CHWY) stock has been stumbling since the company reported its fiscal first-quarter 2026 earnings on June 10. Chewy reported gains in revenue, earnings per share, and net margin, but the stock still slipped after guidance projected a challenging sales environment. Then Chewy continued its fall today following a series of analyst downgrades, losing another 5%. The fall is the latest in a series of declines in Chewy stock, which is now down 43% this year and 84% off its all-time highs set during the COVID-19 pandemic. Missed Nvidia in 2009? This Rare Signal Is Flashing Again. In 2009, a "Double Down" signal flashed for a little-known chipmaker called Nvidia. For the first time in years, that same "Total Conviction" signal is flashing for a company 1/100th the size of Nvidia. Continue » Considering Chewy is seeing increased sales and improved margins, are investors overreacting to the guidance? Let's take a closer look at what's happening. Chewy, based in Florida, is an online pet retailer that sells food, toys, treats, supplements, and other supplies. The business caters to the estimated 56.3 million U.S. households that own dogs and 43.1 million that own cats, providing a large base of potential customers. But shares have been falling consistently over the last year, sinking 58.1% in the last 12 months versus a 21% gain in the benchmark S&P 500. And the drop is not industrywide: Petco Health & Wellness (NASDAQ: WOOF), another pet retailer with both brick-and-mortar and online sales, gained 4% in the same period. Despite the sell-off, Chewy stock trades at a forward price-to-earnings ratio of 12.5, which is only slightly below Petco's 13.1 multiple. Quarterly net sales for the period ending May 3 were $3.36 billion, up 7.7% from a year ago. Net income was $94.8 million, up from $62.4 million, and the company's net margin increased 80 basis points to 2.8%. Earnings were $0.43 per share, up from $0.35 per share CEO Sumit Singh said the company was confident in its ability to gain market share and deliver more growth, but he raised red flags when speaking to analysts about challenges facing the U.S. consumer. "Pet remains a resilient category, driven by recurring nondiscretionary needs and strong emotional attachment," he said. "At the same time, consumers are growing more discerning, driven in part by elevated fuel prices and broader macroeconomic pr...

Chewy (CHWY) cut its fiscal 2026 revenue guidance due to a weak pet spending backdrop and maintained

Morgan Stanley maintained an ‘Overweight’ rating but lowered its target. Bank of America kept a ‘Buy’ rating despite trimming its target, still viewing Chewy as a durable long-term grower. Piper Sandler sharply reduced its price target and keeps an 'Overweight' rating. Chewy Inc (CHWY) is seeing a split in analyst sentiment following its first-quarter results and lower-than-expected full-year sales outlook. While one firm has downgraded the stock, citing a less clear bullish outlook, others continue to see long-term value despite trimming price targets and adjusting growth expectations. At the time of writing, CHWY stock was down 0.35% in after-hours trading, after ending the regular session with a decline of over 2%. See what 10M+ investors are talking about. Get the Stocktwits Daily Rip for what retail is watching right now, free to your inbox Morgan Stanley lowered its price target on Chewy to $42 from $43 while maintaining an ‘Overweight’ rating. The firm said in a research note that the company cut its FY26 revenue guidance due to a weak pet macro environment, while still holding margins steady, according to TheFly. It added that active customer growth remains strong, and with net revenue retention above 100%, this could support accelerating revenue growth when macro conditions improve. Bank of America lowered its price target on Chewy to $31 from $33 while maintaining a ‘Buy’ rating. The firm said skepticism around category commentary likely weighed on the stock, but still views Chewy as a durable long-term grower even in a softer consumer environment, according to TheFly. Piper Sandler also cut its price target sharply to $30 from $48 while keeping an ‘Overweight’ rating. MoffettNathanson downgraded Chewy to ‘Neutral’ from ‘Buy.’ The analyst stated in a research note that the firm can no longer confidently maintain a bullish thesis on the stock with clear upside potential, according to TheFly. Raymond James, meanwhile, said it was disappointed with the deceleration but believes the risk-reward remains favorable. The firm reiterated a ‘Buy’ rating on Chewy with a $25 price target For the first quarter, Chewy reported net sales of $3.36 billion and adjusted earnings per share of $0.43, both in line with estimates, according to Fiscal.ai. The company cut its full-year sales outlook to a range of $13.4 billion to $13.55 billion, down from $13.6 billion to...

Chewy, Inc. CHWY reported solid first-quarter fiscal 2026 results, wherein the top line beat the Zacks Consensus Estimate, and the bottom line met the same. Both metrics showed year-over-year growth. Chewy noted that while the overall pet category remains resilient, the consumer environment has become more challenging since the company established its initial fiscal 2026 outlook. In response to these evolving conditions, management is updating its full-year sales outlook to reflect softer consumer trends and more conservative internal assumptions. As a result, shares of CHWY lost 2.1% in yesterday’s trading session. Chewy posted adjusted earnings of 43 cents per share, which came in line with the Zacks Consensus Estimate. The figure increased from 35 cents in the prior-year period. Chewy price-consensus-eps-surprise-chart | Chewy Quote The company reported net sales of $3,357.2 million, surpassing the Zacks Consensus Estimate of $3,352 million. The figure increased 7.7% from $3,116 million posted in the year-ago period. The Autoship subscription program remained a cornerstone of Chewy’s model. Autoship customer sales grew 10.5% year over year to $2,832.6 million from $2,562.7 million, outpacing overall net sales growth. The metric represented 84.4% of total net sales. The company ended the quarter with 21.5 million active customers, increasing 3.6% year over year. The metric missed the Zacks Consensus Estimate of $21.6 million. Chewy’s net sales per active customer reached $597, meeting the Zacks Consensus Estimate. The metric reflects a 2.4% year-over-year increase from $583. Chewy’s gross profit increased 3.6% year over year to $1,011.4 million from $923.8 million. The gross margin expanded by 50 basis points (bps) year over year to 30.1%, driven primarily by continued growth in sponsored ads, favorable category mix and operating discipline. Adjusted SG&A expenses reached $593 million in the fiscal first quarter. As a percentage of net sales, this metric declined 90 basis points year over year to 17.7%, due to lower variable costs from productivity improvements and AI-led efficiencies. Advertising and marketing expenses for the fiscal first quarter were $206.1 million compared with $193.8 million in the prior-year period. As a percentage of sales, advertising and marketing expenses were 6.1%. The adjusted EBITDA increased 31.3% year over year to $253.1 mil...

Shares of the pet supplies retailer rise after Chewy posts first-quarter adjusted earnings that meet expectations.

Interested in Chewy? Here are five stocks we like better. Chewy beat on growth and profitability in Q1 fiscal 2026, with net sales up 7.7% to about $3.36 billion, adjusted EBITDA margin rising to 7.5%, and free cash flow increasing more than 45% year over year. Management cut full-year sales guidance to $13.40 billion-$13.55 billion as it sees softer consumer spending and weaker premiumization, though it kept adjusted EBITDA margin guidance unchanged at 6.6% to 6.8%. Chewy said it is still gaining market share and is leaning on growth initiatives like Autoship, Chewy Health, Vet Care, AI efficiencies and Sponsored Ads, while adding clinics and integrating SmartPak and Modern Animal. From CrowdStrike to Chewy, These Tanking Stocks Are Announcing Buybacks Chewy (NYSE:CHWY) reported first-quarter fiscal 2026 results that showed continued sales growth, higher profitability and strong free cash flow, while management lowered its full-year sales outlook to account for a softer consumer environment in the pet category. Chief Executive Officer Sumit Singh said the online pet retailer “delivered solid results in Q1, continuing to outperform the broader pet category while further expanding profitability and free cash flow.” He said the company added nearly 200,000 net customers during the quarter and continued to capture category share, even as consumer conditions weakened late in the period. → Meta Unveils Subscriptions: A New Offering With Real Growth Potential Chewy Gobbles up Market Share in 2026: Poised to Advance in Q2 First-quarter net sales rose 7.7% year over year to approximately $3.36 billion. Chewy ended the quarter with 21.5 million active customers, up 3.6% from the prior year. Net sales per active customer, or NSPAC, increased to $597. Autoship remained a key contributor to the company’s recurring revenue base. Autoship customer sales increased more than 10% year over year to approximately $2.83 billion and represented 84.4% of total net sales in the quarter. → Cybersecurity Earnings: 1 AI Standout and 2 Stocks Under Pressure Can These 3 Names Be 2026’s Biggest Retail Comebacks? Chewy reported first-quarter gross margin of 30.1%, up about 50 basis points year over year. Chief Financial Officer Chris Deppe said gross margin benefited from Sponsored Ads, favorable category mix and continued operating discipline, partly offset by a low single-digit million...

Chewy (CHWY) came out with quarterly earnings of $0.43 per share, in line with the Zacks Consensus Estimate . This compares to earnings of $0.35 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of +0.51%. A quarter ago, it was expected that this online pet store would post earnings of $0.28 per share when it actually produced earnings of $0.27, delivering a surprise of -3.57%. Over the last four quarters, the company has surpassed consensus EPS estimates two times. Chewy, which belongs to the Zacks Internet - Commerce industry, posted revenues of $3.36 billion for the quarter ended April 2026, surpassing the Zacks Consensus Estimate by 0.15%. This compares to year-ago revenues of $3.12 billion. The company has topped consensus revenue estimates four times over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call. Chewy shares have lost about 38.3% since the beginning of the year versus the S&P 500's gain of 7.9%. While Chewy has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions. Ahead of this earnings release, the estimate revisions trend for Chewy was unfavorable. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #4 (Sell) for the stock. So, the shares are expected to underperform the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. It will be interesting to see...

This article first appeared on GuruFocus. Revenue: Q1 net sales grew 7.7% year over year to approximately $3.6 billion. Active Customers: Ended the quarter with 21.5 million active customers, up 3.6% year over year. Net Sales Per Active Customer (NSPAC): Increased to $597, up approximately 4.6% year over year. Autoship Customer Sales: Reached approximately $2.83 billion, increasing over 10% year over year, representing 84.4% of total net sales. Adjusted EBITDA Margin: Reached 7.5%, representing approximately 130 basis points of year-over-year expansion. Gross Margin: Reported at 30.1%, representing approximately 50 basis points of year-over-year expansion. Free Cash Flow: Approximately $71 million, increasing over 45% year over year. Adjusted Net Income: Approximately $180 million, translating into adjusted diluted earnings per share of $0.43. Cash and Liquidity: Ended the quarter with approximately $520 million of cash, cash equivalents, and marketable securities, and over $1 billion of total available liquidity. Full Year 2026 Revenue Guidance: Expected net sales between approximately $13.40 billion and $13.55 billion, representing approximately 6.3% to 7.5% year-over-year growth. Full Year 2026 Adjusted EBITDA Margin Guidance: Maintained at 6.6% to 6.8%, with approximately 100 basis points of year-over-year expansion at the midpoint. Q2 2026 Revenue Guidance: Expected net sales between approximately $3.30 billion and $3.33 billion, representing approximately 6% to 7% year-over-year growth. Q2 2026 Adjusted EBITDA Margin Guidance: Expected between 6.3% and 6.4%, representing approximately 50 basis points of year-over-year expansion at the midpoint. Warning! GuruFocus has detected 2 Warning Sign with CHWY. Is CHWY fairly valued? Test your thesis with our free DCF calculator. Release Date: June 10, 2026 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Chewy Inc (NYSE:CHWY) delivered solid Q1 results with a 7.7% year-over-year net sales growth, reaching approximately $3.6 billion. The company achieved record profitability with an adjusted EBITDA margin of 7.5%, reflecting a 130 basis points year-over-year expansion. Chewy Inc (NYSE:CHWY) added nearly 200,000 net customers, ending the quarter with 21.5 million active customers, a 3.6% increase year over year. Autoship customer sales grew over 10% year over ye...