Chewy (NYSE:CHWY) Stock Price Expected to Rise, Morgan Stanley Analyst Says

Chewy (NYSE:CHWY) had its target price hoisted by equities researchers at Morgan Stanley from $38.00 to $40.00 in a research report issued to clients and investors on Monday,Benzinga reports. The firm currently has an “overweight” rating on the stock. Morgan Stanley’s target price would indicate a potential upside of 10.99% from the stock’s current price.

A number of other analysts have also recently commented on CHWY. Deutsche Bank Aktiengesellschaft lifted their target price on Chewy from $24.00 to $28.00 and gave the stock a “hold” rating in a research report on Friday, November 22nd. Royal Bank of Canada boosted their price objective on Chewy from $39.00 to $42.00 and gave the company an “outperform” rating in a research note on Thursday, December 5th. TD Cowen began coverage on shares of Chewy in a research report on Wednesday, October 9th. They set a “buy” rating and a $38.00 target price on the stock. Evercore ISI upgraded shares of Chewy from an “in-line” rating to an “outperform” rating and upped their price target for the company from $34.00 to $47.00 in a research report on Monday. Finally, Wolfe Research raised shares of Chewy from a “peer perform” rating to an “outperform” rating in a research report on Friday, January 3rd. Six equities research analysts have rated the stock with a hold rating and seventeen have given a buy rating to the stock. According to data from MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and an average price target of $36.80.

Chewy Stock Performance

CHWY opened at $36.04 on Monday. The business’s 50-day simple moving average is $33.56 and its 200-day simple moving average is $29.40. The company has a market cap of $14.68 billion, a P/E ratio of 39.60, a PEG ratio of 4.28 and a beta of 1.10. Chewy has a one year low of $14.69 and a one year high of $39.10.

Chewy (NYSE:CHWY) last released its quarterly earnings data on Wednesday, December 4th. The company reported $0.20 earnings per share for the quarter, topping analysts’ consensus estimates of $0.05 by $0.15. Chewy had a net margin of 3.51% and a return on equity of 24.47%. The company had revenue of $2.89 billion for the quarter, compared to analysts’ expectations of $2.86 billion. During the same quarter last year, the company earned ($0.08) earnings per share. The firm’s revenue for the quarter was up 5.2% on a year-over-year basis. As a group, analysts predict that Chewy will post 0.24 earnings per share for the current fiscal year.

Insider Buying and Selling

In other Chewy news, major shareholder Argos Holdings Gp Llc sold 19,827,242 shares of Chewy stock in a transaction dated Friday, December 13th. The shares were sold at an average price of $31.32, for a total transaction of $620,989,219.44. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, CEO Sumit Singh sold 71,161 shares of the stock in a transaction that occurred on Thursday, December 19th. The shares were sold at an average price of $32.50, for a total transaction of $2,312,732.50. Following the completion of the sale, the chief executive officer now owns 77,838 shares in the company, valued at $2,529,735. This represents a 47.76 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold a total of 27,803,806 shares of company stock worth $905,389,713 in the last quarter. Company insiders own 2.10% of the company’s stock.

Institutional Investors Weigh In On Chewy

A number of institutional investors and hedge funds have recently bought and sold shares of the stock. BC Partners Advisors L.P. acquired a new position in shares of Chewy in the second quarter worth $7,517,800,000. Marshall Wace LLP raised its stake in Chewy by 1,028.6% in the 2nd quarter. Marshall Wace LLP now owns 2,892,841 shares of the company’s stock valued at $78,801,000 after purchasing an additional 2,636,526 shares during the last quarter. FMR LLC lifted its holdings in Chewy by 166.8% in the 3rd quarter. FMR LLC now owns 3,995,329 shares of the company’s stock valued at $117,023,000 after purchasing an additional 2,497,689 shares in the last quarter. Clearbridge Investments LLC acquired a new stake in shares of Chewy during the 2nd quarter worth about $40,798,000. Finally, Eagle Asset Management Inc. grew its holdings in shares of Chewy by 97.9% during the third quarter. Eagle Asset Management Inc. now owns 1,972,136 shares of the company’s stock worth $60,485,000 after buying an additional 975,647 shares in the last quarter. Hedge funds and other institutional investors own 93.09% of the company’s stock.

About Chewy

Chewy, Inc, together with its subsidiaries, engages in the pure play e-commerce business in the United States. It provides pet food and treats, pet supplies and pet medications, and other pet-health products, as well as pet services for dogs, cats, fish, birds, small pets, horses, and reptiles through its retail websites and mobile applications.