Chewy (NYSE:CHWY) Shares Gap Up – What’s Next?

Chewy, Inc. (NYSE:CHWY)’s stock price gapped up before the market opened on Friday . The stock had previously closed at $33.87, but opened at $34.80. Chewy shares last traded at $35.31, with a volume of 1,002,167 shares traded.

Wall Street Analyst Weigh In

A number of research analysts recently commented on the company. Morgan Stanley raised their price target on Chewy from $33.00 to $36.00 and gave the stock an “overweight” rating in a research report on Monday, November 25th. UBS Group boosted their price objective on Chewy from $30.00 to $34.00 and gave the stock a “neutral” rating in a research report on Tuesday, December 3rd. Robert W. Baird raised their price target on shares of Chewy from $35.00 to $40.00 and gave the company an “outperform” rating in a research note on Monday, November 25th. The Goldman Sachs Group boosted their price target on shares of Chewy from $35.00 to $40.00 and gave the stock a “buy” rating in a research report on Thursday, December 5th. Finally, Royal Bank of Canada increased their target price on shares of Chewy from $39.00 to $42.00 and gave the stock an “outperform” rating in a research note on Thursday, December 5th. Eight research analysts have rated the stock with a hold rating and fifteen have assigned a buy rating to the company’s stock. According to MarketBeat, the company has an average rating of “Moderate Buy” and a consensus price target of $34.60.

Chewy Stock Up 5.1 %

The firm has a 50 day moving average of $32.02 and a 200 day moving average of $28.81. The firm has a market cap of $14.49 billion, a PE ratio of 39.11, a P/E/G ratio of 4.28 and a beta of 1.12.

Chewy (NYSE:CHWY) last posted its quarterly earnings results on Wednesday, December 4th. The company reported $0.20 earnings per share for the quarter, topping the consensus estimate of $0.05 by $0.15. Chewy had a return on equity of 24.47% and a net margin of 3.51%. The company had revenue of $2.89 billion during the quarter, compared to the consensus estimate of $2.86 billion. During the same quarter in the prior year, the company earned ($0.08) EPS. The firm’s quarterly revenue was up 5.2% compared to the same quarter last year. On average, research analysts anticipate that Chewy, Inc. will post 0.24 EPS for the current year.

Insider Transactions at Chewy

In other news, CTO Satish Mehta sold 8,056 shares of the company’s stock in a transaction dated Monday, December 2nd. The stock was sold at an average price of $33.47, for a total transaction of $269,634.32. Following the sale, the chief technology officer now directly owns 585,962 shares in the company, valued at $19,612,148.14. This represents a 1.36 % decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available at this link. Also, CEO Sumit Singh sold 71,161 shares of the firm’s stock in a transaction that occurred on Tuesday, December 24th. The shares were sold at an average price of $35.00, for a total transaction of $2,490,635.00. Following the completion of the transaction, the chief executive officer now owns 6,677 shares of the company’s stock, valued at $233,695. This trade represents a 91.42 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold 21,799,523 shares of company stock worth $682,554,313 over the last quarter. Corporate insiders own 2.10% of the company’s stock.

Institutional Trading of Chewy

A number of hedge funds and other institutional investors have recently bought and sold shares of the company. Blue Trust Inc. boosted its stake in Chewy by 183.6% during the third quarter. Blue Trust Inc. now owns 1,398 shares of the company’s stock valued at $38,000 after buying an additional 905 shares during the period. Planning Capital Management Corp bought a new stake in shares of Chewy during the 3rd quarter valued at about $52,000. Future Financial Wealth Managment LLC purchased a new position in shares of Chewy during the third quarter worth about $62,000. Wilmington Savings Fund Society FSB purchased a new position in shares of Chewy during the third quarter worth about $63,000. Finally, Castleview Partners LLC bought a new position in shares of Chewy in the third quarter worth approximately $76,000. 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.