Chewy (CHWY, $24.16) nears expiry of early investor lock-up period; posts wider-than-expected Q3 loss
Chewy Inc. shares declined during pre-market trading Tuesday - after reporting wider-than-expected losses the previous day, and ahead of the expiry of early investors’ lock-up period.
On Monday, the online retailer of pet food and other pet-related products reported third quarter loss of -20 cents per share –which was wider than anticipated.
However, total sales increased +40% from the same period last year to $1.23 billion. The company’s customer base grew +33% to 12.7 million.
For the full-year, Chewy expects sales to range between $4.82 billion and $4.84 billion. It projects adjusted operating profit margin improvement of between 4.4% and 4.6%.
In June, Chewy went public, finishing its first day of trading at $34.99 per share , +59% above its IPO price. It raised more than $1 billion in its public debut. But the lock-up expiry is tomorrow, which would let some 83% of the outstanding shares to be freely traded – which means, early investors get a chance to cash out from their IPO holdings.
CHWY sees its 50-day moving average cross bearishly below its 200-day moving average
The 50-day moving average for CHWY moved below the 200-day moving average on November 03, 2025. This could be a long-term bearish signal for the stock as the stock shifts to an downward trend.
Technical Analysis (Indicators)
Bearish Trend Analysis
The Stochastic Oscillator has been in the overbought zone for 1 day. Expect a price pull-back in the near future.
Following a 3-day decline, the stock is projected to fall further. Considering past instances where CHWY declined for three days, the price rose further in of 62 cases within the following month. The odds of a continued downward trend are .
CHWY broke above its upper Bollinger Band on November 17, 2025. This could be a sign that the stock is set to drop as the stock moves back below the upper band and toward the middle band. You may want to consider selling the stock or exploring put options.
The Aroon Indicator for CHWY entered a downward trend on November 13, 2025. This could indicate a strong downward move is ahead for the stock. Traders may want to consider selling the stock or buying put options.
Bullish Trend Analysis
The RSI Indicator points to a transition from a downward trend to an upward trend -- in cases where CHWY's RSI Oscillator exited the oversold zone, of 29 resulted in an increase in price. Tickeron's analysis proposes that the odds of a continued upward trend are .
The Momentum Indicator moved above the 0 level on November 17, 2025. You may want to consider a long position or call options on CHWY as a result. In of 76 past instances where the momentum indicator moved above 0, the stock continued to climb. The odds of a continued upward trend are .
The Moving Average Convergence Divergence (MACD) for CHWY just turned positive on November 13, 2025. Looking at past instances where CHWY's MACD turned positive, the stock continued to rise in of 42 cases over the following month. The odds of a continued upward trend are .
Following a 3-day Advance, the price is estimated to grow further. Considering data from situations where CHWY advanced for three days, in of 287 cases, the price rose further within the following month. The odds of a continued upward trend are .
The Tickeron PE Growth Rating for this company is (best 1 - 100 worst), pointing to outstanding earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
The Tickeron SMR rating for this company is (best 1 - 100 worst), indicating very strong sales and a profitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron Seasonality Score of (best 1 - 100 worst) indicates that the company is fair valued in the industry. The Tickeron Seasonality score describes the variance of predictable price changes around the same period every calendar year. These changes can be tied to a specific month, quarter, holiday or vacation period, as well as a meteorological or growing season.
The Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating fairly steady price growth. CHWY’s price grows at a lower rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron Valuation Rating of (best 1 - 100 worst) indicates that the company is significantly overvalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: CHWY's P/B Ratio (35.211) is very high in comparison to the industry average of (6.168). P/E Ratio (92.028) is within average values for comparable stocks, (57.672). Projected Growth (PEG Ratio) (1.271) is also within normal values, averaging (3.313). Dividend Yield (0.000) settles around the average of (0.081) among similar stocks. P/S Ratio (1.143) is also within normal values, averaging (16.173).
The Tickeron Profit vs. Risk Rating rating for this company is (best 1 - 100 worst), indicating that the returns do not compensate for the risks. CHWY’s unstable profits reported over time resulted in significant Drawdowns within these last five years. A stable profit reduces stock drawdown and volatility. The average Profit vs. Risk Rating rating for the industry is 92, placing this stock worse than average.
Notable companies
Industry description
Market Cap
High and low price notable news
Volume
Fundamental Analysis Ratings
The average fundamental analysis ratings, where 1 is best and 100 is worst, are as follows
Advertisement
General Information
a company which operates as a web-based, pet supplies e-tailer.
Industry InternetRetail
Advertisement