Chewy(CHWY, $74.69) beats fiscal Q1 expectations
Chewy posted earnings that surpass analysts’ expectations for the fiscal first quarter.
For the quarter ended May 2, the online pet retail company’s revenue rose +32% year-over-year to $2.14 billion, compared to the Street consensus forecast of $2.13 billion.
Net income came in at 9 cents a share, beating the Street estimate of a loss of -3 cents a share.
According to Chewy, it now has 19.8 million active customers, which is +32% higher from a year ago. Net sales per active customer over the past 12 months was $388, up +8.7% from a year ago.
For the fiscal second quarter, Chewy expects revenue in the range of $2.15 billion to $2.17 billion, up 26% to 28%, compared to analysts’ projection of $2.13 billion.
For the January 2022 fiscal year, Chewy projects revenue of $8.9 billion to $9 billion (vs. prior guidance of $8.85 billion to $8.95 billion). Analysts’ forecast is $8.95 billion.
The company expects its full-year adjusted EBITDA margin expanding 80 to 120 basis points from fiscal 2021.
CHWY's MACD Histogram crosses above signal line
The Moving Average Convergence Divergence (MACD) for CHWY turned positive on December 23, 2024. Looking at past instances where CHWY's MACD turned positive, the stock continued to rise in of 48 cases over the following month. The odds of a continued upward trend are .
Technical Analysis (Indicators)
Bullish Trend Analysis
The Momentum Indicator moved above the 0 level on December 19, 2024. You may want to consider a long position or call options on CHWY as a result. In of 85 past instances where the momentum indicator moved above 0, the stock continued to climb. 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 281 cases, the price rose further within the following month. The odds of a continued upward trend are .
The Aroon Indicator entered an Uptrend today. In of 195 cases where CHWY Aroon's Indicator entered an Uptrend, the price rose further within the following month. The odds of a continued Uptrend are .
Bearish Trend Analysis
The 10-day RSI Indicator for CHWY moved out of overbought territory on November 25, 2024. This could be a bearish sign for the stock. Traders may want to consider selling the stock or buying put options. Tickeron's A.I.dvisor looked at 37 similar instances where the indicator moved out of overbought territory. In of the 37 cases, the stock moved lower in the following days. This puts the odds of a move lower at .
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 December 23, 2024. 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 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 Price Growth Rating for this company is (best 1 - 100 worst), indicating steady price growth. CHWY’s price grows at a higher rate over the last 12 months as compared to S&P 500 index constituents.
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 89, placing this stock better than average.
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 (63.694) is very high in comparison to the industry average of (4.875). P/E Ratio (38.054) is within average values for comparable stocks, (60.817). Projected Growth (PEG Ratio) (0.737) is also within normal values, averaging (2.753). Dividend Yield (0.000) settles around the average of (0.028) among similar stocks. P/S Ratio (1.327) is also within normal values, averaging (5.823).
The Tickeron PE Growth Rating for this company is (best 1 - 100 worst), pointing to worse than average 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.
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General Information
a company which operates as a web-based, pet supplies e-tailer.
Industry InternetRetail