Chewy (NYSE:CHWY) Shares Gap Up - Here's Why

Chewy, Inc. (NYSE:CHWY - Get Free Report)'s share price gapped up before the market opened on Wednesday . The stock had previously closed at $29.52, but opened at $30.25. Chewy shares last traded at $30.52, with a volume of 1,064,264 shares traded.

Wall Street Analyst Weigh In

A number of equities analysts have recently weighed in on the company. TD Cowen assumed coverage on Chewy in a report on Wednesday. They set a "buy" rating and a $38.00 price target for the company. Evercore ISI increased their target price on shares of Chewy from $22.00 to $29.00 and gave the stock an "in-line" rating in a research note on Wednesday, August 28th. Royal Bank of Canada boosted their price target on shares of Chewy from $24.00 to $32.00 and gave the company an "outperform" rating in a research note on Thursday, August 29th. Wolfe Research began coverage on shares of Chewy in a research report on Tuesday, July 16th. They set a "peer perform" rating for the company. Finally, Barclays raised their target price on Chewy from $32.00 to $34.00 and gave the company an "overweight" rating in a report on Thursday, August 29th. One analyst has rated the stock with a sell rating, eight have issued a hold rating and thirteen have given a buy rating to the stock. According to data from MarketBeat.com, the company has a consensus rating of "Moderate Buy" and a consensus price target of $29.55.

Chewy Stock Performance

The stock has a market cap of $13.23 billion, a PE ratio of 168.17, a P/E/G ratio of 2.98 and a beta of 1.05. The firm's 50-day moving average is $27.51 and its 200 day moving average is $22.92.

Chewy (NYSE:CHWY - Get Free Report) last posted its quarterly earnings results on Wednesday, August 28th. The company reported $0.05 earnings per share for the quarter, beating analysts' consensus estimates of $0.03 by $0.02. The firm had revenue of $2.86 billion for the quarter, compared to the consensus estimate of $2.86 billion. Chewy had a return on equity of 21.00% and a net margin of 3.20%. On average, sell-side analysts predict that Chewy, Inc. will post 0.32 EPS for the current fiscal year.

Insider Buying and Selling at Chewy

In other Chewy news, CEO Sumit Singh sold 14,338 shares of the business's stock in a transaction on Friday, August 2nd. The stock was sold at an average price of $22.24, for a total transaction of $318,877.12. Following the sale, the chief executive officer now directly owns 1,398,271 shares in the company, valued at approximately $31,097,547.04. The trade was a 0.00 % decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. In related news, major shareholder Argos Holdings Gp Llc sold 26,870,748 shares of Chewy stock in a transaction dated Monday, September 23rd. The stock was sold at an average price of $29.40, for a total transaction of $789,999,991.20. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this link. Also, CEO Sumit Singh sold 14,338 shares of the firm's stock in a transaction dated Friday, August 2nd. The stock was sold at an average price of $22.24, for a total transaction of $318,877.12. Following the sale, the chief executive officer now directly owns 1,398,271 shares in the company, valued at $31,097,547.04. This represents a 0.00 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last three months, insiders sold 26,888,627 shares of company stock valued at $790,397,620. Corporate insiders own 2.10% of the company's stock.

Hedge Funds Weigh In On Chewy

A number of institutional investors have recently modified their holdings of the company. BC Partners Advisors L.P. acquired a new position in Chewy in the 2nd quarter valued at $7,517,800,000. Baillie Gifford & Co. increased its stake in Chewy by 7.2% in the first quarter. Baillie Gifford & Co. now owns 19,819,195 shares of the company's stock valued at $315,323,000 after purchasing an additional 1,336,431 shares during the last quarter. Vanguard Group Inc. lifted its position in Chewy by 9.1% during the first quarter. Vanguard Group Inc. now owns 10,480,230 shares of the company's stock worth $166,740,000 after buying an additional 875,532 shares during the period. Bank of New York Mellon Corp boosted its stake in Chewy by 7.8% in the 2nd quarter. Bank of New York Mellon Corp now owns 3,553,104 shares of the company's stock worth $96,787,000 after buying an additional 258,502 shares during the last quarter. Finally, Marshall Wace LLP grew its holdings 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 buying an additional 2,636,526 shares during the period. Institutional investors and hedge funds own 93.09% of the company's stock.

Chewy Company Profile

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.