Markets

Chewy (CHWY) Gains But Lags Market: What You Should Know

Chewy (CHWY) closed at $22.99 in the latest trading session, marking a +0.09% move from the prior day. This move lagged the S&P 500's daily gain of 0.26%. Elsewhere, the Dow gained 0.02%, while the tech-heavy Nasdaq added 0.48%.

Prior to today's trading, shares of the online pet store had lost 9.53% over the past month. This has lagged the Consumer Staples sector's loss of 2.61% and the S&P 500's gain of 5.19% in that time.

Wall Street will be looking for positivity from CHWY as it approaches its next earnings report date.

Investors should also note any recent changes to analyst estimates for CHWY. These revisions help to show the ever-changing nature of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.

Our research shows that these estimate changes are directly correlated with near-term stock prices. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.

The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. CHWY currently has a Zacks Rank of #3 (Hold).

The Consumer Products - Staples industry is part of the Consumer Staples sector. This industry currently has a Zacks Industry Rank of 161, which puts it in the bottom 37% of all 250+ industries.

The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

You can find more information on all of these metrics, and much more, on Zacks.com.


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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.