On June 3, Chewy declined 5.05% in regular trading, trading at $21.15 per share, with trading volume of approximately $79.16 million.
On the news front, the decline comes ahead of Chewy's fiscal Q1 earnings report scheduled for June 10, with investor sentiment weighed down by concerns over weakening pet-care demand. Morgan Stanley recently noted that Chewy faces near-term pressure from a softening pet-care market and weaker alternative data trends that may weigh on revenue growth. The firm highlighted that fiscal organic revenue growth guidance of 7.3% to 8.5% may come under pressure, with alternative data pointing to growth closer to the mid-7% range. Rising fuel costs and lower operating leverage may also pressure margins. Morgan Stanley lowered its price target from $49 to $43 while maintaining an overweight rating, noting the stock's prior sharp drop already reflects many challenges.
Within the Specialty Stores sector, broad weakness was evident. Among individual stocks, Tractor Supply fell 4.23%, Five Below fell 2.06%, Ulta Beauty fell 0.50%, Dick's Sporting Goods fell 0.32%, while Signet Jewelers rose 2.84%.
(The above content is based on publicly available market information, generated by a program or algorithm, and is intended solely as a stock movement alert. It does not constitute investment advice or a basis for trading decisions.)
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