Chewy's Market Penetration Set to Grow in Toronto: Potential for 2-3 Million New Customers, Analyst Predicts
Portfolio Pulse from Shivani Kumaresan
Roth MKM analyst David Bellinger reiterated a Buy rating on Chewy Inc (NYSE:CHWY) with a price target of $52, citing better-than-expected Q1 results and potential for 2-3 million new customers in Toronto. The analyst also noted Chewy's expanding margin profile and benefits from automation.
June 23, 2023 | 6:35 pm
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NEGATIVE IMPACT
Chewy's indication that revenue growth did not decelerate over the later stages of Q1, at odds with trends seen at Petco Health and Wellness Company Inc (NASDAQ:WOOF), suggests further share gains for Chewy.
The article mentions that Chewy's revenue growth did not decelerate over the later stages of Q1, unlike Petco Health and Wellness Company Inc. This suggests that Chewy may gain further market share at the expense of Petco, which could have a short-term negative impact on Petco's stock price.
CONFIDENCE 80
IMPORTANCE 60
RELEVANCE 50
NEUTRAL IMPACT
FedEx Corp (NYSE:FDX) indicated that the slowdown in internet retail sales growth is 'probably complete' at this point, suggesting a completion for e-commerce reset.
FedEx's commentary on the slowdown in internet retail sales growth being 'probably complete' suggests a completion for e-commerce reset. However, this information is not directly related to FedEx's stock performance and is likely to have a neutral short-term impact on the stock price.
CONFIDENCE 80
IMPORTANCE 40
RELEVANCE 50
POSITIVE IMPACT
Roth MKM analyst reiterates Buy rating on Chewy Inc (NYSE:CHWY) with a price target of $52, citing better-than-expected Q1 results and potential for 2-3 million new customers in Toronto.
The analyst's Buy rating and price target of $52 for Chewy Inc is based on better-than-expected Q1 results, potential for 2-3 million new customers in Toronto, and expanding margin profile. This positive outlook is likely to have a short-term positive impact on the stock price.
CONFIDENCE 90
IMPORTANCE 80
RELEVANCE 100