Chewy (NYSE:CHWY) Shares Gap Down After Analyst Downgrade

Posted by Geri Gentry on Jun 11th, 2026

Chewy (NYSE:CHWY – Get Free Report)’s share price gapped down prior to trading on Thursday after Citizens Jmp lowered their price target on the stock from $45.00 to $28.00. The stock had previously closed at $19.98, but opened at $19.11. Citizens Jmp currently has a market outperform rating on the stock. Chewy shares last traded at $19.2090, with a volume of 2,398,397 shares changing hands.

A number of other brokerages have also recently commented on CHWY. Weiss Ratings upgraded shares of Chewy from a “hold (c-)” rating to a “hold (c)” rating in a research report on Friday, June 5th. Bank of America reduced their price objective on Chewy from $33.00 to $31.00 in a research note on Thursday. Wall Street Zen downgraded Chewy from a “buy” rating to a “hold” rating in a report on Saturday, May 9th. Robert W. Baird lowered their target price on Chewy from $40.00 to $30.00 and set an “outperform” rating for the company in a research note on Thursday. Finally, BNP Paribas Exane restated a “neutral” rating and set a $28.00 price target (down from $38.00) on shares of Chewy in a research report on Thursday, March 26th. One equities research analyst has rated the stock with a Strong Buy rating, nineteen have given a Buy rating and six have given a Hold rating to the company. Based on data from MarketBeat, Chewy presently has a consensus rating of “Moderate Buy” and a consensus target price of $35.09.

Get Our Latest Stock Analysis on Chewy

Insider Buying and Selling

In related news, CEO Sumit Singh sold 83,306 shares of the firm’s stock in a transaction on Monday, May 4th. The stock was sold at an average price of $25.60, for a total value of $2,132,633.60. Following the completion of the sale, the chief executive officer owned 874,061 shares of the company’s stock, valued at $22,375,961.60. This trade represents a 8.70% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, General Counsel Da-Wai Hu sold 8,149 shares of the business’s stock in a transaction on Wednesday, April 1st. The shares were sold at an average price of $26.91, for a total transaction of $219,289.59. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold a total of 95,675 shares of company stock valued at $2,459,955 in the last ninety days. 0.34% of the stock is currently owned by corporate insiders.

Key Headlines Impacting Chewy

Here are the key news stories impacting Chewy this week:

Positive Sentiment: Chewy reported Q1 net sales of $3.36 billion, up 7.7% year over year, with adjusted EPS of $0.43 topping expectations and gross margin expanding to 30.1%, showing the business remains profitable and resilient.
Positive Sentiment: Several analysts stayed constructive, including William Blair, J.P. Morgan, Raymond James, and Evercore, citing margin discipline, cash flow, and long-term growth drivers. Article Title
Neutral Sentiment: Chewy outlined fiscal 2026 net sales of $13.40 billion to $13.55 billion and said it is targeting net leverage below 2x adjusted EBITDA, reinforcing a focus on balance-sheet discipline. Article Title
Neutral Sentiment: Robert W. Baird lowered its price target to $30 from $40 while keeping an outperform rating, and Needham reiterated a Hold, reflecting a mixed but not uniformly bearish analyst response. Article Title
Negative Sentiment: Management cut its full-year sales forecast and flagged a more cautious consumer environment, which is the main reason investors are selling the stock despite the earnings beat.
Negative Sentiment: Commentary around the report also noted macroeconomic pressure and growth concerns, with shares hitting 52-week lows as Wall Street worries about demand for discretionary pet spending. Article Title

Hedge Funds Weigh In On Chewy

Hedge funds and other institutional investors have recently modified their holdings of the stock. Osterweis Capital Management Inc. purchased a new stake in Chewy in the second quarter worth about $30,000. CoreCap Advisors LLC grew its holdings in shares of Chewy by 306.3% during the 4th quarter. CoreCap Advisors LLC now owns 845 shares of the company’s stock worth $28,000 after acquiring an additional 637 shares during the period. Los Angeles Capital Management LLC bought a new position in shares of Chewy in the 4th quarter worth approximately $31,000. Harbour Investments Inc. raised its position in shares of Chewy by 81.4% in the 4th quarter. Harbour Investments Inc. now owns 907 shares of the company’s stock worth $30,000 after acquiring an additional 407 shares in the last quarter. Finally, Modus Advisors LLC purchased a new position in shares of Chewy in the 4th quarter valued at approximately $34,000. Hedge funds and other institutional investors own 93.09% of the company’s stock.

Chewy Stock Down 4.4%

The company has a market capitalization of $7.96 billion, a P/E ratio of 36.86, a price-to-earnings-growth ratio of 0.91 and a beta of 1.44. The company has a 50-day moving average of $23.80 and a two-hundred day moving average of $27.62.

Chewy (NYSE:CHWY – Get Free Report) last posted its quarterly earnings data on Wednesday, June 10th. The company reported $0.43 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.24 by $0.19. The business had revenue of $3.36 billion during the quarter, compared to the consensus estimate of $3.35 billion. Chewy had a return on equity of 53.48% and a net margin of 1.77%.The firm’s quarterly revenue was up 9.7% compared to the same quarter last year. During the same quarter in the prior year, the company earned $0.35 earnings per share. Chewy has set its Q2 2026 guidance at 0.360-0.360 EPS. As a group, equities analysts expect that Chewy will post 0.87 EPS for the current fiscal year.

Chewy Company Profile

(Get Free Report)

Chewy, Inc (NYSE: CHWY) is a leading e-commerce retailer specializing in pet food, supplies and services. The company offers a comprehensive assortment of products for dogs, cats, fish, birds and other small animals, including prescription medications, veterinary health products, grooming essentials and toys. Through its online platform and mobile app, Chewy provides an intuitive shopping experience with features such as Autoship, ensuring regular deliveries of pet essentials at schedule intervals.

Founded in 2011 by Ryan Cohen and Michael Day, Chewy initially operated under the name Mr.