Traders Purchase High Volume of Put Options on Chewy (NYSE:CHWY)

Chewy (NYSE:CHWY) saw unusually large options trading activity on Friday. Stock traders bought 21,442 put options on the company. This represents an increase of 36% compared to the typical daily volume of 15,773 put options.

Analyst Upgrades and Downgrades

A number of research analysts recently commented on CHWY shares. Citigroup restated a “market outperform” rating on shares of Chewy in a research note on Monday, November 24th. Wolfe Research set a $44.00 price objective on shares of Chewy in a report on Monday, January 5th. TD Cowen reaffirmed a “buy” rating on shares of Chewy in a report on Thursday, December 4th. UBS Group set a $51.00 price objective on Chewy in a research report on Tuesday, January 13th. Finally, Piper Sandler restated an “overweight” rating on shares of Chewy in a research report on Thursday. One analyst has rated the stock with a Strong Buy rating, sixteen have assigned a Buy rating and four have assigned 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 $47.21.

Chewy Stock Performance

NYSE CHWY opened at $28.10 on Friday. Chewy has a fifty-two week low of $26.34 and a fifty-two week high of $48.62. The stock has a market cap of $11.66 billion, a PE ratio of 58.54, a PEG ratio of 1.79 and a beta of 1.59. The firm’s fifty day moving average price is $32.22 and its two-hundred day moving average price is $35.37.

Chewy (NYSE:CHWY) last announced its earnings results on Wednesday, December 10th. The company reported $0.32 earnings per share for the quarter, topping analysts’ consensus estimates of $0.31 by $0.01. The business had revenue of $3.12 billion during the quarter, compared to the consensus estimate of $3.10 billion. Chewy had a net margin of 1.64% and a return on equity of 56.78%. Chewy’s quarterly revenue was up 8.1% on a year-over-year basis. During the same quarter last year, the firm earned $0.20 earnings per share. Chewy has set its Q4 2025 guidance at 0.240-0.270 EPS. As a group, sell-side analysts predict that Chewy will post 0.24 earnings per share for the current fiscal year.

Insiders Place Their Bets

In other news, CEO Sumit Singh sold 40,789 shares of Chewy stock in a transaction on Tuesday, December 2nd. The stock was sold at an average price of $33.73, for a total transaction of $1,375,812.97. Following the transaction, the chief executive officer owned 623,185 shares in the company, valued at approximately $21,020,030.05. The trade was a 6.14% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which can be accessed through the SEC website. Also, CTO Satish Mehta sold 13,013 shares of the business’s stock in a transaction that occurred on Monday, February 2nd. The shares were sold at an average price of $28.99, for a total value of $377,246.87. Following the completion of the sale, the chief technology officer directly owned 273,835 shares of the company’s stock, valued at approximately $7,938,476.65. The trade was a 4.54% decrease in their position. The SEC filing for this sale provides additional information. Over the last ninety days, insiders have sold 69,369 shares of company stock valued at $2,276,360. 0.43% of the stock is currently owned by corporate insiders.

Institutional Investors Weigh In On Chewy

Hedge funds and other institutional investors have recently modified their holdings of the stock. Wellington Management Group LLP increased its stake in shares of Chewy by 295.9% during the third quarter. Wellington Management Group LLP now owns 17,622,768 shares of the company’s stock valued at $712,841,000 after buying an additional 13,171,325 shares during the period. AQR Capital Management LLC boosted its position in shares of Chewy by 120.2% in the 3rd quarter. AQR Capital Management LLC now owns 10,196,146 shares of the company’s stock worth $407,948,000 after purchasing an additional 5,564,803 shares in the last quarter. Viking Global Investors LP purchased a new stake in shares of Chewy in the 3rd quarter worth approximately $221,815,000. State Street Corp grew its stake in shares of Chewy by 75.5% in the second quarter. State Street Corp now owns 6,170,197 shares of the company’s stock worth $262,974,000 after acquiring an additional 2,654,496 shares during the last quarter. Finally, Champlain Investment Partners LLC purchased a new stake in Chewy during the 3rd quarter valued at about $89,022,000. Institutional investors own 93.09% of the company’s stock.

About Chewy

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.