Chewy, Inc. (NYSE:CHWY) is among the top losers of the stock market today, sinking -3.45% or (-0.84 points) to $23.47 from its previous close of $24.31. Does this decline mean it the best stock to buy right now? The shares seem to have an active trading volume day with a reported 950037 contracts so far this session. CHWY shares had a relatively better volume day versus average trading capacity of 2.18 million shares, but with a 44.1 million float and a 3.93% run over a week, it’s definitely worth keeping an eye on. The one year price forecast for CHWY stock indicates that the average analyst price target is $36.09 per share. This means the stock has a potential increase of 53.77% from where the CHWY share price has been trading recently which is between $22.98 and $24.51.
Looking at the current readings for Chewy, Inc., the two-week RSI stands at 45.47. This figure suggests that CHWY stock, for now, is neutral, meaning that the shares are stable in terms of price movement. The stochastic readings, on the other hand, based on the current CHWY readings is similarly very revealing as it has a stochastic reading of 67.98% at this stage. This figure means that CHWY share price today is being neutral.
Technical chart claims that Chewy, Inc. (CHWY) would settle between $24.89/share to $25.46/share level. However, if the stock price goes below the $23.36 mark, then the market for Chewy, Inc. becomes much weaker. If that happens, the stock price might even plunge as low as $22.4 for its downside target. The stock is currently in the green zone of MACD, with the indicator reading 0.18. Traders are always alerted for the move of a stock above or below the zero line due to the fact that the reading is an indicator of the position of the short-term average relative to the long-term average. If the MACD is above the zero line, then the short-term average relative is above that of the long-term average, thus implying an upward momentum. Vice versa is the case if the MACD is below the zero line.
Analysts at Credit Suisse, assumed coverage of CHWY assigning Outperform rating, according to their opinion released on November 11. Nomura analysts bumped their rating on Chewy, Inc. (NYSE:CHWY) stock from Neutral to Buy in a separate flash note issued to investors on September 23. Analysts at Barclays are sticking to their Equal Weight stance. However, on September 18, they lifted price target for these shares to $33 from $32.
CHWY equity has an average rating of 2.33, with the figure leaning towards a bullish end. 10 analysts who tracked the company were contacted by Reuters. Amongst them, 5 rated the stock as a hold while the remaining 5 were split even though not equally. Some analysts rate the stock as a buy or a strong buy while no rated it as a sell. 5 analysts rated Chewy, Inc. (NYSE:CHWY) as a buy or a strong buy while not a single analyst advised that investors should desist from purchasing the stock or sell them if they already own the company’s stock.
Moving on, CHWY stock price is currently trading at 0X forward 12-month Consensus EPS estimates, and its P/E ratio is 0 while for the average stock in the same group, the multiple is 48.4. Chewy, Inc. current P/B ratio of 0 means it is trading at a discount against its industry’s 10.3.