CHEWY INC - CLASS A (CHWY) Stock Fundamental Analysis
USA - NYSE:CHWY - US16679L1098 - Common Stock
35.11 USD
-1.12 (-3.09%)
35.2 USD
+0.09 (+0.26%)
Overall CHWY gets a fundamental rating of 5 out of 10. We evaluated CHWY against 121 industry peers in the Specialty Retail industry. Both the profitability and the financial health of CHWY get a neutral evaluation. Nothing too spectacular is happening here. CHWY is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
CHWY had positive earnings in the past year.
In the past year CHWY had a positive cash flow from operations.
The reported net income has been mixed in the past 5 years: CHWY reported negative net income in multiple years.
CHWY had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
CHWY's Return On Assets of 4.85% is fine compared to the rest of the industry. CHWY outperforms 66.94% of its industry peers.
The Return On Equity of CHWY (38.76%) is better than 90.91% of its industry peers.
CHWY's Return On Invested Capital of 14.41% is amongst the best of the industry. CHWY outperforms 83.47% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.85% | ||
| ROE | 38.76% | ||
| ROIC | 14.41% |
ROA(3y)5.41%
ROA(5y)1.48%
ROE(3y)60.29%
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
Looking at the Profit Margin, with a value of 1.22%, CHWY is in line with its industry, outperforming 57.02% of the companies in the same industry.
CHWY has a Operating Margin (1.32%) which is in line with its industry peers.
CHWY's Gross Margin of 29.45% is on the low side compared to the rest of the industry. CHWY is outperformed by 66.94% of its industry peers.
CHWY's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 1.32% | ||
| PM (TTM) | 1.22% | ||
| GM | 29.45% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y3.07%
GM growth 5Y4.37%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so CHWY is still creating some value.
The number of shares outstanding for CHWY has been reduced compared to 1 year ago.
Compared to 5 years ago, CHWY has more shares outstanding
CHWY has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
2.2 Solvency
An Altman-Z score of 6.52 indicates that CHWY is not in any danger for bankruptcy at the moment.
CHWY's Altman-Z score of 6.52 is amongst the best of the industry. CHWY outperforms 93.39% of its industry peers.
CHWY has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 6.52 |
ROIC/WACC1.52
WACC9.46%
2.3 Liquidity
A Current Ratio of 0.81 indicates that CHWY may have some problems paying its short term obligations.
Looking at the Current ratio, with a value of 0.81, CHWY is doing worse than 84.30% of the companies in the same industry.
A Quick Ratio of 0.41 indicates that CHWY may have some problems paying its short term obligations.
CHWY has a worse Quick ratio (0.41) than 60.33% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.81 | ||
| Quick Ratio | 0.41 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 56.52% over the past year.
The Revenue has grown by 9.04% in the past year. This is quite good.
Measured over the past years, CHWY shows a quite strong growth in Revenue. The Revenue has been growing by 19.60% on average per year.
EPS 1Y (TTM)56.52%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%180%
Revenue 1Y (TTM)9.04%
Revenue growth 3Y10.08%
Revenue growth 5Y19.6%
Sales Q2Q%8.59%
3.2 Future
CHWY is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 54.17% yearly.
The Revenue is expected to grow by 8.12% on average over the next years. This is quite good.
EPS Next Y118.76%
EPS Next 2Y78.16%
EPS Next 3Y64.45%
EPS Next 5Y54.17%
Revenue Next Year6.63%
Revenue Next 2Y7.37%
Revenue Next 3Y7.69%
Revenue Next 5Y8.12%
3.3 Evolution
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 97.53 indicates a quite expensive valuation of CHWY.
CHWY's Price/Earnings is on the same level as the industry average.
The average S&P500 Price/Earnings ratio is at 26.89. CHWY is valued rather expensively when compared to this.
A Price/Forward Earnings ratio of 42.55 indicates a quite expensive valuation of CHWY.
Compared to the rest of the industry, the Price/Forward Earnings ratio of CHWY is on the same level as its industry peers.
CHWY's Price/Forward Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 22.99.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 97.53 | ||
| Fwd PE | 42.55 |
4.2 Price Multiples
68.59% of the companies in the same industry are cheaper than CHWY, based on the Enterprise Value to EBITDA ratio.
Based on the Price/Free Cash Flow ratio, CHWY is valued a bit cheaper than the industry average as 61.98% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 31.46 | ||
| EV/EBITDA | 49.42 |
4.3 Compensation for Growth
CHWY's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
CHWY's earnings are expected to grow with 64.45% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.82
PEG (5Y)N/A
EPS Next 2Y78.16%
EPS Next 3Y64.45%
5. Dividend
5.1 Amount
CHWY does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
35.11
-1.12 (-3.09%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustrySpecialty Retail
Earnings (Last)
Earnings (Next)
Inst Owners180.15%
Inst Owner Change0.16%
Ins Owners2.06%
Ins Owner Change-49.12%
Market Cap14.56B
Revenue(TTM)12.35B
Net Income(TTM)151.12M
Analysts80
Price Target44.89 (27.86%)
Short Float %8.07%
Short Ratio2.39
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-11.06%
Min EPS beat(2)-19.01%
Max EPS beat(2)-3.12%
EPS beat(4)0
Avg EPS beat(4)-28.85%
Min EPS beat(4)-88.16%
Max EPS beat(4)-3.12%
EPS beat(8)3
Avg EPS beat(8)74.65%
EPS beat(12)7
Avg EPS beat(12)102.36%
EPS beat(16)9
Avg EPS beat(16)83.37%
Revenue beat(2)0
Avg Revenue beat(2)-1.03%
Min Revenue beat(2)-1.2%
Max Revenue beat(2)-0.86%
Revenue beat(4)0
Avg Revenue beat(4)-1.12%
Min Revenue beat(4)-1.95%
Max Revenue beat(4)-0.48%
Revenue beat(8)0
Avg Revenue beat(8)-1.26%
Revenue beat(12)2
Avg Revenue beat(12)-0.82%
Revenue beat(16)2
Avg Revenue beat(16)-1.29%
PT rev (1m)0.2%
PT rev (3m)-1.22%
EPS NQ rev (1m)-0.96%
EPS NQ rev (3m)-3.55%
EPS NY rev (1m)0.33%
EPS NY rev (3m)2.6%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)1.74%
Revenue NY rev (1m)-0.27%
Revenue NY rev (3m)0.79%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 97.53 | ||
| Fwd PE | 42.55 | ||
| P/S | 1.18 | ||
| P/FCF | 31.46 | ||
| P/OCF | 23.83 | ||
| P/B | 37.35 | ||
| P/tB | 41.55 | ||
| EV/EBITDA | 49.42 |
EPS(TTM)0.36
EY1.03%
EPS(NY)0.83
Fwd EY2.35%
FCF(TTM)1.12
FCFY3.18%
OCF(TTM)1.47
OCFY4.2%
SpS29.76
BVpS0.94
TBVpS0.84
PEG (NY)0.82
PEG (5Y)N/A
Graham Number2.76
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.85% | ||
| ROE | 38.76% | ||
| ROCE | 17.56% | ||
| ROIC | 14.41% | ||
| ROICexc | 39.96% | ||
| ROICexgc | 45.3% | ||
| OM | 1.32% | ||
| PM (TTM) | 1.22% | ||
| GM | 29.45% | ||
| FCFM | 3.75% |
ROA(3y)5.41%
ROA(5y)1.48%
ROE(3y)60.29%
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y3.07%
GM growth 5Y4.37%
F-Score7
Asset Turnover3.96
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 123.38% | ||
| Cap/Sales | 1.2% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 216.21% | ||
| Profit Quality | 306.35% | ||
| Current Ratio | 0.81 | ||
| Quick Ratio | 0.41 | ||
| Altman-Z | 6.52 |
F-Score7
WACC9.46%
ROIC/WACC1.52
Cap/Depr(3y)177.55%
Cap/Depr(5y)250.04%
Cap/Sales(3y)1.59%
Cap/Sales(5y)1.76%
Profit Quality(3y)408.37%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)56.52%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%180%
EPS Next Y118.76%
EPS Next 2Y78.16%
EPS Next 3Y64.45%
EPS Next 5Y54.17%
Revenue 1Y (TTM)9.04%
Revenue growth 3Y10.08%
Revenue growth 5Y19.6%
Sales Q2Q%8.59%
Revenue Next Year6.63%
Revenue Next 2Y7.37%
Revenue Next 3Y7.69%
Revenue Next 5Y8.12%
EBIT growth 1Y142.91%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year444.25%
EBIT Next 3Y100.18%
EBIT Next 5Y60.49%
FCF growth 1Y36.25%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y16.41%
OCF growth 3Y45.98%
OCF growth 5Y66.5%
CHEWY INC - CLASS A / CHWY FAQ
What is the fundamental rating for CHWY stock?
ChartMill assigns a fundamental rating of 5 / 10 to CHWY.
Can you provide the valuation status for CHEWY INC - CLASS A?
ChartMill assigns a valuation rating of 3 / 10 to CHEWY INC - CLASS A (CHWY). This can be considered as Overvalued.
Can you provide the profitability details for CHEWY INC - CLASS A?
CHEWY INC - CLASS A (CHWY) has a profitability rating of 5 / 10.
What is the financial health of CHEWY INC - CLASS A (CHWY) stock?
The financial health rating of CHEWY INC - CLASS A (CHWY) is 6 / 10.