CHEWY INC - CLASS A (CHWY) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:CHWY - US16679L1098 - Common Stock
33.47 USD
-1.32 (-3.79%)
33.65 USD
+0.18 (+0.54%)
Overall CHWY gets a fundamental rating of 5 out of 10. We evaluated CHWY against 122 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 has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
CHWY had positive earnings in the past year.
CHWY had a positive operating cash flow in the past year.
In multiple years CHWY reported negative net income over the last 5 years.
In the past 5 years CHWY always reported a positive cash flow from operatings.
1.2 Ratios
CHWY has a Return On Assets of 4.85%. This is in the better half of the industry: CHWY outperforms 68.85% of its industry peers.
The Return On Equity of CHWY (38.76%) is better than 90.98% of its industry peers.
CHWY has a better Return On Invested Capital (14.41%) than 85.25% 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 57.38% of the companies in the same industry.
With a Operating Margin value of 1.32%, CHWY perfoms like the industry average, outperforming 45.08% of the companies in the same industry.
CHWY has a worse Gross Margin (29.45%) than 68.03% 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
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), CHWY is creating some value.
Compared to 1 year ago, CHWY has less shares outstanding
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
CHWY has an Altman-Z score of 6.37. This indicates that CHWY is financially healthy and has little risk of bankruptcy at the moment.
The Altman-Z score of CHWY (6.37) is better than 93.44% of its industry peers.
There is no outstanding debt for CHWY. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 6.37 |
ROIC/WACC1.54
WACC9.33%
2.3 Liquidity
A Current Ratio of 0.81 indicates that CHWY may have some problems paying its short term obligations.
CHWY has a Current ratio of 0.81. This is amonst the worse of the industry: CHWY underperforms 82.79% of its industry peers.
CHWY has a Quick Ratio of 0.81. This is a bad value and indicates that CHWY is not financially healthy enough and could expect problems in meeting its short term obligations.
The Quick ratio of CHWY (0.41) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.81 | ||
| Quick Ratio | 0.41 |
3. Growth
3.1 Past
CHWY shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 56.52%, which is quite impressive.
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 Y103.81%
EPS Next 2Y74.54%
EPS Next 3Y61.46%
EPS Next 5Y54.17%
Revenue Next Year6.53%
Revenue Next 2Y7.17%
Revenue Next 3Y7.71%
Revenue Next 5Y8.12%
3.3 Evolution
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 92.97, CHWY can be considered very expensive at the moment.
CHWY's Price/Earnings is on the same level as the industry average.
When comparing the Price/Earnings ratio of CHWY to the average of the S&P500 Index (26.15), we can say CHWY is valued expensively.
CHWY is valuated quite expensively with a Price/Forward Earnings ratio of 42.26.
CHWY's Price/Forward Earnings is on the same level as the industry average.
CHWY's Price/Forward Earnings ratio indicates a similar valuation than the S&P500 average which is at 36.22.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 92.97 | ||
| Fwd PE | 42.26 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, CHWY is valued a bit more expensive than 68.03% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, CHWY is valued a bit cheaper than the industry average as 63.11% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 29.99 | ||
| EV/EBITDA | 47.02 |
4.3 Compensation for Growth
The 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 61.46% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.9
PEG (5Y)N/A
EPS Next 2Y74.54%
EPS Next 3Y61.46%
5. Dividend
5.1 Amount
CHWY does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
33.47
-1.32 (-3.79%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustrySpecialty Retail
Earnings (Last)
Earnings (Next)
Inst Owners180.15%
Inst Owner Change-0.06%
Ins Owners2.06%
Ins Owner Change-9.72%
Market Cap13.88B
Revenue(TTM)12.35B
Net Income(TTM)151.12M
Analysts81.11
Price Target46.38 (38.57%)
Short Float %5.91%
Short Ratio1.98
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)3.31%
PT rev (3m)2.04%
EPS NQ rev (1m)-1.87%
EPS NQ rev (3m)-5.26%
EPS NY rev (1m)0.6%
EPS NY rev (3m)3.06%
Revenue NQ rev (1m)-0.22%
Revenue NQ rev (3m)1.48%
Revenue NY rev (1m)0.23%
Revenue NY rev (3m)0.79%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 92.97 | ||
| Fwd PE | 42.26 | ||
| P/S | 1.12 | ||
| P/FCF | 29.99 | ||
| P/OCF | 22.71 | ||
| P/B | 35.61 | ||
| P/tB | 39.61 | ||
| EV/EBITDA | 47.02 |
EPS(TTM)0.36
EY1.08%
EPS(NY)0.79
Fwd EY2.37%
FCF(TTM)1.12
FCFY3.33%
OCF(TTM)1.47
OCFY4.4%
SpS29.76
BVpS0.94
TBVpS0.84
PEG (NY)0.9
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 | 6.37 |
F-Score7
WACC9.33%
ROIC/WACC1.54
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 Y103.81%
EPS Next 2Y74.54%
EPS Next 3Y61.46%
EPS Next 5Y54.17%
Revenue 1Y (TTM)9.04%
Revenue growth 3Y10.08%
Revenue growth 5Y19.6%
Sales Q2Q%8.59%
Revenue Next Year6.53%
Revenue Next 2Y7.17%
Revenue Next 3Y7.71%
Revenue Next 5Y8.12%
EBIT growth 1Y142.91%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year444.25%
EBIT Next 3Y99.94%
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 4 / 10 to CHEWY INC - CLASS A (CHWY). This can be considered as Fairly Valued.
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.