Chewy slides 6% as lowered sales outlook outweighs Q1 beat

Chewy, Inc. (CHWY) is down 6.0% today. Here is some analysis on what might have caused this price movement.

Analysis: The decline appears tied to investors refocusing on softer forward-looking demand after Chewy posted strong fiscal Q1 results but reduced its full-year sales outlook. Management commentary pointed to a weaker consumer backdrop late in the quarter, which likely pressured expectations for near-term growth despite better profitability.

Details:

Chewy reported fiscal Q1 (ended May 3, 2026) net sales of about $3.36 billion (+7.7% year over year) and adjusted EBITDA of about $253 million, showing margin expansion versus last year.

The company highlighted a more dynamic consumer environment, with signs of increased spending caution affecting discretionary purchases and mix.

Chewy cut its fiscal 2026 net sales outlook to roughly $13.40–$13.55 billion (a reduction versus its prior range), signaling slower growth than the market had been expecting.

Chewy maintained its full-year adjusted EBITDA margin guidance (6.6%–6.8%), suggesting profitability progress may continue even if revenue growth cools.

Sources:

Chewy Investor Relations, SEC, Zacks

Disclaimer: This price movement analysis was generated with the help of AI. Please double-check the information provided for mistakes.

$CHWY Insider Trading Activity

$CHWY insiders have traded $CHWY stock on the open market 5 times in the past 6 months. Of those trades, 0 have been purchases and 5 have been sales.

Here’s a breakdown of recent trading of $CHWY stock by insiders over the last 6 months:

SUMIT SINGH (Chief Executive Officer) has made 0 purchases and 2 sales selling 87,526 shares for an estimated $2,240,665.
SATISH MEHTA (Chief Technology Officer) sold 13,013 shares for an estimated $377,246
DA-WAI HU (General Counsel & Secretary) sold 8,149 shares for an estimated $219,289
CHRISTOPHER S. DEPPE (Chief Financial Officer) sold 3,043 shares for an estimated $81,765

To track insider transactions, check out Quiver Quantitative's insider trading dashboard. You can access data on insider stock transactions through the Quiver Quantitative API insider transaction endpoint.

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$CHWY Hedge Fund Activity

We have seen 351 institutional investors add shares of $CHWY stock to their portfolio, and 336 decrease their positions in their most recent quarter.

Here are some of the largest recent moves:

VIKING GLOBAL INVESTORS LP removed 13,536,645 shares (-100.0%) from their portfolio in Q1 2026, for an estimated $365,489,415
BAILLIE GIFFORD & CO removed 5,517,323 shares (-100.0%) from their portfolio in Q4 2025, for an estimated $182,347,525
AQR CAPITAL MANAGEMENT LLC added 5,123,998 shares (+45.7%) to their portfolio in Q1 2026, for an estimated $138,347,946
WELLINGTON MANAGEMENT GROUP LLP removed 4,882,074 shares (-87.3%) from their portfolio in Q1 2026, for an estimated $131,815,998
NORGES BANK added 4,679,171 shares (+inf%) to their portfolio in Q4 2025, for an estimated $154,646,601
CITADEL ADVISORS LLC removed 4,112,213 shares (-72.4%) from their portfolio in Q1 2026, for an estimated $111,029,751
TWO SIGMA INVESTMENTS, LP added 3,592,230 shares (+137.1%) to their portfolio in Q1 2026, for an estimated $96,990,210

To track hedge funds' stock portfolios, check out Quiver Quantitative's institutional holdings dashboard. You can access data on hedge funds moves and 13F filings through the Quiver Quantitative API 13F endpoint.

$CHWY Price Targets

Multiple analysts have issued price targets for $CHWY recently. We have seen 16 analysts offer price targets for $CHWY in the last 6 months, with a median target of $36.0.

Here are some recent targets:

Justin Kleber from Baird set a target price of $30.0 on 06/11/2026
Andrew Boone from Citizens set a target price of $28.0 on 06/11/2026
Ross Sandler from Barclays set a target price of $36.0 on 06/11/2026
Steven Shemesh from RBC Capital set a target price of $34.0 on 06/11/2026
William Kerr from TD Cowen set a target price of $34.0 on 06/11/2026
David Bellinger from Mizuho set a target price of $40.0 on 06/03/2026
Doug Anmuth from JP Morgan set a target price of $35.0 on 06/02/2026

This article is not financial advice. See Quiver Quantitative's disclaimers for more information. Note that there may be inaccuracies due to mistakes in ticker-mapping, and other anomalies.