Chewy slides as in-line earnings and cautious outlook temper enthusiasm

Chewy, Inc. (CHWY) is down 7.8% today. Here is some analysis on what might have caused this price movement.

Analysis: The selloff appears tied to a classic sell-the-news reaction after Chewy posted solid second-quarter results that were close to expectations rather than a major upside surprise. Investors also seem to be focusing on a cautious view of pet-market demand, only modest near-term guidance, and balance-sheet changes following recent acquisitions.

Details:

Chewy reported fiscal second-quarter 2026 net sales of $3.33 billion, up 7.3% year over year, with adjusted diluted EPS of $0.36, which was roughly in line with market expectations.

The company highlighted stronger profitability, including adjusted EBITDA margin of 6.8%, and raised parts of its full-year outlook, but the update may not have been strong enough for a stock that had already rallied into the report.

Management indicated the broader pet category remains pressured and said it is not assuming a meaningful consumer recovery, which may have kept investors cautious on future growth.

Third-quarter revenue guidance was only slightly ahead of consensus estimates, and market commentary also flagged lower liquidity after acquisition-related financing and cash usage as an added overhang.

Sources:

Chewy Investor Relations, SEC, Investing.com

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 7 times in the past 6 months. Of those trades, 0 have been purchases and 7 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 4 sales selling 137,003 shares for an estimated $3,379,131.
DA-WAI HU (General Counsel & Secretary) has made 0 purchases and 3 sales selling 12,352 shares for an estimated $301,205.

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.

$CHWY Hedge Fund Activity

We have seen 287 institutional investors add shares of $CHWY stock to their portfolio, and 383 decrease their positions in their most recent quarter.

Here are some of the largest recent moves:

CANADA PENSION PLAN INVESTMENT BOARD added 14,945,614 shares (+285.7%) to their portfolio in Q2 2026, for an estimated $293,681,315
VIKING GLOBAL INVESTORS LP removed 13,536,645 shares (-100.0%) from their portfolio in Q1 2026, for an estimated $365,489,415
FEDERATED HERMES, INC. added 4,306,954 shares (+137.7%) to their portfolio in Q2 2026, for an estimated $84,631,646
CITADEL ADVISORS LLC removed 4,112,213 shares (-72.4%) from their portfolio in Q1 2026, for an estimated $111,029,751
HOLOCENE ADVISORS, LP removed 4,043,114 shares (-90.2%) from their portfolio in Q2 2026, for an estimated $79,447,190
AQR CAPITAL MANAGEMENT LLC removed 3,408,663 shares (-20.9%) from their portfolio in Q2 2026, for an estimated $66,980,227
POINT72 ASSET MANAGEMENT, L.P. removed 3,385,153 shares (-64.2%) from their portfolio in Q2 2026, for an estimated $66,518,256

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 15 analysts offer price targets for $CHWY in the last 6 months, with a median target of $34.0.

Here are some recent targets:

Alexandra Steiger from Goldman Sachs set a target price of $34.0 on 06/12/2026
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
Michael Lasser from UBS set a target price of $24.0 on 06/11/2026

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.