Chewy Inc. (NYSE:CHWY) is a prominent player in the retail sector, specializing in pet products and services. As a key competitor in the online pet supply market, Chewy has carved out a significant niche, competing with other major retailers like Amazon and Petco. The company is set to release its quarterly earnings on September 10, 2025, with Wall Street closely watching the anticipated results.
Analysts project Chewy's earnings per share (EPS) to be $0.33, marking a notable 37.5% increase from the previous year. This growth is significant for investors, as it reflects the company's ability to enhance profitability. The revenue is expected to reach $3.08 billion, a 7.8% increase from the same quarter last year, indicating steady growth in sales.
The stability in Chewy's earnings estimates over the past month is noteworthy. Analysts have maintained their initial forecasts, which often influences investor reactions. Empirical studies suggest a strong correlation between trends in earnings estimate revisions and short-term stock price performance, making this stability a key factor for investors.
Chewy's financial metrics provide further insights into its market position. With a price-to-earnings (P/E) ratio of 44.35, investors are willing to pay over 44 times the company's earnings. The price-to-sales ratio of 1.43 and enterprise value to sales ratio of 1.42 reflect the market's valuation of Chewy relative to its sales.
However, Chewy's financial health presents some concerns. The debt-to-equity ratio of 1.33 indicates more debt than equity, and a current ratio of 0.80 suggests potential liquidity issues. These factors are crucial for investors to consider, as they may impact the company's ability to meet short-term obligations.