CHEWY INC - CLASS A (CHWY) Stock Fundamental Analysis
NYSE:CHWY - US16679L1098 - Common Stock
40.75 USD
+1.01 (+2.54%)
40.7002 USD
-0.05 (-0.12%)
We assign a fundamental rating of 5 out of 10 to CHWY. CHWY was compared to 123 industry peers in the Specialty Retail industry. CHWY has only an average score on both its financial health and profitability. While showing a medium growth rate, CHWY is valued expensive at the moment.
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.
In multiple years CHWY reported negative net income over the last 5 years.
CHWY had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
With an excellent Return On Assets value of 12.69%, CHWY belongs to the best of the industry, outperforming 86.99% of the companies in the same industry.
CHWY's Return On Equity of 103.37% is amongst the best of the industry. CHWY outperforms 99.19% of its industry peers.
With a decent Return On Invested Capital value of 11.14%, CHWY is doing good in the industry, outperforming 78.05% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.69% | ||
| ROE | 103.37% | ||
| ROIC | 11.14% |
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
The Profit Margin of CHWY (3.21%) is better than 69.92% of its industry peers.
With a Operating Margin value of 1.03%, CHWY perfoms like the industry average, outperforming 44.72% of the companies in the same industry.
CHWY's Gross Margin of 29.24% is on the low side compared to the rest of the industry. CHWY is outperformed by 65.85% of its industry peers.
CHWY's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 1.03% | ||
| PM (TTM) | 3.21% | ||
| GM | 29.24% |
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
CHWY has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
CHWY has less shares outstanding than it did 1 year ago.
CHWY has more shares outstanding than it did 5 years ago.
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 6.89 indicates that CHWY is not in any danger for bankruptcy at the moment.
CHWY has a Altman-Z score of 6.89. This is amongst the best in the industry. CHWY outperforms 93.50% 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 | 6.89 |
ROIC/WACC1.17
WACC9.5%
2.3 Liquidity
CHWY has a Current Ratio of 0.80. This is a bad value and indicates that CHWY is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Current ratio value of 0.80, CHWY is not doing good in the industry: 85.37% of the companies in the same industry are doing better.
A Quick Ratio of 0.42 indicates that CHWY may have some problems paying its short term obligations.
CHWY's Quick ratio of 0.42 is in line compared to the rest of the industry. CHWY outperforms 41.46% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.8 | ||
| Quick Ratio | 0.42 |
3. Growth
3.1 Past
CHWY shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 22.73%, which is quite impressive.
The Revenue has been growing slightly by 7.64% in the past year.
CHWY shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 19.60% yearly.
EPS 1Y (TTM)22.73%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%6.67%
Revenue 1Y (TTM)7.64%
Revenue growth 3Y10.08%
Revenue growth 5Y19.6%
Sales Q2Q%8.28%
3.2 Future
Based on estimates for the next years, CHWY will show a very strong growth in Earnings Per Share. The EPS will grow by 54.03% on average per year.
Based on estimates for the next years, CHWY will show a quite strong growth in Revenue. The Revenue will grow by 8.33% on average per year.
EPS Next Y113.53%
EPS Next 2Y77.1%
EPS Next 3Y61.18%
EPS Next 5Y54.03%
Revenue Next Year6.04%
Revenue Next 2Y6.66%
Revenue Next 3Y7.14%
Revenue Next 5Y8.33%
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 150.93, CHWY can be considered very expensive at the moment.
The rest of the industry has a similar Price/Earnings ratio as CHWY.
When comparing the Price/Earnings ratio of CHWY to the average of the S&P500 Index (27.08), we can say CHWY is valued expensively.
A Price/Forward Earnings ratio of 49.97 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.
When comparing the Price/Forward Earnings ratio of CHWY to the average of the S&P500 Index (22.67), we can say CHWY is valued expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 150.93 | ||
| Fwd PE | 49.97 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, CHWY is valued a bit more expensive than 68.29% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of CHWY indicates a somewhat cheap valuation: CHWY is cheaper than 60.16% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 37.5 | ||
| EV/EBITDA | 65.4 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
CHWY's earnings are expected to grow with 61.18% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.33
PEG (5Y)N/A
EPS Next 2Y77.1%
EPS Next 3Y61.18%
5. Dividend
5.1 Amount
CHWY does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
40.75
+1.01 (+2.54%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustrySpecialty Retail
Earnings (Last)
Earnings (Next)
Inst Owners81.39%
Inst Owner Change2.09%
Ins Owners2.17%
Ins Owner Change92.02%
Market Cap16.82B
Analysts78.38
Price Target45.45 (11.53%)
Short Float %7.04%
Short Ratio1.94
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)-12.07%
Min EPS beat(2)-19.01%
Max EPS beat(2)-5.13%
EPS beat(4)1
Avg EPS beat(4)34.46%
Min EPS beat(4)-88.16%
Max EPS beat(4)250.14%
EPS beat(8)4
Avg EPS beat(8)97.99%
EPS beat(12)8
Avg EPS beat(12)114.36%
EPS beat(16)9
Avg EPS beat(16)74.37%
Revenue beat(2)0
Avg Revenue beat(2)-0.67%
Min Revenue beat(2)-0.86%
Max Revenue beat(2)-0.48%
Revenue beat(4)0
Avg Revenue beat(4)-1.3%
Min Revenue beat(4)-1.95%
Max Revenue beat(4)-0.48%
Revenue beat(8)0
Avg Revenue beat(8)-1.28%
Revenue beat(12)2
Avg Revenue beat(12)-1.03%
Revenue beat(16)2
Avg Revenue beat(16)-1.46%
PT rev (1m)0%
PT rev (3m)14.55%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-14.65%
EPS NY rev (1m)0.15%
EPS NY rev (3m)-14.71%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)1.03%
Revenue NY rev (1m)0.24%
Revenue NY rev (3m)0.17%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 150.93 | ||
| Fwd PE | 49.97 | ||
| P/S | 1.39 | ||
| P/FCF | 37.5 | ||
| P/OCF | 28 | ||
| P/B | 44.79 | ||
| P/tB | 50.04 | ||
| EV/EBITDA | 65.4 |
EPS(TTM)0.27
EY0.66%
EPS(NY)0.82
Fwd EY2%
FCF(TTM)1.09
FCFY2.67%
OCF(TTM)1.46
OCFY3.57%
SpS29.31
BVpS0.91
TBVpS0.81
PEG (NY)1.33
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.69% | ||
| ROE | 103.37% | ||
| ROCE | 13.57% | ||
| ROIC | 11.14% | ||
| ROICexc | 33.74% | ||
| ROICexgc | 38.77% | ||
| OM | 1.03% | ||
| PM (TTM) | 3.21% | ||
| GM | 29.24% | ||
| FCFM | 3.71% |
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
ROICexcg growth 3YN/A
ROICexcg 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 Turnover3.95
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 130.61% | ||
| Cap/Sales | 1.26% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 248.85% | ||
| Profit Quality | 115.54% | ||
| Current Ratio | 0.8 | ||
| Quick Ratio | 0.42 | ||
| Altman-Z | 6.89 |
F-Score7
WACC9.5%
ROIC/WACC1.17
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)22.73%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%6.67%
EPS Next Y113.53%
EPS Next 2Y77.1%
EPS Next 3Y61.18%
EPS Next 5Y54.03%
Revenue 1Y (TTM)7.64%
Revenue growth 3Y10.08%
Revenue growth 5Y19.6%
Sales Q2Q%8.28%
Revenue Next Year6.04%
Revenue Next 2Y6.66%
Revenue Next 3Y7.14%
Revenue Next 5Y8.33%
EBIT growth 1Y636.49%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year435.2%
EBIT Next 3Y102.57%
EBIT Next 5Y60.01%
FCF growth 1Y87.13%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y44.56%
OCF growth 3Y45.98%
OCF growth 5Y66.5%