CHEWY INC - CLASS A (CHWY) Stock Fundamental Analysis
NYSE:CHWY - New York Stock Exchange, Inc. - US16679L1098 - Common Stock - Currency: USD
Overall CHWY gets a fundamental rating of 5 out of 10. We evaluated CHWY against 122 industry peers in the Specialty Retail industry. CHWY has an average financial health and profitability rating. CHWY is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year CHWY was profitable.
In the past year CHWY had a positive cash flow from operations.
The reported net income has been mixed in the past 5 years: CHWY reported negative net income in multiple years.
CHWY had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of 12.69%, CHWY belongs to the top of the industry, outperforming 86.89% of the companies in the same industry.
The Return On Equity of CHWY (103.37%) is better than 98.36% of its industry peers.
CHWY has a better Return On Invested Capital (11.14%) than 78.69% of its industry peers.
| 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
CHWY has a Profit Margin of 3.21%. This is in the better half of the industry: CHWY outperforms 70.49% of its industry peers.
CHWY has a Operating Margin (1.03%) which is in line with its industry peers.
Looking at the Gross Margin, with a value of 29.24%, CHWY is doing worse than 68.03% of the companies in the same industry.
In the last couple of years the Gross Margin of CHWY has grown nicely.
| 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
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), CHWY is creating some value.
The number of shares outstanding for CHWY has been reduced compared to 1 year ago.
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 6.61. This indicates that CHWY is financially healthy and has little risk of bankruptcy at the moment.
With an excellent Altman-Z score value of 6.61, CHWY belongs to the best of the industry, outperforming 94.26% of the companies in the same industry.
CHWY has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 6.61 |
ROIC/WACC1.26
WACC8.87%
2.3 Liquidity
A Current Ratio of 0.80 indicates that CHWY may have some problems paying its short term obligations.
Looking at the Current ratio, with a value of 0.80, CHWY is doing worse than 87.70% of the companies in the same industry.
A Quick Ratio of 0.42 indicates that CHWY may have some problems paying its short term obligations.
CHWY has a Quick ratio (0.42) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.8 | ||
| Quick Ratio | 0.42 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 22.73% over the past year.
Looking at the last year, CHWY shows a small growth in Revenue. The Revenue has grown by 7.64% in the last year.
The Revenue has been growing by 19.60% on average over the past years. This is quite good.
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
CHWY is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 54.03% yearly.
CHWY is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 7.00% yearly.
EPS Next Y113.22%
EPS Next 2Y76.94%
EPS Next 3Y61.18%
EPS Next 5Y54.03%
Revenue Next Year5.79%
Revenue Next 2Y6.67%
Revenue Next 3Y7.14%
Revenue Next 5Y7%
3.3 Evolution
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 133.00 indicates a quite expensive valuation of CHWY.
Compared to the rest of the industry, the Price/Earnings ratio of CHWY is on the same level as its industry peers.
Compared to an average S&P500 Price/Earnings ratio of 26.82, CHWY is valued quite expensively.
The Price/Forward Earnings ratio is 44.12, which means the current valuation is very expensive for CHWY.
CHWY's Price/Forward Earnings is on the same level as the industry average.
The average S&P500 Price/Forward Earnings ratio is at 36.21. CHWY is valued slightly more expensive when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 133 | ||
| Fwd PE | 44.12 |
4.2 Price Multiples
CHWY's Enterprise Value to EBITDA ratio is a bit more expensive when compared to the industry. CHWY is more expensive than 68.85% 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 60.66% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 33.05 | ||
| EV/EBITDA | 60.2 |
4.3 Compensation for Growth
CHWY's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
A more expensive valuation may be justified as CHWY's earnings are expected to grow with 61.18% in the coming years.
PEG (NY)1.17
PEG (5Y)N/A
EPS Next 2Y76.94%
EPS Next 3Y61.18%
5. Dividend
5.1 Amount
No dividends for CHWY!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
35.91
-0.79 (-2.15%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustrySpecialty Retail
Earnings (Last)
Earnings (Next)
Inst Owners87.86%
Inst Owner Change0.12%
Ins Owners3.09%
Ins Owner Change33.41%
Market Cap14.82B
Analysts78.38
Price Target45.45 (26.57%)
Short Float %7.78%
Short Ratio2.23
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)1.5%
PT rev (3m)14.55%
EPS NQ rev (1m)-13.47%
EPS NQ rev (3m)-14.65%
EPS NY rev (1m)-13.73%
EPS NY rev (3m)-18.88%
Revenue NQ rev (1m)1.52%
Revenue NQ rev (3m)1.03%
Revenue NY rev (1m)-0.02%
Revenue NY rev (3m)-0.23%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 133 | ||
| Fwd PE | 44.12 | ||
| P/S | 1.23 | ||
| P/FCF | 33.05 | ||
| P/OCF | 24.67 | ||
| P/B | 39.47 | ||
| P/tB | 44.09 | ||
| EV/EBITDA | 60.2 |
EPS(TTM)0.27
EY0.75%
EPS(NY)0.81
Fwd EY2.27%
FCF(TTM)1.09
FCFY3.03%
OCF(TTM)1.46
OCFY4.05%
SpS29.31
BVpS0.91
TBVpS0.81
PEG (NY)1.17
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 | 6.61 |
F-Score7
WACC8.87%
ROIC/WACC1.26
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 Y113.22%
EPS Next 2Y76.94%
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 Year5.79%
Revenue Next 2Y6.67%
Revenue Next 3Y7.14%
Revenue Next 5Y7%
EBIT growth 1Y636.49%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year429.38%
EBIT Next 3Y99.12%
EBIT Next 5Y58.74%
FCF growth 1Y87.13%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y44.56%
OCF growth 3Y45.98%
OCF growth 5Y66.5%