Strategy published on : 01/14/2021 | 03:01
Entry price : 112.5$
Target : 150$
Stop-loss : 88$
Potential : 33.33%
Chewy, Inc. shares show a positive technical situation which suggests a continuation of the upward dynamic over the medium term.
Investors have an opportunity to buy the stock and target the $ 150.
● The company has strong fundamentals. More than 70% of listed companies have a lower mix of growth, profitability, debt and visibility criteria.
● Analysts expect a sharply increasing business volume for the group, with high growth rates in the coming years.
● Growth remains a strong point in this company. In their sales forecast, analysts sound optimistic with regard to sales prospects.
● Over the last twelve months, the sales forecast has been frequently revised upwards.
● For several months, analysts have been revising their EPS estimates roughly upwards.
● For the past year, analysts covering the stock have been revising their EPS expectations upwards in a significant manner.
● Analysts covering this company mostly recommend stock overweighting or purchase.
● The tendency within the weekly time frame is positive above the technical support level at 53 USD
● Low profitability weakens the company.
● Prospects from analysts covering the stock are not consistent. Such dispersed sales estimates confirm the poor visibility into the group's activity.
● With an enterprise value anticipated at 6.5 times the sales for the current fiscal year, the company turns out to be overvalued.
● The appreciation potential seems limited due to the average target prices set by the analysts covering the stock.