What's Up With Chewy Stock?

Chewy Inc CHWY shares traded higher on Thursday. The stock had already been trending higher over December, here's what's been going on.

What To Know: During November, Chewy stock attempted to break from its all-time low reached in October. The move ultimately failed, with shares sliding back down at the end of the month.

December was a different story for the stock. Despite the company reporting mixed third-quarter results and issuing reduced net sales guidance for the full year 2023, shares trended higher over the past month, possibly aided by recent economic tailwinds related to the Fed's pause on interest rate hikes.

Over the past week, the stock received two significant analyst ratings which have helped it push higher as well.

On Dec. 15, Needham analyst Anna Andreeva maintained Chewy with a Buy and raised the price target from $20 to $25.

More recently, Jefferies analyst Kaumil Gajrawala initiated coverage on Chewy with a Buy rating and announced a price target of $27. 

In addition to citing near-term growth drivers of pet health, advertisements and automation, Gajrawala asserted Chewy would be more likely to resist weakness in the industry due macro pressures.

The stock gained by more than 7% on Thursday and appeared on Yahoo's Trending tickers page.

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CHWY Price Action: Shares of CHWY were up 7.14% at $25.07 at the close of the market Thursday, according to Benzinga Pro. 

Photo: 14230021 from Pixabay