Chewy price target lowered to $31 from $32 at Morgan Stanley

Morgan Stanley lowered the firm’s price target on Chewy to $31 from $32 and keeps an Equal Weight rating on the shares. Net adds were the primary focus heading into the print and “flipped back to negative territory” in Q2 with a decline of 52,000 member additions, the analyst tells investors. While negative net adds were offset by better than expected profitability, continuing recent trends, this leaves “the key debates unchanged,” the analyst added.