Chewy price target lowered to $44 from $56 at RBC Capital

RBC Capital analyst Steven Shemesh lowered the firm’s price target on Chewy to $44 from $56 and keeps an Outperform rating on the shares. The company’s Q2 results met top-line expectations and its FY23 guide was encouraging, but the management also walked back their expectation for net add growth in the second half of the year, citing a more price conscious consumer, the analyst tells investors in a research note. Given this development, Chewy shares are likely to remain rangebound until the investor day later this year, the firm added.