Morgan Stanley sees ‘chance’ Chewy announces first buyback program with Q1

Morgan Stanley leans positive into Q1 earnings from Chewy with upside seen to EBITDA margins as well as “the possibility” that the company could announce its first buyback program. However, pressure from the weak pet macro backdrop has persisted and the firm is expecting Q1 revenue and guidance to be in-line, added the analyst, who keeps an Overweight rating and $27 price target on Chewy shares ahead of the report.