National Bank upgraded Pet Valu (PTVLF) to Outperform from Sector Perform with an unchanged C$41 price target. The stock has declined 16% since Chewy (CHWY) highlighted international expansion plans in its Q4 earnings call and the market is reflecting $80M in lost revenue for the company, which is overly punitive given Chewy’s U.S. market share is about “7% obtained in over 10 years”, the analyst tells investors in a research note. The firm is also upgrading the stock given the strong and resilient business fundamentals, high returns on capital, expectations of positive earnings growth in the second half of this year, and attractive valuation.
Elevate Your Investing Strategy:
- Take advantage of TipRanks Premium at 50% off! Unlock powerful investing tools, advanced data, and expert analyst insights to help you invest with confidence.
Published first on TheFly
See Insiders’ Hot Stocks on TipRanks >>
Read More on CHWY:
- Chewy Stock (NYSE:CHWY): An Acquisition Target with Otherwise Limited Appeal
- Chewy Stock (NYSE:CHWY): The Next Phase of Its Growth Begins
- 3 E-Commerce Stocks with 25-80% Upside, According to Analysts
- 3 Best Stocks to Buy Now, 6/1/2023, According to Top Analysts
- Surprise! Nordstrom Stock (NYSE:JWN) Rises on Q1 Profit