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Despite Chewy's Q3 Earnings Miss, Here's Why I'd Still Buy It Before the End of 2024


//stocks-investing.news-articles.net/content/202 .. why-i-d-still-buy-it-before-the-end-of-2024.html
Published in Stocks and Investing on Monday, December 9th 2024 at 22:41 GMT by The Motley Fool   Print publication without navigation

  • In this light, the recent pause of Chewy stock's recovery effort from its post-pandemic pullback is a fantastic entry point. The company's progress is going to become increasingly tough to ignore, making now -- while most investors are distracted -- the right time to wade in.

The article from The Motley Fool discusses Chewy's third-quarter earnings, which missed expectations, yet provides reasons why the company remains an attractive investment. Despite a slight revenue miss and a significant drop in net income, Chewy reported a 3% year-over-year sales increase, reaching $2.74 billion. The company's gross margin improved, and it achieved a record-high adjusted EBITDA margin of 5.7%. Key positive points include Chewy's expansion into Canada, the growth of its automated fulfillment centers, and the introduction of new services like pet insurance and wellness products. Additionally, Chewy's loyal customer base, with a net sales per active customer increase to $555, and a high Autoship sales mix of 75.5%, underline its strong market position. The article suggests that despite short-term challenges, Chewy's strategic moves and operational improvements make it a compelling long-term investment.

Read the Full The Motley Fool Article at:
[ https://www.fool.com/investing/2024/12/09/despite-chewys-q3-earnings-miss-heres-why-id-still/ ]

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