Is Chewy (CHWY) Stock Finally Turning a Corner After Guidance Beat?

TLDR

• Chewy stock rose 1.9% in premarket trading to $23.20 after raising its full-year sales guidance
• Q2 adjusted EPS came in at $0.36, matching Wall Street estimates
• Q2 net sales grew 7.3% to $3.33 billion, slightly above the $3.32 billion consensus
• Full-year net sales guidance raised to $13.46B-$13.57B, with the midpoint above analyst expectations
• Chewy stock is down roughly 34% over the past 12 months

Chewy stock climbed in premarket trading Wednesday after the pet supplies retailer lifted its full-year sales outlook, giving investors something to cheer about after a largely in-line earnings report.

Chewy, Inc., CHWY

The stock was up 1.9% to $23.20 before the open, following a 1.7% decline on Tuesday. The stock closed most recently at $23.27.

For the fiscal second quarter ended August 2, Chewy posted adjusted earnings of $0.36 per share. That matched the Wall Street consensus exactly, up from $0.33 a year ago.

CHEWY $CHWY Q2’26 EARNINGS HIGHLIGHTS

🔹 Revenue: $3.33B (Est. $3.32B) 🟢; +7.3% YoY
🔹 Adj. EPS: $0.36; +9.1% YoY
🔹 Adj. EBITDA: $226.7M (Est. $211M) 🟢; +23.7% YoY
🔹 Adj. EBITDA Margin: 6.8% (Est. 6.5%) 🟢; +90 bps YoY

Other Q2 Metrics:
🔹 Gross Margin: 30.4%; flat YoY
🔹… pic.twitter.com/ag6h1DKqr6

— Wall St Engine (@wallstengine) September 9, 2026

Net sales for the quarter came in at $3.33 billion, a 7.3% increase year over year. Analysts had expected $3.32 billion, so the revenue line edged past estimates.

The earnings themselves were unspectacular. The real story was in the guidance.

Full-Year Outlook Lifted

Chewy raised its fiscal year 2027 net sales guidance to a range of $13.46 billion to $13.57 billion. The previous range was $13.4 billion to $13.55 billion.

At the midpoint, the new guidance sits at $13.515 billion, just above the analyst consensus of $13.48 billion.

For the fiscal third quarter, Chewy guided for net sales of $3.323 billion to $3.358 billion. The analyst consensus was $3.33 billion, putting Chewy’s guidance roughly in line.

A Tough Year for the Stock

Despite Wednesday’s early gain, CHWY has had a rough 2026. The stock is down around 34% over the past 12 months and off roughly 30% year to date through Tuesday’s close.

The stock has gained about 20% over the past three months, suggesting some recovery momentum heading into this report.

Chewy received zero positive EPS revisions and 12 negative EPS revisions from analysts in the last 90 days, according to InvestingPro. That’s not a confidence-inspiring setup heading into earnings.

But the raised guidance gave the market a reason to push the stock higher, at least in early trading.

InvestingPro rates Chewy’s financial health as “good performance.”

The Q2 results show steady if unexciting growth. Revenue is moving in the right direction and the company is generating consistent earnings.

With 12 negative EPS revisions in the past 90 days and a stock down sharply over the past year, the raised guidance was likely enough to provide short-term relief.

Chewy’s fiscal year net sales guidance midpoint of $13.515 billion now sits above the analyst consensus of $13.48 billion.

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