Chewy (CHWY) closed at $32.96 in the latest trading session, marking a -1.67% move from the prior day. The stock trailed the S&P 500, which registered a daily loss of 0.29%. Meanwhile, the Dow lost 0.86%, and the Nasdaq, a tech-heavy index, lost 0.09%.

Shares of the online pet store witnessed a gain of 17.82% over the previous month, beating the performance of the Retail-Wholesale sector with its gain of 3.95% and the S&P 500's gain of 3.3%.

Market participants will be closely following the financial results of Chewy in its upcoming release. The company's earnings per share (EPS) are projected to be $0.23, reflecting a 53.33% increase from the same quarter last year. Alongside, our most recent consensus estimate is anticipating revenue of $2.86 billion, indicating a 4.45% upward movement from the same quarter last year.

Looking at the full year, the Zacks Consensus Estimates suggest analysts are expecting earnings of $1.14 per share and revenue of $11.83 billion. These totals would mark changes of +65.22% and +6.35%, respectively, from last year.

Investors might also notice recent changes to analyst estimates for Chewy. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.

Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.

Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed an unchanged state. Chewy is currently a Zacks Rank #3 (Hold).

From a valuation perspective, Chewy is currently exchanging hands at a Forward P/E ratio of 29.4. For comparison, its industry has an average Forward P/E of 26.96, which means Chewy is trading at a premium to the group.

Also, we should mention that CHWY has a PEG ratio of 0.95. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. As the market closed yesterday, the Internet - Commerce industry was having an average PEG ratio of 1.41.

The Internet - Commerce industry is part of the Retail-Wholesale sector. Currently, this industry holds a Zacks Industry Rank of 66, positioning it in the top 27% of all 250+ industries.