Latest news with #petindustry
Forbes
5 days ago
- Business
- Forbes
Chewy Earnings To Deliver?
Chewy (NYSE:CHWY) is expected to release its earnings around June 11. Chewy offers food and supplies for a range of pets and is also involved in emerging pet industry sectors such as personalized products, pet insurance, and pet telehealth, with a market capitalization of $19 billion. Consensus forecasts indicate revenues near $3.08 billion for the quarter, reflecting an increase of approximately 7% compared to the previous year, while earnings are anticipated to be around $0.34 per share. This growth is likely fueled by an expanding customer base relative to last year, along with an increased adoption of Chewy's Autoship subscription service, which enables customers to arrange for regular deliveries of pet supplies. Over the past twelve months, revenue reached $12 billion, and the company was operationally profitable, generating $113 million in operating profits and a net income of $393 million. However, for those seeking upside potential with reduced volatility than individual stocks, the Trefis High Quality portfolio offers an alternative, having surpassed the S&P 500 and achieved returns exceeding 91% since its inception. See earnings reaction history of all stocks Here are some observations on one-day (1D) post-earnings returns: Additional information on observed 5-Day (5D) and 21-Day (21D) returns after earnings is compiled along with statistics in the table below. CHWY 1D, 5D, and 21D Post-Earnings Return Trefis A relatively lower-risk approach (though ineffective if the correlation is low) involves evaluating the correlation between short-term and medium-term returns following earnings, identifying a pair with the highest correlation, and executing the appropriate trade. For example, if 1D and 5D exhibit the strongest correlation, a trader can position themselves 'long' for the next 5 days assuming the 1D post-earnings return is positive. Below is some correlation data based on a 5-year and a 3-year (more recent) history. Note that the correlation 1D_5D refers to the relationship between 1D post-earnings returns and the subsequent 5D returns. Learn more about Trefis RV strategy that has outperformed its all-cap stocks benchmark (a combination of the S&P 500, S&P mid-cap, and Russell 2000), delivering strong returns for investors. Additionally, if you desire upside with a smoother experience compared to an individual stock like Chewy, consider the High Quality portfolio, which has exceeded the S&P and achieved returns greater than 91% since inception.
Yahoo
10-05-2025
- Business
- Yahoo
Denver pet store warns prices of toys, pet food are on the rise thanks to tariffs
DENVER (KDVR) — A local business is starting to feel the heat of import tariffs and is being transparent with customers that they will, unfortunately, have to start spending more. 'She made a difference': Vigil honors beloved science teacher killed in Weld County crash Luke & Co. Fine Pet Supply has been in business on Broadway for the last nine years, and owner Luke Johnson knows his customers love their pets. 'People come in and nothing else matters except them and their cat or them and their dog,' said Johnson. He loves his customers, making strong connections over the years. 'Either recognize their face or we know them on a first-name basis,' said Johnson. That's why he said it hurts to have to put signs on the doors letting people know that the impacts of tariffs on China and other countries are finally here. 'I was a little bit worried about it, but I didn't think it would actually come to fruition,' says Johnson. Three weeks ago, he got the first email from a manufacturer saying prices on their goods would go up at least 20%. 'Now it's usually weekly we're getting an email from somebody about tariffs,' said Johnson. It's mostly toys that will be affected since most of them are made in China, but some food will have the price tag hit, too. 'A lot of the duck and the rabbit in the world come from France,' said Johnson. 'Lamb often comes from New Zealand.' Even the paper bags made overseas, which previously, Johnson never charged for, will now cost $1.54 just for the store to break even. 'Some people think that's ridiculous, that we're trying to gouge people,' he said. 'We're not, that's literally what we're going to pay for a bag.' He said the price increases, unfortunately, have to happen because of the store's already slim profit margin. 'We really can't even eat 10% without going out of business,' said Johnson. He thinks the idea behind the tariffs is sound, but he hopes some changes in how they're being implemented will be made so he can keep serving the customers he loves. 'Personally, I very much agree with bringing manufacturing and jobs to America,' he said. 'It's just you have to give companies a couple years, you can't do it in 90 days.' Groups urge governor to sign rent algorithm bill While the first round of messaging from manufacturers shows around a 20% increase in costs, he expects that number will continue to climb. Copyright 2025 Nexstar Media, Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.
Yahoo
08-05-2025
- Business
- Yahoo
Central Garden & Pet Co (CENT) Q2 2025 Earnings Call Highlights: Record Pet Segment Income ...
Release Date: May 07, 2025 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Positive Points Central Garden & Pet Co (NASDAQ:CENT) achieved record non-GAAP operating income within its pet segment, driven by strong execution. The company's wild bird business experienced record sales, benefiting from extended cold weather. E-commerce sales performance remained robust, with Central Garden & Pet Co (NASDAQ:CENT) holding the #1 online sales position in both the wild bird and grass seed categories. The cost and simplicity program continues to deliver significant results, including the successful upgrade of a distribution center in Pennsylvania, enhancing direct-to-consumer capabilities. Central Garden & Pet Co (NASDAQ:CENT) reaffirmed its fiscal 2025 guidance for non-GAAP EPS of $2.20 or higher, demonstrating confidence in its long-term value delivery to shareholders. Negative Points Net sales decreased by 7% to $834 million, impacted by the earlier timing of preseason orders and promotional events. Unseasonably cold and wet weather in March delayed the start of the garden selling season, negatively affecting sales. The loss of two product lines in the third-party garden distribution business added pressure on the top line. Tariff actions and geopolitical tensions have increased macroeconomic uncertainty, potentially impacting consumer confidence and inflationary pressures. The pet segment faced challenges with durable sales down double digits, partly due to SKU rationalization efforts. Q & A Highlights Q: Can you discuss the trends in the pet segment, particularly the differences between durables and consumables, and the outlook for the summer? A: John Hanson, President Pet Consumer Products, explained that net sales were down 6% due to customer pull forwards and SKU rationalization. Consumables were up low to mid-single digits, while durables were down double digits. The durable category faces challenges, especially with tariffs, but there are positive trends in the live animal business. Brad Smith, CFO, added that the decline in durables was partly due to SKU rationalization efforts. Q: How are tariffs impacting your business, particularly in the pet segment? A: Brad Smith, CFO, noted that about 13% of their cost of goods is subject to tariffs, with China being a significant contributor. They are working on vendor concessions, country of origin changes, SKU redesign, and pricing adjustments. Some pre-tariff inventory is helping mitigate exposure, but the situation remains fluid.
