Why Chewy Stock Is Plunging This Week

Shares of leading e-commerce pet goods specialist Chewy (NYSE: CHWY) are down 11% this week as of noon ET on Thursday. Chewy reported second-quarter earnings on Wednesday and exceeded Wall Street's sales expectations, while its adjusted earnings per share were in line with analysts' hopes. The company also raised full-year guidance, but its shares tumbled regardless, as analysts noted that a one-time tariff benefit may have helped Chewy beat earnings.

Regardless of the market's reaction to Chewy's Q2 results, I think the results were perfectly fine, even if somewhat underwhelming. Q2 highlights included:

Image source: The Motley Fool.

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