6/14/2019

Chewy - based on Fama-French Three Factor

Do we have something for you? You bet. It is CHEWY. Like in crunchy, or thereabouts.
Shares of Chewy, the online pet product retailer owned by PetSmart, soared as much as 85% Friday morning after the company made its public debut.
The retailer’s stock opened Friday at $36, giving the company a market capitalization of $14.3 billion. By early afternoon, the share price was up 57%, trading at $34.53.
This should not bother you:
Still, the company is not all positives. The high cost of shipping has eaten into its margins. From fiscal 2017 to 2018, it reported a net loss of $268 million, narrowing from a net loss of $338 million.
Because
... sales have grown rapidly, climbing from $26 million in fiscal 2012 to $3.5 billion in fiscal 2018, according the company’s S-1 filing with the Securities and Exchange Commission.
 And just disregard this:
“However, at $3 billion the acquisition of Chewy was financed primarily through additional debt and like most high growth pure play online retailers we estimate Chewy will be EBITDA negative for at least the next 12-24 months.”
I do not always invest in pet food companies, but when I do it's
Chewy based on Fama-French Three

Keine Kommentare:

Kommentar veröffentlichen

Hinweis: Nur ein Mitglied dieses Blogs kann Kommentare posten.