Chewy Posts Solid Q4, Indicates AI-Related Efficiency Benefits Ahead

Chewy Inc (NYSE: CHWY) reported strong Q4 results with net sales of $3.265 billion and adjusted earnings of 27 cents per share, aligning with management's guidance. Analysts from Guggenheim Securities and Needham provided positive insights, with Guggenheim setting a price target of $45 and highlighting potential AI-related efficiency benefits of low tens of millions in 2026 and an additional $50 million in 2027. Chewy's shares rose by 2.60% to $27.26 following the announcement.