Chewy Inc (NYSE:CHWY) shares are surging on Wednesday. Goldman Sachs maintained its Buy rating. Here’s what you need to know.
- Chewy shares are climbing with conviction. Why is CHWY stock up today?
Goldman Sachs Trims Price Target But Keeps Buy Rating
Goldman Sachs analyst Alexandra Steiger reaffirmed a Buy rating on Chewy while reducing her price target to $34 from $46. The update landed during a volatile session for the broader market, with strength concentrated in Consumer Discretionary at +1.59% while Technology lags with a -1.54% decline.
Critical Levels To Watch for CHWY Stock
Even with Wednesday’s rebound, the longer-term trend remains under pressure. Chewy trades 5% below its 20-day simple moving average at $19.92, 15.7% below its 50-day simple moving average at $22.45, and 35.9% below its 200-day simple moving average at $29.53. When multiple moving averages sit overhead like this, they often act as stacked layers of resistance until price can reclaim them and hold.
Momentum also leans cautious. MACD remains below its signal line and the histogram is negative, which shows that upward pressure has cooled compared with the prior upswing. MACD compares faster and slower trend signals, and when it sits under the signal line it often means buyers need stronger follow through to keep a rebound alive.
The broader trend structure also reflects significant damage. The 20-day average is below the 50-day average, and the 50-day average is below the 200-day average, a death cross that formed in November 2025. With the stock down 56.34% over the past year and trading only slightly above the $17.40 52-week low, rallies still look counter-trend until the chart begins forming higher highs and higher lows again.
- Key Resistance: $19.92 — This level matches the 20-day simple moving average and represents the nearest overhead trend line that price has yet to reclaim.
- Key Support: $17.40 — This zone aligns with the 52-week low and serves as the most important downside reference for traders watching for stabilization.
Chewy’s Benzinga Edge Scorecard Breakdown
- Momentum: Bearish (Score: 2.48) — The broader trend remains weak despite today’s bounce.
- Value: Weak (Score: 12.21) — The stock does not screen as inexpensive on this model, which can limit support if growth expectations soften.
- Growth: Strong (Score: 96/100) — Chewy scores well on growth factors, which can keep buyers interested during pullbacks.
The Verdict: Chewy’s Benzinga Edge profile shows a company with strong growth characteristics but very weak momentum and a low value score. For long term bulls, the setup improves most if the stock can reclaim key moving averages. Until that happens, rallies may remain tactical rather than trend changing.
CHWY Shares Are Climbing
CHWY Price Action: Chewy shares were up 6.78% at $19.06 at the time of publication on Wednesday, according to Benzinga Pro.
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