CHWY: Bearish Thesis Holds, Point and Figure Updated Price Tgts
Chwy continuing to get punished to the downside
- We hit the preliminary point and figure target of 70 but further downside is entirely possible
- Using the longer term point and figure distribution we should be going lower
- Using the the wedge (captured via bar charts) confirms this
Fundamentally CHWY is getting dragged down along with the entire IPO basket; higher inflation will lead to further compression of multiples on growth
However, my view is that inflation will be fleeting once more reenter the workforce and shares will be absorbed somewhere in the 50-60 price range
PFP assumed 5 bar reversal, 2 points per unit
- We hit the preliminary point and figure target of 70 but further downside is entirely possible
- Using the longer term point and figure distribution we should be going lower
- Using the the wedge (captured via bar charts) confirms this
Fundamentally CHWY is getting dragged down along with the entire IPO basket; higher inflation will lead to further compression of multiples on growth
However, my view is that inflation will be fleeting once more reenter the workforce and shares will be absorbed somewhere in the 50-60 price range
PFP assumed 5 bar reversal, 2 points per unit
Operación cerrada: precio stop alcanzado:
Stopping out on risk
