Central Garden & Pet currently offers a more compelling opportunity than Chewy, according to a Zacks Investment Research analysis. Chewy, with a market capitalization of roughly $8 billion, saw its shares lose 32.8% over the past three months and carries a Zacks Rank #4 (Sell), while Central Garden & Pet, valued at approximately $3 billion, gained 15.2% and holds a Zacks Rank #1 (Strong Buy). Central Garden & Pet's diversified portfolio, operational improvements, and focus on higher-margin categories contributed to a pet segment operating margin expansion of 290 basis points to 16.3% in its latest quarter, and the company reaffirmed fiscal 2026 adjusted EPS guidance of $2.70 or better. Chewy continues to gain market share through its Autoship subscription model and healthcare expansion, but lowered its fiscal 2026 sales outlook to $13.40-$13.55 billion amid a cautious consumer backdrop. The Zacks Consensus Estimate for Central Garden & Pet's current fiscal-year EPS has increased 7 cents to $2.89 over the past 60 days, while Chewy's estimate decreased 10 cents to $1.53.
Central Garden & Pet Company AZacks analysis gives Central Garden & Pet a Strong Buy rating, EPS estimates raised, and company reaffirmed guidance.
Chewy IncZacks analysis gives Chewy a Sell rating, EPS estimates lowered, and sales outlook reduced.