One of the big side effects of the pandemic was a surge in interest in our pets. Adoption shelters were empty, spending on pet related care and products was at a high. But now with everyone back at work and traveling again, how does that trend look?
One stock that took a hit from the post covid pet pullback was Chewy (CHWY). It saw a drop in number of customers year over year from 2021 to 2022 and is scrambling to overcome that.
Chewy just launched a new ad campaign and is expanding internationally to fight off the decline.
PetCo (WOOF) is another stock that took a hit when things opened back up but it seems to be the leader in fighting the pet love hangover.
Definitely an interesting market segment to keep an eye on. It could be that they needed the wake up call after the COVID surge to figure out how to capitalize on the new pet owners. With more delivery services and and customer focused offerings the may be able to fight it off. If WOOF is leading the way, CHWY is a great bargain right now with some upside on the horizon.
Keep learning and trade wisely,
John Boyer
Editor
Market Wealth Daily
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