Chewy Is Down 30% in 2026. Is This a Once-in-a-Lifetime Buying Opportunity?

By Adria Cimino – Mar 24, 2026 at 12:15AM ESTKey PointsChewy has delivered earnings growth and expanded its revenue stream in recent years.One number in particular demonstrates the loyalty of Chewy’s customers.Chewy (CHWY +1.07%) is a company your pets surely like, as it sells everything from their favorite foods to toys and other supplies. But investors haven't liked this e-commerce stock much lately, as it's dropped nearly 30% this year. There isn't one major reason for this, as Chewy has successfully grown its business in recent years and, thanks to a metric I'll talk about in a minute, offers investors a clear view of revenue to come -- and things are looking positive. Sometimes a stock declines because investors are interested in other opportunities at a given moment -- and it isn't a reflection of the stock's prospects. I think this is what we're seeing with Chewy. Does all of this mean that Chewy may represent a once-in-a-lifetime buying opportunity right now? Let's find out. Image source: Getty Images. Chewy's big milestone Chewy has delivered revenue growth in recent years and reached the major milestone of profitability. Initially, the company stuck to the area of e-commerce uniquely in the U.S. But it has expanded the e-commerce business into Canada and, in the U.S., has added veterinary clinics to its repertoire. CHWY Revenue (Annual) data by YCharts The vet clinics business is a fantastic idea because it diversifies the revenue stream and, at the same time, offers Chewy the opportunity to bring new customers to its e-commerce business. The clinics are a great way to introduce Chewy to pet parents who haven't yet discovered or tried the e-commerce site. The power of Autoship Now, here's what I like most about Chewy: More than 80% of the company's total sales come from recurring customers. We know this because the Autoship service makes up that percentage of revenue -- Autoship automatically sends your favorite products to you on a schedule you determine. The idea that regular customers are driving sales is fantastic because it offers us visibility on sales in the coming quarters. It also shows us that customers like Chewy enough to keep coming back. ExpandNYSE: CHWYChewyToday's Change(1.07%) $0.25Current Price$23.62Key Data PointsMarket Cap$9.8BDay's Range$23.27 - $24.0252wk Range$23.06 - $48.62Volume290KAvg Vol7.8MGross Margin28.58% As mentioned above, all of this isn't reflected in Chewy's stock performance, and that's left the stock trading at 15x forward earnings estimates, down from more than 30x less than a year ago. This is a very reasonable level considering the points I've mentioned above. It's impossible to predict exactly when Chewy stock will rebound and advance, but the company has what it takes to climb over the long run: a track record of revenue growth, successful expansion, and recurring customers driving growth. All of this makes Chewy a fantastic stock to buy and hold onto for the long term. And today's valuation means it could be a once-in-a-lifetime buying opportunity right now.Read NextMar 23, 2026 •By Leo SunShould You Buy Chewy Stock Before March 25?Mar 16, 2026 •By Will HealyGot $2,000? 2 Top Growth Stocks to Buy That Could Double Your Money.Mar 16, 2026 •By Lawrence Rothman, CFAChewy Is Down 23% in 2026. Is This a Once-in-a-Lifetime Buying Opportunity?Mar 15, 2026 •By Geoffrey Seiler1 Growth Stock Down Nearly 50% to Buy Right NowMar 12, 2026 •By James BrumleyThe Best Stocks to Buy With $1,000 Right NowMar 7, 2026 •By Adria CiminoCould Buying Chewy Today Set You Up for Life?About the AuthorAdria Cimino is a contributing Motley Fool stock market analyst covering healthcare, technology, and consumer goods sectors. Prior to The Motley Fool, Adria covered the European stock market and U.S. stocks pre-market trading for Bloomberg News, Bloomberg TV, and Bloomberg Radio for more than a decade. Earlier in her career, she wrote about biotech, medtech, and technology companies in Boston for Mass High Tech, an American City Business Journals publication. She holds a bachelor’s degree in mass communications from the University of South Florida.TMFAdriaCiminoX@adria_in_parisStocks MentionedChewyNYSE: CHWY$23.62(+1.07%)+$0.25*Average returns of all recommendations since inception. Cost basis and return based on previous market day close.