Why Chewy Stock Could Be a Buy in the Coming Weeks

Online pet retailer Chewy (NYSE: CHWY) thrived at the pandemic's onset as an increased share of consumer spending moved online and folks brought home more pets. Those trends boosted sales while attracting millions of new customers. Fortunately for Chewy, those benefits are not reversing as economies are reopening.

However, Chewy is grappling with the secondary consequences of the coronavirus pandemic. Supply-chain disruptions are limiting output just as consumer demand is surging. That's causing widespread inflation and making it difficult for Chewy to fulfill robust customer orders.

Chewy is reporting first-quarter earnings on June 1. The temporary headwinds could cause it to announce disappointing figures, driving its share price down. It will be an excellent buying opportunity for long-term investors if that does happen.

Source Fool.com