Revenue minus cost of goods sold. Graham's ≥40% threshold identifies businesses with durable pricing power. Note: software and financial companies naturally exceed this; retailers and manufacturers rarely reach it due to their cost structures.
Operating Margin2.0%
Profit after operating costs before interest and taxes. A consistent ≥15% operating margin signals a business with real competitive advantages. Capital-intensive industries (airlines, auto, commodities) rarely hit this threshold due to their structural cost base — compare within industry for context.
Net Income Margin1.8%
Bottom-line profit as a percentage of revenue. The ≥20% target reflects Buffett's preference for highly profitable businesses. Financial engineering (buybacks, tax optimisation) can inflate this temporarily — look for consistency across multiple years rather than a single strong result.
Financial Health
D
Years to Pay Off Debt2.3 yrs
Total Debt ÷ Net Income. Lower = stronger balance sheet. Important caveat: utilities, telecoms, REITs, and infrastructure companies carry large structural debt by design — their bond-like cash flows service it comfortably at ratios that would alarm Graham. Compare within sector.
Working Capital vs Long-Term Debt-$784M
Working Capital minus Long-Term Debt. Negative results are common and expected in capital-return-focused businesses like Apple, Domino's, and McDonald's — where aggressive buybacks and dividends intentionally reduce book equity. This does not indicate financial distress in high-FCF businesses.
Working Capital-$266M
Current Assets minus Current Liabilities. Negative working capital can be a deliberate efficiency strategy in businesses that collect cash before paying suppliers (retailers, fast food franchises, subscription businesses). Assess alongside free cash flow generation for full context.
Valuation
N/A
Cash Flow
C
Free Cash Flow$562M
Operating cash flow minus capital expenditures. Buffett's most important metric — cash a business actually generates for its owners after maintaining and growing its asset base. Consistently positive FCF is one of the strongest indicators of a durable, well-run business regardless of accounting profits.
CapEx % of Net Income58.0%
Capital expenditure as a share of net income. Low CapEx signals a capital-light business that doesn't need heavy reinvestment to sustain earnings — Buffett's ideal. High CapEx is structurally necessary in manufacturing, airlines, telecoms, and semiconductors. For these industries, a high reading reflects the business model, not poor management.
Owner Earnings$481M
Net Income + Depreciation & Amortisation − Capital Expenditures. Buffett's preferred measure of a company's true annual earning power — what could theoretically be distributed to owners without impairing the business. More reliable than reported EPS because it accounts for the capital cost of maintaining the business.
Metric Explanations
What each dimension measures and where the thresholds come from.
Gross Profit Margin
Revenue minus cost of goods sold. Graham's ≥40% threshold identifies businesses with durable pricing power. Note: software and financial companies naturally exceed this; retailers and manufacturers rarely reach it due to their cost structures.
Operating Margin
Profit after operating costs before interest and taxes. A consistent ≥15% operating margin signals a business with real competitive advantages. Capital-intensive industries (airlines, auto, commodities) rarely hit this threshold due to their structural cost base — compare within industry for context.
Net Income Margin
Bottom-line profit as a percentage of revenue. The ≥20% target reflects Buffett's preference for highly profitable businesses. Financial engineering (buybacks, tax optimisation) can inflate this temporarily — look for consistency across multiple years rather than a single strong result.
Years to Pay Off Debt
Total Debt ÷ Net Income. Lower = stronger balance sheet. Important caveat: utilities, telecoms, REITs, and infrastructure companies carry large structural debt by design — their bond-like cash flows service it comfortably at ratios that would alarm Graham. Compare within sector.
Working Capital vs Long-Term Debt
Working Capital minus Long-Term Debt. Negative results are common and expected in capital-return-focused businesses like Apple, Domino's, and McDonald's — where aggressive buybacks and dividends intentionally reduce book equity. This does not indicate financial distress in high-FCF businesses.
Working Capital
Current Assets minus Current Liabilities. Negative working capital can be a deliberate efficiency strategy in businesses that collect cash before paying suppliers (retailers, fast food franchises, subscription businesses). Assess alongside free cash flow generation for full context.
Free Cash Flow
Operating cash flow minus capital expenditures. Buffett's most important metric — cash a business actually generates for its owners after maintaining and growing its asset base. Consistently positive FCF is one of the strongest indicators of a durable, well-run business regardless of accounting profits.
CapEx % of Net Income
Capital expenditure as a share of net income. Low CapEx signals a capital-light business that doesn't need heavy reinvestment to sustain earnings — Buffett's ideal. High CapEx is structurally necessary in manufacturing, airlines, telecoms, and semiconductors. For these industries, a high reading reflects the business model, not poor management.
Owner Earnings
Net Income + Depreciation & Amortisation − Capital Expenditures. Buffett's preferred measure of a company's true annual earning power — what could theoretically be distributed to owners without impairing the business. More reliable than reported EPS because it accounts for the capital cost of maintaining the business.
Market Data
Key Margins
Gross Profit29.8%
Operating Margin2.0%
Net Margin1.8%
Company Info
Showing Key Metrics
Income Highlights
Metric
2026
2025
2024
2023
2022
Gross Profit %
29.8%▲
29.2%▲
28.4%▲
28.0%•
N/A
Operating Margin %
2.0%▲
0.9%▲
-0.2%▼
0.6%•
N/A
Net Income %
1.8%▼
3.3%▲
0.4%▼
0.5%•
N/A
Diluted EPS
0.52▼
0.91▲
0.09▼
0.12•
N/A
Balance Sheet Highlights
Metric
2026
2025
2024
2023
2022
Total Assets
$3.4B
$3.0B
$3.2B
$2.5B
N/A
Total Debt
$519M▲
$502M▼
$528M▲
$472M•
N/A
Working Capital
-$266M▲
-$544M▼
-$7M▲
-$303M•
N/A
Years to Pay Debt
2.33
1.28
13.33
9.46
N/A
Cash Flow Highlights
Metric
2026
2025
2024
2023
2022
Free Cash Flow
$562M▲
$452M▲
$343M▲
$119M•
N/A
Owner Earnings
$481M
$651M
$293M
$364M
N/A
CapEx % of Net Income
58.0%
36.6%
361.9%
461.6%
N/A
Income Statement
2026
2025
2024
2023
2022
Tax Effect Of Unusual Items
-955
840
2,399
-658
Tax Rate For Calcs
0
0
0
0
Normalized EBITDA
403,400
267,800
148,200
151,726
Total Unusual Items
-6,200
4,000
13,400
-13,166
Total Unusual Items Excluding Goodwill
-6,200
4,000
13,400
-13,166
Net Income From Continuing Operation Net Minority Interest
222,800
392,700
39,600
49,899
Reconciled Depreciation
129,300
114,600
109,700
83,440
Reconciled Cost Of Revenue
8,847,600
8,393,600
7,986,200
7,284,505
EBITDA
397,200
271,800
161,600
138,560
EBIT
267,900
157,200
51,900
55,120
Net Interest Income
15,200
35,100
58,500
9,290
Interest Expense
4,600
5,500
3,600
2,575
Interest Income
19,800
40,600
62,100
11,865
Normalized Income
228,045
389,540
28,599
62,407
Net Income From Continuing And Discontinued Operation
222,800
392,700
39,600
49,899
Total Expenses
12,347,200
11,748,700
11,171,300
10,062,579
Total Operating Income As Reported
254,300
112,600
-23,600
56,421
Diluted Average Shares
425,800
430,990
432,000
427,770
Basic Average Shares
414,100
421,351
429,400
422,331
Diluted EPS
0
0
0
0
Basic EPS
0
0
0
0
Diluted NI Availto Com Stockholders
222,800
392,700
39,600
49,899
Net Income Common Stockholders
222,800
392,700
39,600
49,899
Net Income
222,800
392,700
39,600
49,899
Net Income Including Noncontrolling Interests
222,800
392,700
39,600
49,899
Net Income Continuous Operations
222,800
392,700
39,600
49,899
Tax Provision
40,500
-241,000
8,700
2,646
Pretax Income
263,300
151,700
48,300
52,545
Other Income Expense
-6,200
4,000
13,400
-13,166
Other Non Operating Income Expenses
2,042
-13,166
Gain On Sale Of Security
-6,200
4,000
13,400
-13,166
Net Non Operating Interest Income Expense
15,200
35,100
58,500
9,290
Total Other Finance Cost
-9,291
1,639
Interest Expense Non Operating
4,600
5,500
3,600
2,575
Interest Income Non Operating
19,800
40,600
62,100
11,865
Operating Income
254,300
112,600
-23,600
56,421
Operating Expense
3,499,600
3,355,100
3,185,100
2,778,074
Selling General And Administration
3,499,600
3,355,100
3,185,100
2,778,074
Selling And Marketing Expense
824,900
804,100
742,400
649,386
General And Administrative Expense
2,674,700
2,551,000
2,442,700
2,128,688
Other Gand A
2,674,700
2,551,000
2,442,700
2,128,688
Gross Profit
3,753,900
3,467,700
3,161,500
2,834,495
Cost Of Revenue
8,847,600
8,393,600
7,986,200
7,284,505
Total Revenue
12,601,500
11,861,300
11,147,700
10,119,000
Operating Revenue
12,194,700
11,434,400
10,678,300
8,361,103
Balance Sheet
2026
2025
2024
2023
2022
Ordinary Shares Number
415,125
413,591
431,776
425,349
Share Issued
415,125
413,591
431,776
425,349
Total Debt
518,700
502,400
527,795
471,821
Tangible Book Value
458,500
222,100
470,802
120,826
Invested Capital
497,900
261,500
510,244
160,268
Working Capital
-265,800
-544,300
-6,529
-302,938
Net Tangible Assets
458,500
222,100
470,802
120,826
Capital Lease Obligations
518,700
502,400
527,795
471,821
Common Stock Equity
497,900
261,500
510,244
160,268
Total Capitalization
497,900
261,500
510,244
160,268
Total Equity Gross Minority Interest
497,900
261,500
510,244
160,268
Stockholders Equity
497,900
261,500
510,244
160,268
Gains Losses Not Affecting Retained Earnings
900
100
-406
0
Other Equity Adjustments
900
100
-406
Retained Earnings
-1,360,100
-1,582,900
-1,975,652
-2,015,232
Additional Paid In Capital
1,852,900
1,840,200
2,481,984
2,171,247
Capital Stock
4,200
4,100
4,318
4,253
Common Stock
4,200
4,100
4,318
4,253
Total Liabilities Net Minority Interest
2,868,500
2,753,000
2,676,607
2,359,550
Total Non Current Liabilities Net Minority Interest
566,900
546,300
565,730
531,832
Other Non Current Liabilities
48,200
43,900
37,935
60,011
Long Term Debt And Capital Lease Obligation
518,700
502,400
527,795
471,821
Long Term Capital Lease Obligation
518,700
502,400
527,795
471,821
Current Liabilities
2,301,600
2,206,700
2,110,877
1,827,718
Payables And Accrued Expenses
2,301,600
2,206,700
2,110,877
1,827,718
Current Accrued Expenses
1,080,200
1,030,800
1,005,937
794,534
Payables
1,221,400
1,175,900
1,104,940
1,033,184
Accounts Payable
1,221,400
1,175,900
1,104,940
1,033,184
Total Assets
3,366,400
3,014,500
3,186,851
2,519,818
Total Non Current Assets
1,330,600
1,352,100
1,082,503
995,038
Other Non Current Assets
38,800
42,600
47,146
53,193
Non Current Deferred Assets
232,200
257,500
0
Non Current Deferred Taxes Assets
232,200
257,500
0
Goodwill And Other Intangible Assets
39,400
39,400
39,442
39,442
Goodwill
39,400
39,400
39,442
39,442
Net PPE
1,020,200
1,012,600
995,915
902,403
Accumulated Depreciation
-528,400
-412,100
-305,988
-230,585
Gross PPE
1,548,600
1,424,700
1,301,903
1,132,988
Leases
428,800
327,900
312,123
246,386
Construction In Progress
20,000
130,100
82,014
93,535
Other Properties
467,900
450,400
474,617
423,518
Machinery Furniture Equipment
631,900
516,300
433,149
369,549
Current Assets
2,035,800
1,662,400
2,104,348
1,524,780
Other Current Assets
70,000
60,000
97,015
41,221
Prepaid Assets
36,513
Inventory
864,800
836,700
719,273
678,005
Receivables
222,200
169,000
154,043
126,969
Accounts Receivable
222,200
169,000
154,043
126,969
Cash Cash Equivalents And Short Term Investments
878,800
596,700
1,134,017
678,585
Other Short Term Investments
18,700
900
531,785
346,944
Cash And Cash Equivalents
860,100
595,800
602,232
331,641
Cash Equivalents
1,300
0
30,000
Cash Financial
858,800
595,800
602,232
301,641
Cash Flow
2026
2025
2024
2023
2022
Free Cash Flow
562,400
452,500
342,900
119,467
Repurchase Of Capital Stock
-262,500
-942,800
0
0
Repayment Of Debt
-200
-900
-500
-681
Capital Expenditure
-129,200
-143,800
-143,300
-230,310
Interest Paid Supplemental Data
2,872
2,057
2,053
Income Tax Paid Supplemental Data
1,799,758
0
0
End Cash Position
860,100
595,800
602,200
331,641
Beginning Cash Position
595,800
602,200
331,600
604,102
Effect Of Exchange Rate Changes
500
-600
200
0
Changes In Cash
263,800
-5,800
270,400
-272,461
Financing Cash Flow
-276,000
-996,700
71,600
-6,734
Cash Flow From Continuing Financing Activities
-276,000
-996,700
71,600
-6,734
Net Other Financing Charges
-13,300
-53,000
72,100
-6,053
Net Common Stock Issuance
-262,500
-942,800
0
0
Common Stock Payments
-262,500
-942,800
0
0
Net Issuance Payments Of Debt
-200
-900
-500
-681
Net Long Term Debt Issuance
-200
-900
-500
-681
Long Term Debt Payments
-200
-900
-500
-681
Investing Cash Flow
-151,800
394,600
-287,400
-615,504
Cash Flow From Continuing Investing Activities
-151,800
394,600
-287,400
-615,504
Net Other Investing Changes
-1,400
-10,086
Net Investment Purchase And Sale
-17,400
538,400
-143,700
-343,761
Sale Of Investment
24,000
538,400
3,078,000
200,000
Purchase Of Investment
-41,400
0
-3,221,700
-543,761
Net Business Purchase And Sale
-5,200
0
-400
-40,033
Purchase Of Business
-5,200
0
-400
-40,033
Capital Expenditure Reported
-129,200
-143,800
-143,300
-230,310
Operating Cash Flow
691,600
596,300
486,200
349,777
Cash Flow From Continuing Operating Activities
691,600
596,300
486,200
349,777
Change In Working Capital
-35,100
6,500
69,600
4,515
Change In Other Current Liabilities
-27,400
-30,900
-6,200
-23,198
Change In Other Current Assets
-3,500
3,500
-29,900
1,114
Change In Payables And Accrued Expense
98,400
180,800
224,100
155,397
Change In Accrued Expense
53,000
109,700
152,300
7,932
Change In Payable
45,400
71,100
71,800
147,465
Change In Account Payable
45,400
71,100
71,800
147,465
Change In Prepaid Assets
-21,800
-14,000
-50,100
-10,964
Change In Inventory
-27,700
-117,800
-41,200
-115,261
Change In Receivables
-53,100
-15,100
-27,100
-2,573
Changes In Account Receivables
-53,100
-15,100
-27,100
-2,573
Other Non Cash Items
45,300
34,000
41,700
40,461
Stock Based Compensation
297,900
306,400
239,100
158,122
Deferred Tax
28,600
-257,500
0
0
Deferred Income Tax
28,600
-257,500
0
0
Depreciation Amortization Depletion
129,300
114,600
109,700
83,440
Depreciation And Amortization
129,300
114,600
109,700
83,440
Depreciation
55,009
Operating Gains Losses
2,800
-400
-13,500
13,340
Gain Loss On Investment Securities
3,000
-1,500
-13,100
13,340
Net Foreign Currency Exchange Gain Loss
-200
1,100
-400
0
Net Income From Continuing Operations
222,800
392,700
39,600
49,899
3/5
Graham Score
Speculative Investor
Fails most of Graham's safety criteria. Treat with caution.
Graham's Fair Value
N/A
N/A — requires
positive EPS and positive book value per share. Check the Financials tab for earnings history.
Margin of Safety
—
Market Cap / Net Assets
N/A
Net Assets: $498M
Warren's Owner Earnings
$481M
Latest fiscal year
Graham's 7 Criteria
Defensive Investor Checklist
3/5 — Speculative Investor
✅
Adequate Size
Graham required companies large enough to withstand economic downturns. This threshold ($1.5B) is inflation-adjusted from Graham's original $100M — virtually all S&P 500 companies pass this today.
$12.6B
vs > $1.5B revenue
❌
Strong Financial Condition
Current assets must be at least twice current liabilities. Note: highly profitable companies (Apple, Domino's) often run negative or low working capital deliberately — they collect cash fast and stretch payables. A failing score here is not always a warning sign.
0.88x
vs Current Ratio > 2.0x
✅
Earnings Stability
Graham required uninterrupted positive earnings. Any loss year is a red flag for defensive investors. Growth companies and cyclicals may show occasional losses during investment cycles or downturns without being fundamentally unsound.
No loss years (4 yrs data)
vs No negative EPS years
❌
Dividend Record
Graham valued dividends as evidence of financial discipline and shareholder alignment. Many excellent modern businesses (Alphabet, Amazon, Berkshire Hathaway) pay no dividend, preferring to reinvest cash at high rates of return. Failing this criterion does not indicate a poor business — it may indicate a high-growth one.
No dividend
vs Uninterrupted dividends
✅
Earnings Growth
EPS grew from $0.12 to $0.52 over 3 years. Graham's 33% threshold was set over a 10-year period. Measured over fewer years (as here), the bar is proportionally lower. Share buybacks can also inflate EPS growth without reflecting underlying business improvement.
+333.3% EPS growth
vs > 33% EPS growth
Graham's 7 Criteria — Explained
What each criterion measures and why it matters.
✅ Adequate Size — $12.6Bvs > $1.5B revenue
Graham required companies large enough to withstand economic downturns. This threshold ($1.5B) is inflation-adjusted from Graham's original $100M — virtually all S&P 500 companies pass this today.
"The minimum size of an enterprise should be not less than $100 million of annual sales."
❌ Strong Financial Condition — 0.88xvs Current Ratio > 2.0x
Current assets must be at least twice current liabilities. Note: highly profitable companies (Apple, Domino's) often run negative or low working capital deliberately — they collect cash fast and stretch payables. A failing score here is not always a warning sign.
"For industrial companies, current assets should be at least twice current liabilities."
✅ Earnings Stability — No loss years (4 yrs data)vs No negative EPS years
Graham required uninterrupted positive earnings. Any loss year is a red flag for defensive investors. Growth companies and cyclicals may show occasional losses during investment cycles or downturns without being fundamentally unsound.
"The company should have shown no deficit in the past ten years."
❌ Dividend Record — No dividendvs Uninterrupted dividends
Graham valued dividends as evidence of financial discipline and shareholder alignment. Many excellent modern businesses (Alphabet, Amazon, Berkshire Hathaway) pay no dividend, preferring to reinvest cash at high rates of return. Failing this criterion does not indicate a poor business — it may indicate a high-growth one.
"Some current dividend payments — for at least the past 20 years."
EPS grew from $0.12 to $0.52 over 3 years. Graham's 33% threshold was set over a 10-year period. Measured over fewer years (as here), the bar is proportionally lower. Share buybacks can also inflate EPS growth without reflecting underlying business improvement.
"A minimum increase of at least one-third in per-share earnings over ten years."
These metrics estimate what CHWY is worth based on fundamentals — independent of what the market prices it at.
Graham's Fair Value and NCAV are conservative floors.
EPV assumes zero growth. These are reference points, not price targets.
Net Current Asset Value
N/A
"Buy at two-thirds of net current assets." — Graham
Earnings Power Value
N/A
Per share, no-growth floor. Compare to current price.
ROIC — Return on Invested Capital
18.9%
Return on Invested Capital — Buffett's preferred measure for asset-light businesses. ROIC > 15% consistently signals a durable competitive advantage (moat). More meaningful than P/B for software, pharma, and consumer brand companies where most value is intangible and off-balance-sheet.
Cash Flow Analysis
Metric
2026
2025
2024
2023
2022
Capital Expenditure % of Net Income
58.0%
36.6%
361.9%
461.6%
N/A
Repurchase of Capital Stock
-$262M
-$943M
$0M
$0M
N/A
Free Cash Flow
$562M▲
$452M▲
$343M▲
$119M•
N/A•
Warren's Owner Earnings
$481M
$651M
$293M
$364M
N/A
Peers & Industry
No auto-detected peers for this industry. You can manually compare CHWY against any stock using the Compare tool.
"The management of a business is its most important single factor — more important than market position, patents, or financial structure."
— Benjamin Graham
No management data available.
Risk Analysis
CHWY (CHWY) fundamental analysis — Overall grade D based on profitability, financial health, valuation and cash flow. Graham's
Fair Value: N/A. Gross profit margin: 29.8%. Operating margin: 2.0%. Net margin: 1.8%. Analysis powered by 360investing — free fundamental stock analysis based on Benjamin Graham and Warren Buffett
principles.
Disclaimer: 360investing is provided for informational and educational purposes only and does not constitute financial, investment, legal, or tax advice. All data is sourced from public third-party providers
and may be delayed, inaccurate, or incomplete. Past performance is not indicative of future results. Analysis, scores, and valuations are algorithmic and do not represent professional investment recommendations. Always conduct your own due
diligence and consult a qualified financial adviser before making any investment decision. Use of this tool constitutes acceptance that 360investing and its operators bear no liability for decisions made based on information presented here.