UBS Group Cuts Petco Health and Wellness (NASDAQ:WOOF) Price Target to $3.50

Petco Health and Wellness (NASDAQ:WOOF) had its target price reduced by UBS Group from $4.00 to $3.50 in a report issued on Thursday morning,Benzinga reports. UBS Group currently has a neutral rating on the stock.

WOOF has been the topic of a number of other reports. Weiss Ratings reaffirmed a “sell (d)” rating on shares of Petco Health and Wellness in a research note on Thursday, June 11th. Wall Street Zen upgraded Petco Health and Wellness from a “hold” rating to a “buy” rating in a research report on Saturday, July 4th. Citigroup dropped their price objective on Petco Health and Wellness from $4.00 to $3.25 and set a “neutral” rating for the company in a research note on Thursday, June 4th. Robert W. Baird raised their target price on shares of Petco Health and Wellness from $3.00 to $3.25 and gave the stock a “neutral” rating in a report on Thursday. Finally, Zacks Research downgraded shares of Petco Health and Wellness from a “strong-buy” rating to a “hold” rating in a research note on Monday, May 18th. One equities research analyst has rated the stock with a Buy rating, six have issued a Hold rating and two have assigned a Sell rating to the company’s stock. According to data from MarketBeat, Petco Health and Wellness currently has an average rating of “Reduce” and an average price target of $3.42.

Petco Health and Wellness Price Performance

Shares of Petco Health and Wellness stock opened at $2.70 on Thursday. Petco Health and Wellness has a 52-week low of $2.24 and a 52-week high of $3.96. The stock has a market capitalization of $873.06 million, a price-to-earnings ratio of 27.00, a price-to-earnings-growth ratio of 3.13 and a beta of 1.53. The company has a fifty day moving average of $2.71 and a 200-day moving average of $2.74. The company has a debt-to-equity ratio of 1.21, a quick ratio of 0.29 and a current ratio of 0.90.

Petco Health and Wellness (NASDAQ:WOOF) last issued its earnings results on Wednesday, September 2nd. The company reported $0.13 EPS for the quarter, topping analysts’ consensus estimates of $0.07 by $0.06. The company had revenue of $1.49 billion for the quarter, compared to analysts’ expectations of $1.49 billion. Petco Health and Wellness had a net margin of 0.51% and a return on equity of 3.44%. During the same quarter last year, the company earned $0.05 EPS. Equities research analysts expect that Petco Health and Wellness will post 0.1 EPS for the current year.

Insider Transactions at Petco Health and Wellness

In related news, insider Holly May sold 200,000 shares of the company’s stock in a transaction dated Thursday, July 9th. The shares were sold at an average price of $2.54, for a total value of $508,000.00. Following the transaction, the insider owned 1,327,867 shares in the company, valued at $3,372,782.18. The trade was a 13.09% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. In the last quarter, insiders have sold 450,000 shares of company stock valued at $1,145,500. Insiders own 6.50% of the company’s stock.

Institutional Inflows and Outflows

Several large investors have recently bought and sold shares of WOOF. Nuveen LLC grew its holdings in shares of Petco Health and Wellness by 81.9% during the fourth quarter. Nuveen LLC now owns 3,998,724 shares of the company’s stock valued at $11,236,000 after buying an additional 1,800,860 shares during the last quarter. Holocene Advisors LP raised its holdings in Petco Health and Wellness by 42.0% in the 3rd quarter. Holocene Advisors LP now owns 6,091,656 shares of the company’s stock worth $23,575,000 after acquiring an additional 1,800,583 shares during the last quarter. Hillsdale Investment Management Inc. purchased a new position in Petco Health and Wellness in the 1st quarter worth approximately $3,883,000. Goldman Sachs Group Inc. lifted its position in Petco Health and Wellness by 60.2% in the 1st quarter. Goldman Sachs Group Inc. now owns 3,637,695 shares of the company’s stock valued at $11,095,000 after acquiring an additional 1,367,299 shares in the last quarter. Finally, Jacobs Levy Equity Management Inc. purchased a new stake in Petco Health and Wellness during the 4th quarter valued at $2,692,000.

Key Stories Impacting Petco Health and Wellness

Here are the key news stories impacting Petco Health and Wellness this week:

• Positive Sentiment: Petco reported fiscal Q2 earnings per share of $0.13, above the $0.07 consensus estimate and up from $0.05 a year earlier. Adjusted earnings were reported at $0.16 by Zacks, also exceeding expectations. Revenue was approximately $1.49 billion, in line with forecasts. Petco Q2 EPS beat
• Positive Sentiment: Net income rose to $38.7 million, while operating cash flow nearly doubled. Management attributed part of the improvement to stronger consumables and services performance, omnichannel initiatives, and a one-time tariff refund. Petco turnaround gains
• Positive Sentiment: Petco reaffirmed its flat-to-1.5% full-year sales outlook and forecast fiscal 2026 adjusted EBITDA of $415 million to $430 million, supporting the view that cost controls and operational improvements can drive earnings even without significant sales growth. Petco fiscal 2026 outlook
• Neutral Sentiment: Analyst opinions remain divided. RBC Capital maintained a Buy rating, while Morgan Stanley kept a Hold rating. Robert W. Baird raised its price target to $3.25 but retained a Neutral rating. RBC Buy rating
• Negative Sentiment: BNP Paribas Exane cut its price target to $2.11 and assigned an Underperform rating. UBS lowered its target to $3.50 and retained a Neutral rating, underscoring concerns about limited revenue momentum and execution risk. Analyst caution after Petco earnings

About Petco Health and Wellness

Petco Health and Wellness Company, Inc (NASDAQ: WOOF) is a leading U.S. pet specialty retailer focused on delivering products, services and solutions that improve the health and well-being of pets. The company operates a network of retail locations that provide high-quality pet food, supplies and accessories, along with a growing digital platform that supports online ordering, subscription delivery and telehealth consultations for pets.

In addition to its retail offerings, Petco has built a full suite of in-store and virtual services, including grooming, training, dog daycare and veterinary care.