Chewy, Inc. (NYSE:CHWY) is listed among the 13 Best Blue Chip Stocks to Buy Under $50. Goldman Sachs raised its price target on Chewy to $52 from $44, citing strong Q3 numbers, growth in active customers, and improved gross margins. The company also announced the acquisition of SmartEquine to expand into the equine health category.

In the third quarter of 2025, Chewy reported $3.12 billion in revenue, up 8.3% from the previous year, with a gross margin of 29.8%. The company’s SG&A expenses totaled $588.6 million, including costs related to the SmartEquine acquisition. Chewy aims to leverage SmartEquine’s premium products and customer base to enhance its offerings in the equine category.

Chewy is a major US online retailer of pet products, offering a wide range of items from food and treats to supplies and prescription medications. The company’s recent acquisition of SmartEquine demonstrates its commitment to expanding into new categories and providing a comprehensive experience for pet owners.

While Chewy presents investment potential, some believe other AI stocks offer greater upside with less risk. For those seeking undervalued AI stocks with growth potential, explore options beyond Chewy. Check out the best short-term AI stock recommendations for a diversified investment portfolio.

Read more at Yahoo Finance: Goldman Sees Long-Run Upside, Raises Chewy (CHWY) Target to $52