Chewy price target raised to $40 from $38 at Morgan Stanley

Morgan Stanley raised the firm’s price target on Chewy (CHWY) to $40 from $38 and keeps an Overweight rating on the shares. The firm sees GPU enabled and GenAI tool adoption driving fundamental upside and outperformance among the North American Internet group. Among the group, the firm identifies Amazon (AMZN) as its new “Top Pick” as it sees GPU-related investments widening its retail advantage to “take more share, more profitably,” while it calls Meta (META) a “GenAI compounder with multiple call options that could come into view.”