Petco Health and Wellness Company, Inc. (NASDAQ:WOOF) ranks among the overlooked penny stocks to buy right now, supported by strong upside potential. A return to positive comparable sales is drawing a mixed but improving set of price target adjustments from Wall Street.
On June 3, 2026, Petco Health and Wellness Company, Inc. (NASDAQ:WOOF) reported first-quarter 2026 results. Net sales rose 0.2% to $1.5 billion, with comparable sales up 0.7%, marking the company’s first positive comp in five quarters. Gross margin expanded 21 basis points to 38.4%, operating income rose 50.5% to $24.6 million, and adjusted EBITDA came in at $97.3 million versus $89.4 million a year earlier. Net loss widened to $15.1 million from $11.7 million.
Petco Health and Wellness Company, Inc. (NASDAQ:WOOF)’s CEO Joel Anderson said the results validate the company’s “Reach for the Sky” strategy, citing improvement in consumables and continued strength in services. Petco reaffirmed its full-year 2026 outlook, guiding for adjusted EBITDA of $415 million to $430 million.
The earnings prompted several analyst responses.
On June 5, 2026, Goldman Sachs raised its price target on Petco Health and Wellness Company, Inc. (NASDAQ:WOOF) to $4.14 from $3.83 while keeping a “Neutral” rating, calling the quarter an inflection point. On June 4, 2026, Evercore ISI’s Oliver Wintermantel raised the firm’s target to $3.50 from $3, keeping an “In Line” rating, saying more proof is still needed. That same day, Citi’s Steven Zaccone lowered the firm’s target to $3.25 from $4, maintaining “Neutral” and citing reduced EBITDA estimates against a weaker consumer backdrop.
The stock is down over 5% over the past year.
Petco Health and Wellness Company, Inc. (NASDAQ:WOOF) is a comprehensive pet care retailer and services provider that focuses on improving the health and wellness of pets through products, services, and veterinary care. It operates pet care centers, offers online shopping with delivery options, and provides services such as grooming, training, and veterinary care, including vaccinations and surgery.
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