Chewy Inc. (CHWY) shares plunged 5.39% in pre-market trading on Wednesday, reversing earlier gains after the company released its quarterly results.

The sharp decline came despite the online pet-supplies retailer reporting first-quarter revenue and adjusted earnings per share that exceeded analyst expectations. The downturn was driven by the company's decision to cut its full-year sales outlook more than anticipated and issue second-quarter guidance that fell short of investor expectations, according to analyst commentary.

JPMorgan analysts noted the magnitude of the sales guidance revision was "a bit steeper than expected, likely reflecting a more stretched consumer year-to-date." The company now expects net sales between $13.4 billion and $13.55 billion for the year, down from its previous forecast, and provided a disappointing outlook for the current quarter.