Stitch Fix (NASDAQ:SFIX) Shares Gap Up After Earnings Beat

Posted by on Jun 8th, 2023

Stitch Fix, Inc. (NASDAQ:SFIX – Get Rating)’s stock price gapped up prior to trading on Wednesday after the company announced better than expected quarterly earnings. The stock had previously closed at $3.68, but opened at $4.25. Stitch Fix shares last traded at $4.74, with a volume of 3,954,296 shares.

The company reported ($0.19) earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of ($0.31) by $0.12. The company had revenue of $394.90 million for the quarter, compared to the consensus estimate of $388.74 million. Stitch Fix had a negative net margin of 16.06% and a negative return on equity of 75.22%. The firm’s revenue was down 19.9% compared to the same quarter last year. During the same period last year, the company earned ($0.72) earnings per share.

Analyst Ratings Changes

A number of research firms recently issued reports on SFIX. Telsey Advisory Group reaffirmed a “market perform” rating and issued a $5.00 target price on shares of Stitch Fix in a research report on Wednesday, March 8th. Roth Capital reiterated a “neutral” rating on shares of Stitch Fix in a research note on Wednesday, March 8th. Two research analysts have rated the stock with a sell rating and fourteen have assigned a hold rating to the stock. Based on data from MarketBeat, the company presently has an average rating of “Hold” and a consensus target price of $5.41.

Insider Transactions at Stitch Fix

In other Stitch Fix news, CAO Sarah Barkema sold 10,000 shares of the firm’s stock in a transaction that occurred on Monday, April 3rd. The shares were sold at an average price of $5.00, for a total transaction of $50,000.00. Following the completion of the sale, the chief accounting officer now directly owns 65,903 shares in the company, valued at $329,515. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this hyperlink. In other Stitch Fix news, insider Casey O’connor sold 12,000 shares of Stitch Fix stock in a transaction dated Friday, March 24th. The shares were sold at an average price of $5.14, for a total value of $61,680.00. Following the completion of the sale, the insider now owns 318,094 shares in the company, valued at approximately $1,635,003.16. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through the SEC website. Also, CAO Sarah Barkema sold 10,000 shares of the business’s stock in a transaction dated Monday, April 3rd. The shares were sold at an average price of $5.00, for a total transaction of $50,000.00. Following the completion of the sale, the chief accounting officer now directly owns 65,903 shares of the company’s stock, valued at approximately $329,515. The disclosure for this sale can be found here. 28.51% of the stock is currently owned by corporate insiders.

Institutional Investors Weigh In On Stitch Fix

A number of hedge funds and other institutional investors have recently made changes to their positions in the business. Cambridge Investment Research Advisors Inc. acquired a new position in Stitch Fix in the 1st quarter valued at $160,000. MetLife Investment Management LLC grew its stake in Stitch Fix by 55.4% during the first quarter. MetLife Investment Management LLC now owns 43,873 shares of the company’s stock worth $442,000 after buying an additional 15,644 shares in the last quarter. Vanguard Group Inc. increased its holdings in Stitch Fix by 6.5% in the 1st quarter. Vanguard Group Inc. now owns 7,964,510 shares of the company’s stock valued at $80,203,000 after buying an additional 483,213 shares during the period. Ergoteles LLC increased its holdings in Stitch Fix by 231.6% in the 1st quarter. Ergoteles LLC now owns 98,779 shares of the company’s stock valued at $995,000 after buying an additional 68,986 shares during the period. Finally, Federated Hermes Inc. raised its position in shares of Stitch Fix by 212.1% in the 1st quarter. Federated Hermes Inc. now owns 1,825,064 shares of the company’s stock valued at $18,378,000 after buying an additional 1,240,320 shares in the last quarter. 68.38% of the stock is currently owned by institutional investors and hedge funds.

Stitch Fix Stock Performance

The company has a market cap of $529.92 million, a P/E ratio of -1.75 and a beta of 2.25. The stock’s fifty day moving average price is $3.77 and its two-hundred day moving average price is $4.12.

About Stitch Fix

(Get Rating)

Stitch Fix, Inc engages in the provision of personalized shipments of apparel, shoes, and accessories. The firm also delivers personalization to clients through the pairing of data science and human judgment. The company was founded by Katrina Lake and Erin Morrison Flynn in February 2011 and is headquartered in San Francisco, CA.

Featured Stories

Receive News & Ratings for Stitch Fix Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Stitch Fix and related companies with MarketBeat.com's FREE daily email newsletter.