Stitch Fix (NASDAQ:SFIX) Shares Down 6.3% – Here’s What Happened

Stitch Fix, Inc. (NASDAQ:SFIX) shares dropped 6.3% during trading on Tuesday . The stock traded as low as $4.11 and last traded at $4.1060. Approximately 985,740 shares were traded during mid-day trading, a decline of 55% from the average session volume of 2,174,175 shares. The stock had previously closed at $4.38.

Wall Street Analyst Weigh In

A number of research firms have issued reports on SFIX. Wall Street Zen cut shares of Stitch Fix from a “buy” rating to a “hold” rating in a report on Saturday, May 2nd. Northland Securities began coverage on Stitch Fix in a research report on Thursday, May 28th. They set an “outperform” rating and a $5.00 price objective for the company. Telsey Advisory Group lowered their target price on Stitch Fix from $6.00 to $5.00 and set a “market perform” rating on the stock in a report on Thursday, March 12th. UBS Group upped their price target on Stitch Fix from $4.00 to $4.50 and gave the stock a “neutral” rating in a report on Thursday, June 11th. Finally, William Blair reaffirmed a “mixed” rating on shares of Stitch Fix in a research report on Friday, March 6th. One investment analyst has rated the stock with a Buy rating, four have issued a Hold rating and one has issued a Sell rating to the company’s stock. According to MarketBeat, the company has a consensus rating of “Hold” and a consensus target price of $5.12.

Stitch Fix Price Performance

The firm has a market cap of $547.73 million, a P/E ratio of -51.44 and a beta of 2.31. The stock’s 50 day moving average is $3.70 and its two-hundred day moving average is $4.03.

Stitch Fix (NASDAQ:SFIX) last released its quarterly earnings data on Wednesday, June 10th. The company reported ($0.01) earnings per share for the quarter, beating analysts’ consensus estimates of ($0.06) by $0.05. Stitch Fix had a negative return on equity of 9.35% and a negative net margin of 1.43%.The company had revenue of $340.28 million for the quarter, compared to the consensus estimate of $333.51 million. During the same period in the previous year, the business earned ($0.06) earnings per share. The company’s quarterly revenue was up 4.7% on a year-over-year basis. As a group, research analysts forecast that Stitch Fix, Inc. will post -0.15 EPS for the current fiscal year.

Insider Buying and Selling at Stitch Fix

In other news, insider Anthony Bacos sold 100,000 shares of the business’s stock in a transaction on Wednesday, June 24th. The shares were sold at an average price of $4.51, for a total value of $451,000.00. Following the sale, the insider owned 1,071,994 shares in the company, valued at approximately $4,834,692.94. The trade was a 8.53% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO David Aufderhaar sold 65,709 shares of the company’s stock in a transaction dated Tuesday, April 7th. The stock was sold at an average price of $3.09, for a total transaction of $203,040.81. Following the completion of the sale, the chief financial officer directly owned 1,178,037 shares in the company, valued at approximately $3,640,134.33. The trade was a 5.28% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold 365,709 shares of company stock worth $1,412,141 over the last three months. Company insiders own 16.09% of the company’s stock.

Hedge Funds Weigh In On Stitch Fix

Institutional investors and hedge funds have recently added to or reduced their stakes in the company. Caerus Investment Advisors LLC acquired a new stake in shares of Stitch Fix during the first quarter worth approximately $36,000. Glenmede Trust Co. NA acquired a new stake in Stitch Fix during the 1st quarter valued at $166,000. Royal Bank of Canada increased its holdings in Stitch Fix by 984.1% during the 1st quarter. Royal Bank of Canada now owns 119,230 shares of the company’s stock valued at $394,000 after purchasing an additional 108,232 shares in the last quarter. Dimensional Fund Advisors LP raised its position in Stitch Fix by 6.3% in the 1st quarter. Dimensional Fund Advisors LP now owns 2,418,196 shares of the company’s stock valued at $8,004,000 after purchasing an additional 142,909 shares during the last quarter. Finally, Chicago Partners Investment Group LLC bought a new position in Stitch Fix in the 1st quarter valued at $47,000. 71.04% of the stock is currently owned by institutional investors and hedge funds.

Stitch Fix Company Profile

Stitch Fix, Inc, headquartered in San Francisco, California, is a leading online personal styling service that blends data science with human expertise to deliver curated clothing and accessory selections. Founded in 2011 by Katrina Lake, the company pioneered a subscription-based model in which customers receive periodic “Fixes” tailored to their personal style, size and budget. Each shipment arrives with several handpicked items along with styling notes, allowing clients to review, purchase and return pieces at their convenience.

Clients begin by completing an online style profile that captures their measurements, design preferences and lifestyle needs.