Stitch Fix (NASDAQ:SFIX) Trading 9.9% Higher – Still a Buy?

Stitch Fix, Inc. (NASDAQ:SFIX)’s stock price shot up 9.9% during mid-day trading on Monday . The company traded as high as $5.43 and last traded at $5.4710. 995,880 shares were traded during trading, a decline of 52% from the average session volume of 2,082,788 shares. The stock had previously closed at $4.98.

Analyst Ratings Changes

Several equities analysts have recently weighed in on SFIX shares. Sanford C. Bernstein restated a “market perform” rating and set a $6.00 price target on shares of Stitch Fix in a report on Thursday, September 25th. Zacks Research lowered shares of Stitch Fix from a “strong-buy” rating to a “hold” rating in a research note on Friday, December 5th. UBS Group reaffirmed a “neutral” rating on shares of Stitch Fix in a report on Wednesday, September 17th. Wall Street Zen downgraded shares of Stitch Fix from a “buy” rating to a “hold” rating in a research note on Saturday, January 3rd. Finally, Weiss Ratings reissued a “sell (d-)” rating on shares of Stitch Fix in a research report on Wednesday, October 8th. One investment analyst has rated the stock with a Buy rating, four have issued a Hold rating and one has assigned a Sell rating to the stock. Based on data from MarketBeat, Stitch Fix presently has a consensus rating of “Hold” and a consensus target price of $6.00.

Stitch Fix Stock Performance

The business’s fifty day moving average price is $4.76 and its 200-day moving average price is $4.74. The stock has a market cap of $739.44 million, a PE ratio of -34.44 and a beta of 2.10.

Stitch Fix (NASDAQ:SFIX) last issued its quarterly earnings data on Thursday, December 4th. The company reported ($0.05) earnings per share for the quarter, meeting analysts’ consensus estimates of ($0.05). Stitch Fix had a negative net margin of 2.23% and a negative return on equity of 14.38%. The company had revenue of $342.13 million for the quarter, compared to the consensus estimate of $335.74 million. During the same quarter in the prior year, the firm earned ($0.03) earnings per share. The firm’s revenue for the quarter was up 7.3% compared to the same quarter last year. Analysts forecast that Stitch Fix, Inc. will post -0.44 earnings per share for the current fiscal year.

Insiders Place Their Bets

In other news, insider Casey O’connor sold 50,000 shares of Stitch Fix stock in a transaction on Monday, October 20th. The shares were sold at an average price of $4.41, for a total transaction of $220,500.00. Following the transaction, the insider owned 431,441 shares in the company, valued at $1,902,654.81. This trade represents a 10.39% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available through this hyperlink. Also, Director Katrina Lake sold 303,450 shares of the business’s stock in a transaction on Friday, December 5th. The shares were sold at an average price of $5.19, for a total transaction of $1,574,905.50. Additional details regarding this sale are available in the official SEC disclosure. Company insiders own 16.09% of the company’s stock.

Institutional Inflows and Outflows

A number of large investors have recently modified their holdings of the company. SG Americas Securities LLC increased its stake in Stitch Fix by 85.3% in the 4th quarter. SG Americas Securities LLC now owns 147,354 shares of the company’s stock worth $774,000 after buying an additional 67,828 shares in the last quarter. Diversified Trust Co. lifted its position in shares of Stitch Fix by 29.8% in the fourth quarter. Diversified Trust Co. now owns 40,179 shares of the company’s stock valued at $211,000 after acquiring an additional 9,224 shares in the last quarter. Wealth Enhancement Advisory Services LLC lifted its position in shares of Stitch Fix by 39.5% in the fourth quarter. Wealth Enhancement Advisory Services LLC now owns 39,154 shares of the company’s stock valued at $203,000 after acquiring an additional 11,082 shares in the last quarter. Hudson Bay Capital Management LP bought a new position in shares of Stitch Fix in the third quarter worth about $61,000. Finally, CIBC Bancorp USA Inc. purchased a new stake in shares of Stitch Fix during the third quarter worth about $50,000. Hedge funds and other institutional investors own 71.04% of the company’s stock.

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.