Stitch Fix, Inc. (NASDAQ:SFIX) Short Interest Up 19.7% in April

Key Points

• Short interest up 19.7% — short interest rose to 16,066,655 shares as of April 15, representing 14.0% of shares sold short and a days-to-cover ratio of 8.7 based on average daily volume.
• Stock and fundamentals: Stitch Fix shares trade around $3.67 with a market cap of about $501M, negative EPS and revenue up 9.4% year-over-year; analysts have a consensus "Reduce" rating with an average target of $5.00. Insiders sold 134,544 shares last quarter (including the CFO's 65,709-share sale), and insiders currently own about 16.09% of the stock.

Stitch Fix, Inc. (NASDAQ:SFIX - Get Free Report) saw a large increase in short interest during the month of April. As of April 15th, there was short interest totaling 16,066,655 shares, an increase of 19.7% from the March 31st total of 13,424,562 shares. Currently, 14.0% of the company's shares are sold short. Based on an average daily volume of 1,841,956 shares, the days-to-cover ratio is currently 8.7 days.

Stitch Fix Price Performance

Stitch Fix stock opened at $3.67 on Thursday. The firm's fifty day moving average price is $3.40 and its 200 day moving average price is $4.23. The company has a market capitalization of $501.04 million, a price-to-earnings ratio of -28.23 and a beta of 2.33. Stitch Fix has a 12-month low of $2.95 and a 12-month high of $5.94.

Stitch Fix (NASDAQ:SFIX - Get Free Report) last announced its earnings results on Wednesday, March 11th. The company reported ($0.02) earnings per share for the quarter, beating the consensus estimate of ($0.05) by $0.03. The company had revenue of $341.30 million during the quarter, compared to the consensus estimate of $334.74 million. Stitch Fix had a negative return on equity of 12.23% and a negative net margin of 1.89%.The company's revenue was up 9.4% on a year-over-year basis. During the same period last year, the firm earned ($0.05) earnings per share. Analysts forecast that Stitch Fix will post -0.19 earnings per share for the current fiscal year.

Insider Buying and Selling at Stitch Fix

In other Stitch Fix news, CFO David Aufderhaar sold 65,709 shares of Stitch Fix stock in a transaction on Tuesday, April 7th. The shares were sold at an average price of $3.09, for a total value of $203,040.81. Following the transaction, the chief financial officer owned 1,178,037 shares in the company, valued at $3,640,134.33. This trade represents a 5.28% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Katrina Lake sold 8,835 shares of Stitch Fix stock in a transaction on Monday, February 2nd. The shares were sold at an average price of $5.01, for a total transaction of $44,263.35. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold a total of 134,544 shares of company stock worth $432,104 in the last quarter. 16.09% of the stock is owned by insiders.

Institutional Trading of Stitch Fix

Several large investors have recently modified their holdings of the business. Farther Finance Advisors LLC grew its stake in shares of Stitch Fix by 52.1% during the fourth quarter. Farther Finance Advisors LLC now owns 9,719 shares of the company's stock valued at $51,000 after acquiring an additional 3,329 shares in the last quarter. Pallas Capital Advisors LLC grew its stake in shares of Stitch Fix by 32.2% during the fourth quarter. Pallas Capital Advisors LLC now owns 14,085 shares of the company's stock valued at $74,000 after acquiring an additional 3,428 shares in the last quarter. State of Wyoming grew its stake in shares of Stitch Fix by 31.9% during the fourth quarter. State of Wyoming now owns 16,001 shares of the company's stock valued at $84,000 after acquiring an additional 3,866 shares in the last quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. grew its stake in shares of Stitch Fix by 7.0% during the first quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 61,270 shares of the company's stock valued at $199,000 after acquiring an additional 3,993 shares in the last quarter. Finally, The Manufacturers Life Insurance Company grew its stake in shares of Stitch Fix by 12.1% during the second quarter. The Manufacturers Life Insurance Company now owns 39,807 shares of the company's stock valued at $147,000 after acquiring an additional 4,303 shares in the last quarter. 71.04% of the stock is currently owned by institutional investors and hedge funds.

Analyst Upgrades and Downgrades

A number of equities analysts have weighed in on the stock. Wall Street Zen upgraded shares of Stitch Fix from a "hold" rating to a "buy" rating in a report on Saturday, April 18th. William Blair reiterated a "mixed" rating on shares of Stitch Fix in a report on Friday, March 6th. Weiss Ratings restated a "sell (d-)" rating on shares of Stitch Fix in a report on Tuesday, April 21st. UBS Group reduced their target price on shares of Stitch Fix from $6.00 to $4.00 and set a "neutral" rating on the stock in a report on Tuesday, March 3rd. Finally, Telsey Advisory Group reduced their target price on shares of Stitch Fix from $6.00 to $5.00 and set a "market perform" rating on the stock in a report on Thursday, March 12th. Four investment analysts have rated the stock with a Hold rating and one has issued a Sell rating to the stock. According to MarketBeat, the stock has a consensus rating of "Reduce" and an average price target of $5.00.

About Stitch Fix

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.