Stitch Fix (NASDAQ:SFIX) Earns Sell (D-) Rating from Weiss Ratings

Key Points

• Stitch Fix has received a "sell (D-)" rating from Weiss Ratings, indicating a negative outlook on the stock.
• Despite the negative rating, Stitch Fix's stock currently has an average rating of "Hold" with a consensus target price of $6.00.
• In the latest quarter, Stitch Fix reported a revenue of $311.23 million, surpassing analysts' expectations but showing a 2.6% decline compared to the previous year.

Stitch Fix (NASDAQ:SFIX - Get Free Report)'s stock had its "sell (d-)" rating restated by Weiss Ratings in a report released on Wednesday,Weiss Ratings reports.

A number of other equities research analysts have also commented on the company. Sanford C. Bernstein restated a "market perform" rating and set a $6.00 price objective on shares of Stitch Fix in a research report on Thursday, September 25th. UBS Group restated a "neutral" rating on shares of Stitch Fix in a research report on Wednesday, September 17th. Wall Street Zen lowered Stitch Fix from a "buy" rating to a "hold" rating in a research report on Sunday, June 22nd. Telsey Advisory Group restated a "market perform" rating and set a $6.00 price objective on shares of Stitch Fix in a research report on Thursday, September 25th. Finally, William Blair upgraded Stitch Fix from a "market perform" rating to an "outperform" rating in a research report on Monday, July 14th. One research analyst has rated the stock with a Buy rating, five have given a Hold rating and one has assigned a Sell rating to the stock. According to MarketBeat, Stitch Fix presently has an average rating of "Hold" and a consensus target price of $6.00.

Stitch Fix Stock Up 7.0%

NASDAQ:SFIX opened at $4.41 on Wednesday. Stitch Fix has a 1-year low of $2.60 and a 1-year high of $6.99. The firm has a market capitalization of $591.43 million, a price-to-earnings ratio of -9.59 and a beta of 2.08. The stock has a fifty day simple moving average of $5.05 and a 200 day simple moving average of $4.28.

Stitch Fix (NASDAQ:SFIX - Get Free Report) last announced its quarterly earnings data on Wednesday, September 24th. The company reported ($0.07) EPS for the quarter, topping analysts' consensus estimates of ($0.10) by $0.03. Stitch Fix had a negative return on equity of 14.57% and a negative net margin of 2.27%.The firm had revenue of $311.23 million during the quarter, compared to analyst estimates of $307.15 million. During the same period last year, the company posted ($0.30) EPS. The business's quarterly revenue was down 2.6% compared to the same quarter last year. Stitch Fix has set its Q1 2026 guidance at EPS. FY 2026 guidance at EPS. Equities analysts predict that Stitch Fix will post -0.44 earnings per share for the current year.

Insider Buying and Selling

In related news, insider Casey O'connor sold 50,000 shares of the firm's stock in a transaction that occurred on Monday, July 21st. The stock was sold at an average price of $4.72, for a total value of $236,000.00. Following the transaction, the insider directly owned 508,621 shares of the company's stock, valued at approximately $2,400,691.12. This trade represents a 8.95% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this link. Also, insider Anthony Bacos sold 90,000 shares of the firm's stock in a transaction that occurred on Friday, September 19th. The shares were sold at an average price of $5.61, for a total value of $504,900.00. Following the completion of the transaction, the insider directly owned 799,966 shares in the company, valued at $4,487,809.26. The trade was a 10.11% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold a total of 1,047,536 shares of company stock valued at $5,350,202 over the last 90 days. 16.95% of the stock is currently owned by insiders.

Institutional Inflows and Outflows

Institutional investors have recently made changes to their positions in the stock. Fund 1 Investments LLC grew its holdings in Stitch Fix by 44.6% in the 2nd quarter. Fund 1 Investments LLC now owns 9,943,821 shares of the company's stock valued at $36,792,000 after buying an additional 3,064,901 shares during the last quarter. Marshall Wace LLP grew its holdings in Stitch Fix by 4,898.1% in the 2nd quarter. Marshall Wace LLP now owns 2,010,034 shares of the company's stock valued at $7,437,000 after buying an additional 1,969,818 shares during the last quarter. Nuveen LLC acquired a new stake in Stitch Fix in the 1st quarter valued at approximately $4,159,000. Shay Capital LLC acquired a new stake in Stitch Fix in the 2nd quarter valued at approximately $3,570,000. Finally, Balyasny Asset Management L.P. acquired a new stake in Stitch Fix in the 2nd quarter valued at approximately $2,803,000. 71.04% of the stock is owned by institutional investors.

About Stitch Fix

Stitch Fix, Inc sells a range of apparel, shoes, and accessories for men, women, and kids through its website and mobile application in the United States and the United Kingdom. It offers denim, dresses, blouses, skirts, shoes, jewelry, and handbags under the Stitch Fix brand. The company was formerly known as rack habit inc.

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