Stitch Fix (NASDAQ:SFIX) Shares Gap After Analysts Downgrade
Shares of Stitch Fix, Inc. (NASDAQ:SFIX – Get Rating) fell ahead of the market open on Wednesday after Morgan Stanley lowered its price target on the stock from $20.00 to $9.00. The stock had previously closed at $11.01, but opened at $8.40. Morgan Stanley currently has an equal weight rating on the stock. Stitch Fix shares last traded at $9.18, with a volume of 144,546 shares traded in hands.
A number of other brokerages also weighed in on SFIX. Wells Fargo & Company cut its price target on Stitch Fix shares from $14.00 to $8.00 and set an “underweight” rating on the stock in a research note Wednesday. TheStreet downgraded the shares of Stitch Fix from a “c-” rating to a “d+” rating in a Friday, Dec. 3 research note. BMO Capital Markets cut its target price on Stitch Fix shares from $25.00 to $11.00 and set a “market performance” rating on the stock in a research note on Wednesday. Stifel Nicolaus lowered his price target on shares of Stitch Fix from $23.00 to $12.00 and set a “hold” rating on the stock in a research note on Wednesday. Finally, Piper Sandler lowered her price target on Stitch Fix shares from $46.00 to $22.00 and set a “neutral” rating on the stock in a Wednesday, Dec. 8 research note. Two analysts gave the stock a sell rating, fourteen gave the company a hold rating and two gave the company a buy rating. According to MarketBeat.com, the stock currently has a consensus rating of “Hold” and an average target price of $21.17.
In other Stitch Fix news, major shareholder Working Capital Advisors (Uk) bought 73,844 shares of Stitch Fix in a trade on Tuesday December 14th. The shares were acquired at an average cost of $18.47 per share, with a total value of $1,363,898.68. The purchase was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. Over the past ninety days, insiders have acquired 847,212 shares of the company valued at $15,049,645. 27.01% of the shares are held by company insiders.
Hedge funds have recently changed their positions in the business. Contravisory Investment Management Inc. acquired a new stake in Stitch Fix during the third quarter worth approximately $64,000. Neo Ivy Capital Management increased its position in Stitch Fix shares by 162.8% in the fourth quarter. Neo Ivy Capital Management now owns 1,616 shares of the company worth $31,000 after purchasing an additional 1,001 shares during the period. Private Capital Group LLC increased its position in Stitch Fix shares by 75.4% in the third quarter. Private Capital Group LLC now owns 1,675 shares of the company worth $67,000 after purchasing an additional 720 shares during the period. Compagnie Lombard Odier SCmA bought a new stock position in Stitch Fix in the third quarter for a value of approximately $80,000. Finally, Dark Forest Capital Management LP increased its position in Stitch Fix shares by 40.9% in the third quarter. Dark Forest Capital Management LP now owns 2,235 shares of the company worth $89,000 after purchasing an additional 649 shares during the period. 67.10% of the shares are held by institutional investors and hedge funds.
The company has a market capitalization of $1.23 billion, a P/E ratio of -53.85 and a beta of 1.86. The stock’s 50-day simple moving average is $14.93 and its two-hundred-day simple moving average is $26.08.
Stitch Fix (NASDAQ:SFIX – Get Rating) last released its quarterly results on Tuesday, March 8. The company reported ($0.28) earnings per share for the quarter, meeting the Zacks consensus estimate of ($0.28). The company posted revenue of $516.70 million in the quarter, compared to analyst estimates of $514.50 million. Stitch Fix had a negative net margin of 0.92% and a negative return on equity of 4.49%. The company’s revenue increased 2.5% year over year. In the same period a year earlier, the company posted ($0.20) earnings per share. As a group, stock analysts expect Stitch Fix, Inc. to post -0.92 earnings per share for the current year.
Stitch Fix Company Profile (NASDAQ: SFIX)
Stitch Fix, Inc is an online personal styling service that offers custom apparel and accessory fixes for men, women and children. The company was founded by Katrina Lake and Erin Morrison Flynn in February 2011 and is based in San Francisco, California.
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