Stitch Fix (NASDAQ:SFIX) Shares Down 3.5% – Should You Sell?

Stitch Fix, Inc. (NASDAQ:SFIX)’s share price was down 3.5% during trading on Friday . The stock traded as low as $5.07 and last traded at $5.0640. Approximately 162,938 shares changed hands during trading, a decline of 93% from the average daily volume of 2,360,928 shares. The stock had previously closed at $5.25.

Analysts Set New Price Targets

A number of research firms have issued reports on SFIX. Zacks Research lowered shares of Stitch Fix from a “strong-buy” rating to a “hold” rating in a research note on Friday, December 5th. Weiss Ratings restated a “sell (d-)” rating on shares of Stitch Fix in a research report on Wednesday, October 8th. UBS Group reaffirmed a “neutral” rating on shares of Stitch Fix in a research note on Wednesday, September 17th. Telsey Advisory Group reissued a “market perform” rating and issued a $6.00 price target on shares of Stitch Fix in a research note on Monday, December 1st. Finally, Sanford C. Bernstein reissued a “market perform” rating and set a $6.00 price target on shares of Stitch Fix in a report on Thursday, September 25th. One investment analyst has rated the stock with a Buy rating, four have given a Hold rating and one has given a Sell rating to the company’s stock. According to data from MarketBeat.com, Stitch Fix has a consensus rating of “Hold” and a consensus target price of $6.00.

Stitch Fix Stock Down 3.1%

The stock’s 50-day moving average is $4.68 and its 200 day moving average is $4.68. The stock has a market capitalization of $682.41 million, a PE ratio of -31.66 and a beta of 2.09.

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

Insider Activity at Stitch Fix

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

Hedge Funds Weigh In On Stitch Fix

Institutional investors have recently modified their holdings of the stock. Ameritas Investment Partners Inc. increased its holdings in shares of Stitch Fix by 32.3% in the second quarter. Ameritas Investment Partners Inc. now owns 10,839 shares of the company’s stock valued at $40,000 after purchasing an additional 2,645 shares in the last quarter. Wescott Financial Advisory Group LLC increased its stake in shares of Stitch Fix by 30.0% in the 2nd quarter. Wescott Financial Advisory Group LLC now owns 13,000 shares of the company’s stock valued at $48,000 after buying an additional 3,000 shares during the period. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. raised its position 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 worth $199,000 after acquiring an additional 3,993 shares during the last quarter. The Manufacturers Life Insurance Company lifted 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 during the period. Finally, State of Alaska Department of Revenue bought a new position in Stitch Fix in the third quarter valued at about $32,000. 71.04% of the stock is owned by institutional investors.

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.