Stitch Fix (NASDAQ:SFIX) Stock Price Up 9.6% – Time to Buy?

Stitch Fix, Inc. (NASDAQ:SFIX) rose 9.6% on Monday . The company traded as high as $3.92 and last traded at $3.9250. 775,822 shares were traded during mid-day trading, a decline of 62% from the average session volume of 2,063,782 shares. The stock had previously closed at $3.58.

Analysts Set New Price Targets

A number of research analysts have commented on the stock. Northland Securities began coverage on shares of Stitch Fix in a research note on Thursday, May 28th. They set an “outperform” rating and a $5.00 price target for the company. UBS Group increased their target price on Stitch Fix from $4.00 to $4.50 and gave the stock a “neutral” rating in a report on Thursday, June 11th. Wall Street Zen downgraded Stitch Fix from a “buy” rating to a “hold” rating in a research report on Saturday, May 2nd. Finally, Weiss Ratings raised Stitch Fix from a “sell (e+)” rating to a “sell (d-)” rating in a research note on Monday, July 13th. One investment analyst has rated the stock with a Buy rating, four have issued a Hold rating and one has issued a Sell rating to the company’s stock. According to data from MarketBeat, the company has an average rating of “Hold” and an average target price of $5.12.

Stitch Fix Trading Up 9.5%

The stock has a market capitalization of $522.91 million, a P/E ratio of -48.99 and a beta of 2.26. The firm’s fifty day moving average is $3.76 and its 200-day moving average is $3.83.

Stitch Fix (NASDAQ:SFIX) last issued its quarterly earnings data on Wednesday, June 10th. The company reported ($0.01) earnings per share for the quarter, topping the consensus estimate of ($0.06) by $0.05. The firm had revenue of $340.28 million for the quarter, compared to analysts’ expectations of $333.51 million. Stitch Fix had a negative net margin of 1.43% and a negative return on equity of 9.35%. The company’s quarterly revenue was up 4.7% compared to the same quarter last year. During the same period in the prior year, the firm earned ($0.06) earnings per share. Equities research analysts expect that Stitch Fix, Inc. will post -0.14 EPS for the current year.

Insider Activity at Stitch Fix

In related news, insider Anthony Bacos sold 100,000 shares of the firm’s stock in a transaction on Wednesday, June 24th. The stock was sold at an average price of $4.51, for a total transaction of $451,000.00. Following the completion of the sale, the insider directly owned 1,071,994 shares of the company’s stock, valued at $4,834,692.94. This trade represents a 8.53% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO David Aufderhaar sold 67,960 shares of Stitch Fix stock in a transaction on Monday, July 6th. The shares were sold at an average price of $3.79, for a total value of $257,568.40. Following the completion of the transaction, the chief financial officer owned 1,102,369 shares of the company’s stock, valued at approximately $4,177,978.51. The trade was a 5.81% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold a total of 517,971 shares of company stock worth $2,110,017 over the last three months. 16.09% of the stock is owned by company insiders.

Institutional Trading of Stitch Fix

A number of hedge funds and other institutional investors have recently made changes to their positions in the business. Hennion & Walsh Asset Management Inc. acquired a new position in Stitch Fix during the 2nd quarter worth about $48,000. Caerus Investment Advisors LLC acquired a new stake in Stitch Fix in the 1st quarter valued at about $36,000. Glenmede Trust Co. NA bought a new position in shares of Stitch Fix in the first quarter worth about $166,000. Royal Bank of Canada raised its stake in shares of Stitch Fix by 984.1% in the first quarter. Royal Bank of Canada now owns 119,230 shares of the company’s stock worth $394,000 after acquiring an additional 108,232 shares during the last quarter. Finally, Dimensional Fund Advisors LP lifted its position in shares of Stitch Fix by 6.3% during the first quarter. Dimensional Fund Advisors LP now owns 2,418,196 shares of the company’s stock worth $8,004,000 after purchasing an additional 142,909 shares in the last quarter. 71.04% of the stock is currently owned by institutional investors and hedge funds.

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.