Telsey Advisory Group Has Lowered Expectations for Stitch Fix (NASDAQ:SFIX) Stock Price

Stitch Fix (NASDAQ:SFIX) had its target price lowered by equities research analysts at Telsey Advisory Group from $5.00 to $3.00 in a research report issued on Thursday, Briefing.com reports. The brokerage currently has a “market perform” rating on the stock. Telsey Advisory Group’s price objective would indicate a potential upside of 6.38% from the company’s previous close.

A number of other equities analysts also recently issued reports on SFIX. Weiss Ratings upgraded shares of Stitch Fix from a “sell (e+)” rating to a “sell (d-)” rating in a report on Monday, July 13th. Northland Securities began coverage on Stitch Fix in a research report on Thursday, May 28th. They set an “outperform” rating and a $5.00 price objective on the stock. Finally, UBS Group reduced their target price on Stitch Fix from $4.50 to $4.00 and set a “neutral” rating on the stock in a report on Wednesday, September 2nd. One investment analyst has rated the stock with a Buy rating, five have assigned a Hold rating and one has given a Sell rating to the company’s stock. According to data from MarketBeat.com, the stock has a consensus rating of “Hold” and an average price target of $4.50.

Stitch Fix Stock Down 5.7%

Shares of SFIX stock opened at $2.82 on Thursday. The stock has a fifty day moving average of $3.44 and a 200 day moving average of $3.53. The firm has a market capitalization of $376.26 million, a price-to-earnings ratio of -35.25 and a beta of 2.27. Stitch Fix has a 52 week low of $2.76 and a 52 week high of $5.74.

Stitch Fix (NASDAQ:SFIX) last posted its earnings results on Wednesday, September 23rd. The company reported ($0.02) EPS for the quarter, topping the consensus estimate of ($0.06) by $0.04. The firm had revenue of $324.42 million during the quarter, compared to analysts’ expectations of $325.50 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 4.2% compared to the same quarter last year. During the same period last year, the company posted ($0.07) EPS. Equities research analysts anticipate that Stitch Fix will post -0.14 earnings per share for the current year.

Insider Transactions at Stitch Fix

In other Stitch Fix news, CFO David Aufderhaar sold 67,960 shares of the company’s stock in a transaction dated Monday, July 6th. The shares were sold at an average price of $3.79, for a total value of $257,568.40. Following the sale, the chief financial officer owned 1,102,369 shares in the company, valued at approximately $4,177,978.51. This represents a 5.81% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Anthony Bacos sold 70,011 shares of the firm’s stock in a transaction that occurred on Monday, June 29th. The shares were sold at an average price of $4.42, for a total transaction of $309,448.62. Following the transaction, the insider directly owned 1,051,994 shares of the company’s stock, valued at $4,649,813.48. This represents a 6.24% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last three months, insiders have sold 487,971 shares of company stock valued at $1,900,517. 16.09% of the stock is currently owned by corporate insiders.

Institutional Trading of Stitch Fix

Several hedge funds and other institutional investors have recently made changes to their positions in the stock. State Street Corp raised its stake in Stitch Fix by 10.1% during the second quarter. State Street Corp now owns 3,503,504 shares of the company’s stock valued at $14,399,000 after buying an additional 322,030 shares during the last quarter. Dimensional Fund Advisors LP grew its stake in shares of Stitch Fix by 6.3% in the first quarter. Dimensional Fund Advisors LP now owns 2,418,196 shares of the company’s stock worth $8,004,000 after acquiring an additional 142,909 shares during the last quarter. Bank of New York Mellon Corp bought a new position in shares of Stitch Fix during the second quarter valued at $6,427,000. Landscape Capital Management L.L.C. increased its holdings in shares of Stitch Fix by 49.0% during the fourth quarter. Landscape Capital Management L.L.C. now owns 1,230,124 shares of the company’s stock valued at $6,458,000 after acquiring an additional 404,322 shares in the last quarter. Finally, Ieq Capital LLC raised its position in shares of Stitch Fix by 48.8% in the 2nd quarter. Ieq Capital LLC now owns 394,095 shares of the company’s stock worth $1,620,000 after purchasing an additional 129,202 shares during the last quarter. Hedge funds and other institutional investors own 71.04% of the company’s stock.

Key Stitch Fix News

Here are the key news stories impacting Stitch Fix this week:

• Positive Sentiment: Adjusted loss beat expectations: Stitch Fix reported a fourth-quarter loss of approximately $0.02 per share, better than the $0.06 loss analysts expected and improved from a $0.07 loss a year earlier. Stitch Fix Q4 earnings and guidance
• Positive Sentiment: Revenue continued to grow: Fourth-quarter revenue rose 4.2% year over year to $324.4 million, while the company said its loss narrowed, reflecting progress in its restructuring and operating improvements. Revenue was only modestly below the $325.5 million consensus estimate. Stitch Fix fiscal 2026 results
• Positive Sentiment: AI tools are encouraging spending: CEO Matt Baer said customers using Stitch Fix’s AI-generated virtual try-on feature are producing a “significant lift” in spending, offering a potential growth driver as the company improves its digital shopping experience. Stitch Fix AI try-ons and shopper spending
• Neutral Sentiment: Management described fiscal 2026 as transformative: The company highlighted a stronger operating foundation, a redesigned client experience and a more compelling product assortment, but investors will look for evidence that these initiatives can accelerate growth.
• Negative Sentiment: Fiscal 2027 guidance fell short: Stitch Fix forecast first-quarter revenue of $323 million to $328 million, well below the $355.5 million analyst consensus. Full-year fiscal 2027 revenue guidance of $1.3 billion to $1.4 billion also implied limited growth and was below the roughly $1.4 billion consensus expectation. Stitch Fix outlook and revenue guidance
• Negative Sentiment: Consumer spending remains pressured: Management cited soft consumer demand as a factor weighing on the fiscal 2027 outlook. The company remains unprofitable, with a negative net margin and analysts expecting another full-year loss, increasing the importance of stronger sales execution.

Stitch Fix Company Profile

Stitch Fix, Inc is an online personal styling company that uses data science, personalization technology and human stylists to recommend apparel and accessories to customers. Its offerings include clothing, shoes and accessories across categories such as women’s, men’s and children’s apparel, with selections tailored to individual preferences, sizes, budgets and lifestyles.

The company’s primary service, traditionally known as a “Fix,” delivers a curated selection of items for customers to try at home, after which they can purchase the items they want and return the rest.