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Tag: stitch fix

  • Stitch Fix, Inc. (SFIX) Stock Plummeting in Aftermarket, Here’s the Reason

    Stitch Fix, Inc. (SFIX), a company that sells a range of apparel, shoes, and accessories through its Website and mobile application, has plunged 17.86% in aftermarket trading session. Consequently, SFIX stock is trading at $20.51 at the time of the writing. The stock has declined despite announcing robust quarterly results. The decline could be attributed to the decreased revenue for the year as compared to analyst expectations. On Tuesday, SFIX closed the day at $24.97 after gaining an increase of 4.61% during the mid-day session.

    SFIX Q1 20222 Operational Results

    On Tuesday, SFIX released the operational results for the first quarter of the fiscal year 2022. The quarter ended on 30th October. The company generated net revenue of $581.2 million for the quarter against $490.4 million for the same period of fiscal 2021. The operating loss bore by the company during the period stood at $1.85 million against $19.53 million for the same period of fiscal 2021. The net loss suffered by the company during the three-month period was $1.82 million (or $0.02 per basic and diluted share) against $9.5 million (or $0.09 per basic and diluted share) for the same period of fiscal 2021.

    Financial Outlook for Q2 2022

    Alongside the operational results, SFIX also released the financial outlook for the upcoming quarter. The company expects to generate net revenue between $505 million to $520 million during the three-month period. That depicts a 0% to 3% year-over-year growth. The company expects the adjusted EBITDA to stand between a loss of $5 million and $5 million in terms of gain.

    Executive Commentary

    Elizabeth Spaulding, CEO of SFIX, while commenting on the results said that the company has delivered outstanding results during the first quarter. The quarterly results reflect a strong performance in business by the company. The company is pleased with the progress it is making toward the vision of becoming the global destination for personal shopping.

    Future Outlook for SFIX

    During the last three months, SFIX stock has declined more than 35%. That could be attributed to the uncertainty due to the prevalence of the pandemic during the period. However, analysts believe that the stock is in a good shape to provide potential investors with dividends in quarters to come.

  • Early Morning Vibes: 3 Best Performing Stocks Under

    Early Morning Vibes: 3 Best Performing Stocks Under $3

    On December 8, American stock exchanges closed at historic highs. The S&P 500 Index climbed 0.28% to 3702 points, the Dow Jones added 0.35%, the NASDAQ rose 0.5%. The purchases spurred hope for fiscal stimulus, as well as the start of the UK vaccine distribution. The health and energy sectors were the top gains, rising 0.73% and 1.57%, respectively. The real estate segment turned out to be an outsider, losing 0.5%.

    Corporate news

    Tesla (TSLA: + 1.3%) announced a $ 5 billion additional share issue.

    Productivity software maker Smartsheet (SMAR: + 11%) reported strong quarterly results and improved management forecasts.

    Apparel retailer Stitch Fix (SFIX: + 39%) posted a good quarterly report, with a pleasant surprise for investors the company’s profit at a consensus loss.

    Today, world stock markets are showing mostly positive dynamics. The likelihood of accepting an economic aid package is increasing. The day before, Treasury Secretary Stephen Mnuchin presented House Speaker Nancy Pelosi a $ 916 billion economic support bill. Unlike the bipartisan stimulus package last week, the bill provides for a one-time payment of $ 600 to each citizen instead of $ 300 weekly in addition to the unemployment. Republican leaders have already expressed support for Mnuchin’s bill. We believe that the congressmen have not yet been so close to a compromise in the past few months, and this is encouraging.

    Another supportive factor was a report released by the FDA that the Pfizer / BioNTech anticancer vaccine is completely safe and highly effective. The probability of its approval on December 10 is close to 100%, and on the 11th, the distribution of the drug in the United States may begin. We estimate the risk that the pharmaceutical giant will face difficulties in mass production of the vaccine as minimal, although not zero.

    Today Top Movers Under $3

    Cinedigm Corp (CIDM) is up 50.35% at $1.30 in early morning on Wednesday after

    Spherex revealed a strategic alliance with Cinedigm (NASDAQ: CIDM) to drive Cinedigm’s global growth.

    Usio Inc (USIO) is up 38.80% in Wednesday’s premarket session after reporting that it has entered into a non-binding Letter of Intent (LOI) to acquire the assets of Information Management Solutions, LLC (IMS).

    Recon Technology Ltd (RCON) was taking the aerial route in the after-market session as it surged 95.8% to $2.82, after a China-based independent solutions integrator in the oilfield service and environmental protection, electric power, and coal chemical industries, today announced its financial results for the fiscal year 2020.

    Top Upgrades & Downgrades

    JP Morgan turned bullish on Array Technologies Inc. (ARRY), upgrading the stock to “Overweight” and assigning a $41.0 price target.

    Community Trust Bancorp Inc. (CTBI) has won the favor of Piper Sandler’s equity research team. The firm upgraded the shares from Neutral to Overweight.

    Earlier Wednesday JP Morgan reduced its rating on Bloom Energy Corporation (BE) stock to Neutral from Overweight and assigned the price target to $26.0. With shares trading at around $30.59, the Wall Street firm thinks Bloom Energy Corporation’s stock could decline more than -62.5%.

    DZ Bank analysts reduced their investment ratings, saying in research reports covered by the media that its rating for American Express Company (AXP) has been changed to Hold from Buy and the new price target is set at $128.0.

    Analysts at KeyBanc downgraded Talos Energy Inc. (TALO)‘s stock to Sector Weight from Overweight Wednesday.

    Latest Insider Activity

    Freeport-McMoRan Inc. (FCX) Vice Chairman, President & CEO ADKERSON RICHARD C announced the sale of shares taking place on Dec 04 at $25.17 for some 467,887 shares. The total came to more than $11.78 million.

    Discovery Inc. (DISCA) Director LOWE KENNETH W sold on Dec 04 a total 1,202,403 shares at $25.22 on average. The insider’s sale generated proceeds of almost $2.32 million.

    Regulus Therapeutics Inc. (RGLS) 10% Owner Sonsini Peter W. declared the purchase of shares taking place on Dec 04 at $0.62 for some 4,398,602 shares. The transaction amount was around $2.74 million.

    Hepion Pharmaceuticals Inc. (HEPA) CEO and Director Foster Robert T bought on Dec 08 a total 25,259 shares at $1.58 on average. The purchase cost the insider an estimated $39,418.

    Earnings To Watch Today

    Top US earnings releases scheduled for today include Asana Inc. (NYSE:ASAN). It will announce its Oct 2020 financial results. The company is expected to report earnings of -$0.37 per share from revenues of $54.14M in the three-month period.

    Analysts expect Mesa Air Group Inc. (NASDAQ:MESA) to report a net income (adjusted) of -$0.02 per share, when the bank releases its quarterly results shortly. Revenue for the fiscal quarter ended Sep 2020 is predicted to come in at $92.95M.

    Adobe Inc. (ADBE), due to announce earnings after the market closes today, is expected to report earnings of $2.66 per share from revenues of $3.36B recently concluded three-month period.

  • Early Morning Vibes: 4 Hot Stocks for Tuesday Trading

    Early Morning Vibes: 4 Hot Stocks for Tuesday Trading

    On December 7, the American stock exchanges closed in different directions. The S&P 500 index fell 0.19% to 3692 points, the Dow Jones fell 0.49%, the NASDAQ added 0.45%. The correction was driven by partial profit taking after hitting new all-time highs at the end of last week. Communications and IT outperformed the market, adding 0.26% and 0.61%, respectively, on the back of Apple, Facebook and Netflix. The most pronounced was the profit-taking in cyclical sectors, with energy companies losing 2.44%.

    Company news
    Software developer Palantir Technologies (PLTR: + 21%) has received a contract from the Food and Drug Administration (FDA) for $44.4 million.
    Cisco (CSCO: + 0.1%) acquires UK communications software developer IMImobile for $730 million, complementing the Webex Contact Center platform.
    Today, global stock markets show mostly sideways dynamics, as there are no new drivers of movement. On the one hand, the investment community is still worried about the continued difficult epidemiological situation in the United States and the threat of renewed quarantine restrictions. After their introduction in California, the mayor of New York announced that restaurants in the city could completely suspend operations if the hospitalization situation did not improve within five days.
    On the other hand, the expected approval of the first covid-19 vaccine in the States this Thursday, as well as the prospects for a new economic aid program in the next two months, remain supportive factors. In general, negative and positive balance each other, but their balance cannot be called stable. The Brexit factor is relatively neutral for the American stock market, as well as the instability of relations between the US and China. Despite the introduction of new personal sanctions by the Trump administration, Chinese officials expressed optimism about the prospects for discussing a second phase of the trade deal with Joe Biden next year.

    Today Top Movers

    Eastman Kodak Co (KODK) share price reporting an increase of 9.22% in premarket today following the clearance from the U.S. government.

    Xpeng Inc (XPEV) adding 3.95% in Tuesday’s premarket session after reporting proposed follow-on public offering of American depositary shares.

    Stitch Fix (SFIX) is up 33.63% in early morning today after releasing its financial results for the first quarter of fiscal year 2021 ended October 31, 2020.

    Foley Trasimene Acquisition II Corp (BFT) share price soaring 18.58% in premarket session on Tuesday following the announcement of its merger agreement with Paysafe Group Holdings Limited.

    Top Upgrades & Downgrades

    JP Morgan turned bullish on QEP Resources Inc. (QEP), upgrading the stock to “Overweight”.

    ON Semiconductor Corporation (ON) has won the favor of KeyBanc’s equity research team. The firm upgraded the shares from Sector Weight to Overweight and moved their price target to $37.0.

    Equifax Inc. (EFX) received an upgrade from analysts at Barclays, who also set their one-year price target on the stock to $210.0. They changed their rating on EFX to Overweight from Equal-Weight.

    Earlier Tuesday JP Morgan reduced its rating on EQT Corporation (EQT) stock to Neutral from Overweight.

    Latest Insider Activity

    Zynga Inc. (ZNGA) President of Publishing Kim Bernard Jin announced the sale of shares taking place on Dec 04 at $8.50 for some 11,985 shares. The total came to more than $0.1 million.

    Lemonade Inc. (LMND) Director Eisenberg Michael A sold on Dec 04 a total 53,313 shares at $81.58 on average. The insider’s sale generated proceeds of almost $0.53 million.

    MultiPlan Corporation (MPLN) Director AUGUST GLENN R declared the purchase of shares taking place on Dec 04 at $7.00 for some 100,000 shares. The transaction amount was around $0.7 million.

    Gogo Inc. (GOGO) Director CRANDALL ROBERT L bought on Dec 02 a total 20,000 shares at $10.32 on average. The purchase cost the insider an estimated $206,360.

    Earnings To Watch Today

    Top US earnings releases scheduled for today include GameStop Corp. (NYSE:GME). It will announce its Oct 2020 financial results. The company is expected to report earnings of -$0.85 per share from revenues of $1.09B in the three-month period.

    Analysts expect Phreesia Inc. (NYSE:PHR) to report a net income (adjusted) of -$0.09 per share, when the bank releases its quarterly results shortly. Revenue for the fiscal quarter ended Oct 2020 is predicted to come in at $35.56M.

    Guidewire Software Inc. (GWRE), due to announce earnings after the market closes today, is expected to report earnings of -$0.05 per share from revenues of $164.62M recently concluded three-month period.

    Chewy (CHWY), a major online pet products retailer, will be released today. The company’s revenue is expected to grow 40% to $ 1.72 billion, and negative EPS will decrease to $ 0.14 from $ 0.20 a year earlier. During self-isolation, Americans began to actively have pets and spend money on products for caring for them. Over the past three quarters, Chewy shares have reacted negatively to the release of the financials, although the company’s results exceeded expectations. Then the quotes resumed a steady upward trend. A similar pattern could repeat itself.