Is Stitch Fix Stock a Buy in 2022?
Stitch Fix (NASDAQ: SFIX) recently announced that it is laying off employees in some areas of the business after net losses roughly doubled from fiscal Q2 to Q3. The e-commerce apparel seller is looking to save as much as $60 million each year from the move, which is part of a broader restructuring plan.
CEO Elizabeth Spaulding said in a conference call with Wall Street analysts that management is moving "with a sense of urgency" to try to get the business back on a steadier path in terms of growth and earnings. But the cost challenges aren't the biggest problem facing Stitch Fix right now.
After the company shocked investors by showing slowing user growth back in March, management said that Stitch Fix would soon be on a better growth path. The company at the time noted two major problems hurting sales, which both seemed fixable.
Source Fool.com
