Why Stitch Fix Stock Crashed 36% on Wednesday
Shares of try-before-you-buy mail-order clothier Stitch Fix (NASDAQ: SFIX) got destroyed today, crashing 36.2% through noon ET after reporting a huge earnings miss.
Heading into earnings, analysts were already pessimistic, forecasting that Stitch Fix would lose $0.19 per share on $318.5 million in quarterly sales. But while the company eked out a small beat on sales, reporting $319.6 million, its earnings were simply atrocious -- a $0.30 per-share loss.
Stitch Fix's Q4 sales declined 12.4% year over year, while losses grew 25% -- and that was the good news.
Source Fool.com
