Is Stitch Fix Still in Trouble? Here's What the Balance Sheet Says.
Stitch Fix (NASDAQ: SFIX) offers an online personal styling service. That was popular during the work-from-home and social distancing days of the coronavirus pandemic. But when the world started to open back up again, sales plunged. The stock followed along for the ride, and is now down roughly 95% from its early 2021 high-water mark. How much risk is there in this stock?
One of Stitch Fix's problems is that it is losing money. The company dipped into the red in fiscal 2020, which ended in August of that year. It has been unprofitable since that point, with fiscal 2023 shaping up to be yet another year in the negative column. Through the first nine months of the fiscal year the company's loss totaled $1.26 per share, greater than the loss of $1.02 in the same period of fiscal 2022. The trend does not seem to be friendly to investors here, since it is unlikely that the fiscal fourth quarter will reverse the losses accumulated in the first three quarters.
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Source Fool.com
