Stitch Fix (NASDAQ:SFIX) stock was on the rise today, but why?
Honestly, it doesn’t appear that there is any major news that is behind Stitch Fix stock increasing today. Instead, it’s just likely that the stock is going through its typical fluctuations. SFIX stock is a recent IPO, which means it can be incredibly volatile.
For example, SFIX saw its stock drop by 17% in May, but then it was up again by roughly 45% the following month. A large reason for this increase was the release of the company’s earnings report for its fiscal third quarter of the year.
At that time, Stitch Fix reported earnings per share of 9 cents on revenue of $316.7 million. These were both up from what was reported in the same period of the year prior. It also beat out Wall Street’s earnings per share and revenue estimate of 3 cents and $306.5 million.
Following a strong June quarter, Stitch Fix is still seeing its stock rise in July. Since the start of the month, SFIX stock has increased by 8%. If this trend continues, it looks like July will be another strong month for the stock. However, there is still the risk that it will face unexpected drops as the stock continues to find its place in the public market.
SFIX stock was up 6% as of noon Friday and is up 16% year-to-date.
As of this writing, William White did not hold a position in any of the aforementioned securities.
