Stitch Fix Surges on Sales Beat, Repeating Familiar Pattern

Source: Stitch Fix Inc.

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Stitch Fix Inc. gained as much as 27% on Thursday after reporting sales that beat the highest analyst estimateBloomberg Terminal. Again.

Big stock moves are nothing new for investors who have seen the shares of the clothing-subscription service rise or fall at least 20% the day after each of the past four earnings reports. And the gains usually don’t last. After Thursday’s pop, the stock was trading at just the highest since March 19.