Stitch Fix, Inc.

Is Stitch Fix publicly traded?

Yes. Stitch Fix trades on the NASDAQ Global Select Market under ticker SFIX. It IPO'd in November 2017.

Who owns Stitch Fix?

Public shareholders own the company, with Class B shares held by founder Katrina Lake and insiders carrying ten votes per share, concentrating voting control.

How does Stitch Fix make money?

Revenue comes primarily from selling the apparel items clients keep from their Fixes, plus styling fees and direct purchases. Clients pay for items they keep and return the rest free.

Is Stitch Fix profitable?

The company operates near breakeven. Fiscal 2026 produced a small net loss on $1.348 billion in revenue with positive adjusted EBITDA and free cash flow, improved from prior-year losses.

Who is the CEO of Stitch Fix?

Matt Baer has been CEO since June 2023, leading the turnaround that returned the company to revenue growth in fiscal 2026.

How many clients does Stitch Fix have?

The company reported approximately 2.28 million active clients as of fiscal 2026, with revenue per active client at a record $592 in the fourth quarter.

Katrina Lake founded the company in 2011 in her Cambridge, Massachusetts apartment while at Harvard Business School, initially naming it Rack Habit. The insight was that shopping had become a curation problem: clients needed selection help more than more selection. The Fix model shipped five items chosen by a stylist working from the client's profile.

Venture backing from Baseline Ventures and Benchmark followed the model's capital efficiency, and the company reached profitability unusually early for a DTC startup. Its November 2017 IPO at roughly $1.5 billion valuation was a rare profitable debut in the subscription box era, validating the category.

The pandemic brought a surge then a crash. Revenue peaked above $2 billion in fiscal 2021, then demand collapsed, active clients bled, and the stock lost more than 95 percent of its peak. A confused expansion into direct-buy Freestyle shopping diluted the model. CEO Elizabeth Spaulding's 2021 to 2023 tenure produced deep layoffs, the UK exit, and her departure, with Lake returning as interim chief before Matt Baer took the permanent role in June 2023.

Baer's turnaround restored focus on the core Fix, rebuilt the client experience, and restructured the stylist workforce to a part-time model in January 2024. Fiscal 2026, ended August 1, 2026, returned the company to growth a year ahead of plan: revenue up 6.4 percent to $1.348 billion, gross margin of 43.7 percent, record revenue per active client of $592 in the fourth quarter, and six consecutive quarters of positive revenue comparisons.

The company's sustainability case rests on its model's efficiency argument: curated shipments reduce the browse-and-return waste of conventional e-commerce, and returned items resell through its channels rather than discarding.

Private label production incorporates sustainable material goals, and packaging has moved toward reduced and recyclable formats. The company holds no B Corp certification.

The most material ethics issue is workforce related: the January 2024 shift to an all-part-time stylist model eliminated full-time stylist roles, a cost decision that drew criticism about the treatment of the employees powering the service's human element.

Stylist labor: A 2020 California Private Attorneys General Act lawsuit alleged wage and hour violations against stylists, which the company settled. The 2024 part-time restructuring drew renewed criticism about the stylist workforce model.

Stock collapse: The post-2021 decline of more than 95 percent from peak destroyed most public shareholder value, a performance history that frames all current investor sentiment.

Subscription model churn: The economics of subscription-adjacent apparel carry structural churn and return costs that have drawn analyst scrutiny since the IPO.