Stitch Fix, Inc. reported strong fiscal Q1 2026 results with Revenue per Active Client (RPAC) reaching $559, up 5.3% YoY, and Average Order Value (AOV) rising nearly 10%. The company closed the quarter with 2.3 million active clients, emphasizing client experience and product assortment for growth.
Designer Brands, Inc. faced a 3.2% decline in net sales in Q3 FY 2025 but saw an increase in gross profit and margin. GAP, Inc. posted a 3% increase in net sales with solid comparable sales growth, but saw a decline in gross margin due to various headwinds impacting profitability.
Stitch Fix’s stock has gained 28.3% in the past six months and carries a Zacks Rank #2 (Buy). The company trades at a lower forward price-to-sales ratio compared to the industry average and is expected to see year-over-year earnings growth of 9.1% and 56.7% for the current and next year, respectively.
Zacks Investment Research highlights a top stock pick with potential to double in value, along with other recommendations. The article originally published on Zacks Investment Research website offers insights into Stitch Fix, GAP, Inc., and Designer Brands, Inc., providing valuable information for investors.
Read more at Nasdaq: Can Stitch Fix Keep RPAC Growth Going Into Fiscal 2026?
