It makes sense to watch Stitch Fix Inc. (SFIX) And Check-Cap Ltd. (CHEK)

Stitch Fix Inc. (NASDAQ: SFIX) shares are -7.37% down in the year-to-date (YTD) period and have moved 0.21% or $0.05 higher in the latest trading session. However, stock’s trailing 12-month performance remains nearly +118.07% lower. Comparatively, the stock is -21.91% down YTD and 0.64% over the trailing 3-month period. If we look at the shorter duration, its week performance is -0.48% and 3.35% over the month.

Analyst Recommendations

On June 03, 2020, Telsey Advisory Group recommended the SFIX stock is a Outperform, while earlier, Canaccord Genuity had Initiated the stock as a Buy on June 17, 2020. 16 analysts offering the recommendations for the stock have a consensus rating of 2.20 to suggest that the SFIX stock is a “Moderate Buy. 0 of the 16 analysts rate the stock as a “Sell”, while 0 has rated it as “Underweight”. 8 recommend buying, with 1 rating it as an Overweight.

The stock currently trades at $23.77 and analysts tracking its performance over the next 12 months have a consensus estimate price target of $27.00. The forecasts give the Stitch Fix Inc. stock a price target range of $35.00 on the higher side while at least one analyst think the stock could plunge to a low of $18.00. The two limits represent an upside potential of 32.09% or -32.06%.

Earnings Forecast

Analysts estimate the earnings to decrease -106.20% in the current quarter to -$0.16, down from the $0.07 reported in the same quarter a year ago. For the current year, earnings should grow to an average of -$0.38, up 6.80% from $0.36 reported last year. Analysts also offered guidance for the next financial quarter, with their average projected EPS at between -$0.2 and $0.02. Wall Street estimates earnings per share to be at an average of -$0.13 for the next year.

Insider Transactions Summary

According to SEC data, total insider shares purchases at the company stands at 122 over the last 12 months, while SEC filings reveal that there have been 136 insider sales over the same period. Insiders have purchases 3,572,631 shares while those sold by company executives and officers stand at 1,773,289. The last 3 months have seen insiders trade a total of 463,775 and 490,208 in purchases and sales respectively.

Lake Katrina, a Chief Executive Officer at the company, sold 36,641 shares worth $0.9 million at $24.57 per share on Aug 20. The Chief Executive Officer had earlier sold another 36,643 SFIX shares valued at $0.87 million on Aug 21. The shares were sold at $23.76 per share. Lake Katrina (Chief Executive Officer) sold 36,641 shares at $24.75 per share on Aug 19 for a total of $0.91 million while Darling Scott, (Chief Legal Officer & Secr.) sold 2,000 shares on Aug 18 for $50000.0 with each share fetching $25.00.

Check-Cap Ltd. (NASDAQ:CHEK), on the other hand, is trading around $0.38 with a market cap of $18.30M and analyst research firms have a negative stance on its shares. Some analysts are even forecasting -$0.42 per share in earnings this year on a short term (1 year) basis.

Let us briefly look at the Check-Cap Ltd. (CHEK) financials, with a focus on its operating details as indicated in its earnings report for the last quarter.

Company balance sheet and cash flow

CHEK’s operating expenses over the recent quarter were at -$2.89 million. This represented a 197.93% of the company’s total revenues which amounted $2.95 million. With this in place, we can see that the company’s diluted EPS declined -$0.12 on the year-over-year period, shrinking to -$0.41 as given in the last earnings report.

In terms of the balance sheet & cash flow as of (Sep 2020), the total assets figure advanced to $17.88 million from $10.6 million over the previous quarter. Short term investments amounted to $7.66 million while total current assets were at $16.9 million. The cash flow from operating activities totaled -$6.37 million, significantly lower than the -$6.35 million reported in the year-ago quarter. The company’s free cash flow for the quarter was -$6.51 million.

Major holders

Insiders own 2.20% of the company shares, while shares held by institutions stand at 5.90% with a share float percentage of 42.69M. Investors are also buoyed by the number of investors in a company, with Check-Cap Ltd. having a total of 16 institutions that hold shares in the company.