Stitch Fix’s Success Story Is Underappreciated

I can easily tick off a list of data points to show that Stitch Fix Inc., the online service that puts curated boxes of clothing on customers’ doorsteps, is on a tear: It had 2.9 million active customers in the latest quarter, up 22 percent from a year earlier; since shipping its first box in 2011, its annual revenue has exploded to $1.2 billion; and it’s that scarcest of Silicon Valley creature — a young company that is actually turning a profit.1

And yet, shares of Stitch Fix have whipsawed since its debut on the public market in late 2017. Wall Street analysts and investors seem to flip-flop between believing this company is the wunderkind future of fashion and fretting that it’s a fleeting novelty along the lines of Gilt Groupe.