Stitch Fix, Inc. (NASDAQ: SFIX) Investor Alert: Schubert Jonckheer Investigates Possible False Claims, $132 Million in Stock Sales

Schubert Jonckheer & Kolbe LLP advises Stitch Fix, Inc. (NASDAQ: SFIX) investors that the firm is investigating potential legal claims relating to alleged false statements about the viability of Stitch Fix’s Freestyle business segment and significant insider stock sales totaling $132 million. Current shareholders are encouraged to contact the firm.

On July 9, 2025, Judge P. Casey Pitts of the U.S. District Court for the Northern District of California ruled that key claims in a securities fraud lawsuit against Stitch Fix, its former CEO, and founder could move forward. The lawsuit alleges that between June 2020 and June 2022, Stitch Fix misled investors by falsely stating that its Freestyle business segment would complement and add to its core Fix business segment. These statements allegedly caused Stitch Fix’s stock to trade at artificially inflated prices. Judge Pitts found that the complaint sufficiently alleged that the defendants made false and misleading statements about these matters with an intent to defraud. During this period, various company insiders sold $132 million of Stitch Fix stock. After the truth came out in June 2022 that Freestyle had largely cannibalized potential new Fix customers and that the company was cutting 15% of its workforce, Stitch Fix’s stock price fell 27%.

We are investigating potential wrongdoing by Stitch Fix’s directors and officers in connection with these allegations.

If you own stock in Stitch Fix, you may have legal options. To learn more fill out the form below.