After an utter and complete collapse over the last two years, Stitch Fix (NASDAQ: SFIX) is finally facing the music.
The once-promising online styling service announced the departure of CEO Elizabeth Spaulding on Thursday and said it was cutting 20% of its salaried positions, its second round of layoffs in just a few months. It's also closing a distribution center in Salt Lake City that it opened in 2021.
Katrina Lake, the founder and chair of the board, will become interim CEO for six months or until a successor is found. Investors cheered the news, sending the stock up 9% on Thursday.
For further details see:
Stitch Fix Just Took the First Step in Its Turnaround. Will It Pay Off for Investors?