Stitch Fix Plunges on Weak Forecast; Grail Surges After FDA Panel Backing

Stitch Fix (SFIX) shares plunged more than 18% in premarket trading after the company issued a much weaker-than-expected financial outlook, overshadowing a modest earnings beat in its latest quarter. In contrast, shares of cancer-detection firm Grail (GRAL) surged over 11% following a favorable vote from a U.S. Food and Drug Administration (FDA) advisory panel.

Key Movers in Focus

Stitch Fix's decline was driven by its guidance for the upcoming fiscal year. The online styling service forecast fiscal 2027 revenue between $1.31 billion and $1.36 billion, significantly below analyst consensus estimates of approximately $1.41 billion. The company's first-quarter revenue forecast of $323 million to $328 million also missed expectations of around $355 million, signaling continued pressure on its growth trajectory.

Grail's stock rallied after an FDA advisory panel voted that the benefits of its Galleri multi-cancer early detection blood test outweigh its risks for adults aged 50 and older. The panel voted 7-2 in favor of the benefit-risk profile and unanimously (10-0) in favor of the test's safety. While the panel's recommendation is a key step in the Premarket Approval process, it is not binding on the FDA.

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Other Notable Premarket Moves

Several other companies saw significant price action before the opening bell based on corporate news and financial results:

• MGM Resorts International (MGM): The stock fell 8.3% after People Incorporated, an entity controlled by executive Barry Diller, withdrew its proposal to acquire the remaining public shares of the casino operator. The withdrawal removes a potential valuation support for the stock.
• Darden Restaurants (DRI): Shares dropped 4.1% after the company reported weaker-than-expected comparable sales at its Olive Garden chain. Same-restaurant sales at Olive Garden increased 1.1%, falling short of analyst expectations for growth between 1.3% and 2.0%.
• Acadia Pharmaceuticals (ACAD): The stock declined 6% after its Phase 2 study of remlifanserin for Alzheimer’s disease psychosis narrowly missed its primary endpoint.
• Everpure: Shares gained 7.1% after the data-storage company provided an upbeat long-term financial outlook at its analyst meeting, including preliminary fiscal 2028 revenue guidance that implies growth of 39% to 45% year-over-year.