Welcome to See King Alpha's Wall Street breakfast, where we cover the top news for investors every morning.

Good morning. Today is Wednesday, September 25th. I'm Julie Morgan.

Stitch Fix at a rough Q4 on the next fiscal year doesn't get any better.

Changes are coming to the S&P, and if you like Coke Spiced, you better stock up now.

With fewer active clients in fiscal Q4 and fiscal year 24,

Stitch Fix experienced a 12.4% drop in sales in the final quarter of its fiscal year.

This resulted in a wider than expected loss for fiscal Q4 and downbeat guidance

for the current quarter in fiscal year 25.

For the quarter ended August 3rd, Stitch Fix lost 29 cents per share versus a loss of 17 cents

a year ago on 319.6 million in sales above the consensus estimate of 317.3 million.

However, with discipline cost management and improved transportation leverage,

Stitch Fix was able to increase its profit margin by 50 basis points to 44.6%.

On its balance sheet, inventories were cut 25% while free cash flow was slashed by 75% to just 4.5 million.

Looking ahead to fiscal Q1, stitch fix continues to anticipate declining sales with net revenue expected to be down between 15 and 17 percent to between 303 and $310 million below Wall Street's expectations of 331.3 million.

Bath and Body Works will be leaving the S&P 500 and a company forming with Jacob's

solutions will take its place. S&P Dow Jones indices said late Tuesday that

Aementum Holdings will be added to the S&P 500

effective before trading opens on Monday, September 30th.

Current S&P 500 constituent Jacob Solutions

is spinning off its critical mission solutions and

cyber intelligent government services businesses and will merge with

privately held amentum, creating amentum holdings.

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