I do not think it is a coincidence that one episode is titled “the Return” and the one directly after is titled “the stranger”. I assume both titles tie together – mainly in the case of August. It wouldn’t surprise me if in “the return” we discover this wasn’t August’s first time in SB and when/why he was there before. I believe the episode will leave us on a cliff hanger which will be picked up in “the Stranger” where we will finally discover who August is.
I do find it interesting that the Pinocchio episode is called “the stranger”. This makes me think a little closer about the theory of august being pinocchio – a theory I was not convinced of until I saw the theme of the episode and the title.