Feb. 28, 2026 at 8:47 AM ET5 min read

Figs Inc. Stock Surges After Strong Q4 Earnings Beat Expectations

Tim BohenAvatar
Written by Tim Bohen
Reviewed by Ben Sturgill Fact-checked by Ellis Hobbs

FIGS Inc. stocks have been trading up by 25.66 percent, reflecting positive market sentiment and potential growth opportunities.

Market Insights

  • Fourth-quarter earnings reported higher than expected, with an EPS of $0.10 against the anticipated $0.02, accompanied by substantial revenue growth.
  • Roth Capital and KeyBanc upgraded their price targets, hinting at optimism driven by Figs’ strategic market positioning and robust quarter performance.
  • Barclays also raised its rating, highlighting improving sales metrics and inventory dynamics that signal potential for stronger global growth.
  • Investor confidence boosted with a surge in average order value and active customer increase, reinforcing positive sentiment around Figs’ future trajectory.
  • With nearly 10% growth in active customers, the company is showing a solid execution path, pointing towards sustainable future expansion.

Consumer Discretionary industry expert:

Analyst sentiment – positive

FIGS is currently positioned as a robust player in the Consumer Discretionary sector, exhibiting several compelling financial fundamentals. With a substantial gross margin of 68% and a profit margin of 3.03%, FIGS demonstrates effective cost management and profitability. The company reported revenue of $631 million, reflecting steady growth over recent years—5.87% over three years and 27.43% over five years. Though its P/E ratio at 109.1 suggests a high valuation, its comprehensive debt management, evidenced by a total debt to equity ratio of 0.13 and a current ratio of 4.8, underscores strong financial stability. Notably, the company generated $58.07 million in free cash flow, bolstering its cash reserves to $81.9 million, indicative of sound liquidity management and potential for reinvestment in growth initiatives.

The company’s recent weekly price action suggests a bullish trend, with FIGS’ stock witnessing a steady increase from $10.91 to $15.67 within a week. There is a distinct upward momentum reinforced by significant volume surges accompanying price increments, as seen on 260226 and 260227, where FIGS closed at $13.18 and $15.67, respectively. The higher high pattern suggests the continuation of this upward trend, presenting an actionable buying opportunity for traders at or near support levels around $12.50, with a potential target of $17 aligned with recent analyst upgrades. Investors may look for confirmation through consistent volume above average trading levels, ensuring sustained demand and price strength.

Recent news catalyzes a positive outlook for FIGS, supported by impressive Q4 results that exceeded expectations, with EPS at $0.10 versus the forecast of $0.02 and revenue at $201.9 million against a $165.3 million estimate. Analysts have upgraded FIGS, reflecting broad-based demand and a growth trajectory beyond pandemic normalization. FIGS has been guided to a FY26 revenue growth target of 10-12%. Compared to Consumer Discretionary benchmarks, FIGS displays strong resilience, aided by its focus on healthcare professionals, product innovation, and international market penetration. The current resistance level hovers near $17, while support should manifest around the $12-13 range. With strategic growth initiatives and industry recognition, FIGS holds a positive outlook, poised to maintain momentum within its niche.

Candlestick Chart

More Breaking News

Weekly Update Feb 23 – Feb 27, 2026: On Saturday, February 28, 2026 FIGS Inc. stock [NYSE: FIGS] is trending up by 25.66%! Discover the key drivers behind this movement as well as our expert analysis in the detailed breakdown below.

Quick Financial Overview

The recent performance of Figs Inc. demonstrates a significant uplift in financial health, evidenced by a striking 33% increase in net revenue for the fourth quarter. This period also marked a rise in key profitability metrics, with figures suggesting efficient operational handling and growth in extensive customer bases. Such stellar results have bolstered the perceived market value, inciting considerable enthusiasm from investors and analysts alike.

Examining the stock movement, a remarkable spike was evident as shares jumped approximately 18%, fueled by realignment in price targets by analysts amid superior quarterly results. The chart data over this period presents a compelling narrative: an opening price of $15.46 saw an upward closing at $15.67, indicating robust trading activity. With a more nuanced eye on profitability, the gross margin of 68% and the price-to-earnings ratio at 109.1 stand out, reflective of a solid foundation underlying these promising dynamics.

Consequential trends have not gone unnoticed with entities like Goldman Sachs shifting ratings from ‘sell’ to ‘neutral’, aligning with modern indicators pointing to sustained momentum into Q1 of the fiscal year 2026. The valuation metrics reveal a company prudent with resource allocation, a signal favoring long-term stakeholders. As such, Figs’ financial and operational metrics are evidently poised for an enhanced trajectory, potentially setting a new benchmark within the apparel sector.

This is stock news, not investment advice. StocksToTrade News delivers real-time stock market updates tailored to highlight the key catalysts driving short-term price movements. Our coverage is designed for active traders and investors who thrive in fast-moving markets, with a focus on volatile sectors like penny stocks, AI stocks, Robinhood stocks and other momentum plays. From earnings reports and FDA approvals to mergers, new contracts, and unusual trading volume, we break down the events that can spark significant price action.

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