Thanks for signing up for DividendStocks.com! It's the daily newsletter built for dividend and income investors. Before we can begin sending your daily updates, there’s one quick step left. Please confirm your subscription using the link below so our emails reach your inbox. Click Here to Confirm Your Subscription to DividendStocks.com Here’s a small glimpse of what you’ll get access to: Dividend Stock Ideas — Each newsletter features dividend stocks with high yields, sustainable payouts, and strong growth potential. Ex-Dividend Stocks — Want to capture upcoming dividend payouts? Find out which stocks are going ex-dividend this week. Market News and Events — Stay in the loop on the latest developments impacting popular dividend names like AT&T, Exxon Mobil, IBM, Procter & Gamble, and Verizon. Bonus: As a thank-you for confirming, you’ll also receive a free PDF copy of Automatic Income, our popular guide to building wealth through dividend investing. Let’s get your dividend journey started! Discover Top Income-Generating Stocks Here See you in your inbox soon, The DividendStocks.com Team P.S. Don’t miss out click here to verify your subscription and secure your daily dividend insights and your free investing guide!
Exclusive Article Wall Street Loves FIGS. So Why Do Price Targets Predict a Pullback?Authored by Jennifer Woods. Article Published: 3/2/2026. After a steep decline following its 2021 IPO, medical and lifestyle apparel company FIGS, Inc. (NYSE: FIGS) has climbed back to a price it hadn't reached in nearly four years. The stock has surged almost 260% over the past year, including a 58% gain in the last month alone. The rally has been driven by stronger-than-expected earnings and a wave of bullish analyst commentary. Yet despite that momentum, the consensus 12-month price target sits at just $12.25 — roughly 30% below the current stock price. That raises a key question: how much of this recovery is supported by fundamentals, and how much is momentum? A closer look at FIGS’ recent results and price action offers some clues. Early investors in FIGS enjoyed a quick windfall after the company's IPO, which debuted in May 2021 at $22 per share and rose to $50 within a month as pandemic-driven demand for medical apparel spiked. As COVID-19-related demand eased, however, shares reversed sharply and, within a year, traded below $8. In the years that followed FIGS remained mostly range-bound in the single digits, but after dipping below $4 in April 2025 the stock began another upward move. Earnings Momentum Sparks Rally Following steady gains after positive Q1 and Q2 2025 earnings, the Q3 2025 results released on Nov. 6 sent the stock higher. That report showed stronger-than-expected revenue growth, solid demand across the core business, and resilient margins despite tariff pressures. The company also raised its full-year guidance for net revenue and adjusted EBITDA margins. Wall Street responded, pushing the stock up more than 30% over the following week and prompting Zacks Research to upgrade the shares to Strong Buy from Hold. What if you could claim a stake in what's set to be the biggest IPO ever… starting with just $500?
Everyone is talking about Elon Musk's SpaceX IPO. Click here to get the details and I'll show you how to claim your stake… Key Points - FIGS stock is up nearly 260% over the last year
- Strong earnings have fueled the rally
- Stock is trading almost 30% above the average price target
- Special Report: [Sponsorship-Ad-6-Format3]
The momentum continued after the Q4 2025 earnings report released on Feb. 26. The quarter featured a 33% jump in revenue and was the company's best quarterly performance, with sales topping $200 million. Management highlighted growth across the business — including gains in active customers and higher average order values — and noted that it outfitted Team USA's medical team at the Winter Olympics. Scrubwear, which represents more than three-quarters of net revenue, was a standout, growing 35%, while international sales rose 55%. The fourth quarter capped a strong year: net revenue increased 14% year-over-year to a record $630 million. Despite tariff headwinds on gross margins, profitability held up, with full-year adjusted EBITDA margin beating targets by over 200 basis points. Earnings And Outlook Spark Analyst Support FIGS issued an optimistic outlook for fiscal 2026, expecting net revenue growth of 10%–12% and improved profitability, driven in part by continued growth in healthcare employment. Management also outlined plans to expand into new international markets, pursue growth opportunities across businesses, and continue its stock buyback program. Analysts followed with a flurry of upgrades and revised coverage. Barclays moved to Strong Buy from Hold, KeyCorp shifted to Overweight from Sector Weight with a $17 price target, and Goldman Sachs adjusted to Hold from Strong Sell. BTIG reiterated a Buy rating with a $15 target, and Telsey Advisory raised its target to $15 from $9. FIGS Stock Pushes Past Price Targets FIGS' improved results have been the primary catalyst behind the stock's push to four-year highs. Shares began climbing ahead of the Q4 report, jumping nearly 14% in the session before the release. After the results, the rally accelerated: the stock surged about 24% on the first trading day following the report and added roughly another 10% the next day. As of March 4, the stock was trading above $17, nearly 30% higher than the average 12-month price target of $12.25 based on 10 analyst reports. That level is well above Morgan Stanley's $8 target issued in January and exceeds many other firm targets, including KeyCorp's $17. The gap between bullish analyst sentiment and relatively modest price targets suggests analysts appreciate FIGS' improving fundamentals but remain cautious about valuation. At current levels, the shares trade at a price-to-earnings ratio near 90, implying much of the company's expected growth may already be priced in. Investors have applauded the turnaround, but skepticism persists about whether the stock can sustain further gains or if a pullback is possible.
|