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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 dramatic decline following its 2021 IPO, medical and lifestyle apparel company FIGS, Inc. (NYSE: FIGS) has climbed back to a price it hasn't seen 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 earnings and a wave of bullish analyst commentary. Yet despite the rally, 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 enjoyed a quick windfall after FIGS' May 2021 IPO, which priced at $22 per share and rose to about $50 within a month as pandemic demand for medical apparel surged. As COVID-19 tailwinds faded, shares reversed sharply and traded below $8 within a year. For much of the following period FIGS remained range-bound in the single digits. After dipping below $4 in April 2025, the stock began another upward move — this time sustained. Earnings Momentum Sparks Rally After steady gains following positive Q1 and Q2 2025 earnings reports, the Q3 2025 results released on Nov. 6 sent the stock sharply higher. The company posted stronger-than-expected revenue growth, healthy demand across its core business and resilient margins despite tariff pressures. Management raised full-year guidance for net revenue and adjusted EBITDA margins, prompting a swift market response and an upgrade from Zacks Research 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 accelerated after the Q4 2025 earnings report on Feb. 26. The quarter delivered a 33% jump in revenue and marked the company's largest quarterly sales, topping $200 million. Management pointed to broad-based strength — growth in active customers, higher average order values and solid demand for scrubwear. Scrubwear, which makes up more than three-quarters of net revenue, increased 35%, while international sales rose 55%. The quarter capped a solid year: full-year net revenue reached a record $630 million, and full-year adjusted EBITDA margin beat its target by more than 200 basis points despite tariff-related margin pressure. Earnings And Outlook Spark Analyst Support FIGS issued an upbeat outlook for the year ahead, forecasting continued demand supported in part by growth in healthcare employment. The company also highlighted plans to expand into new international markets, focus on growth opportunities across its businesses and continue its share buyback program. For fiscal 2026, FIGS expects net revenue to grow 10% to 12%, with improved profitability targets. Analysts largely followed suit with more positive coverage after the earnings release. Barclays raised its rating to Strong Buy from Hold; KeyCorp moved to Overweight from Sector Weight with a $17 target; Goldman Sachs shifted to Hold from Strong Sell; BTIG reiterated Buy with a $15 target; and Telsey Advisory raised its target to $15 from $9. FIGS Stock Pushes Past Price Targets FIGS' strong results have been the clear catalyst behind the run to four-year highs. The stock began rising before the Q4 report, jumping nearly 14% in the session ahead of the release, and the rally intensified after the results. The shares surged 24% on the first trading day following the report and gained another 10% the next day. As of March 4, the stock was trading above $17 — almost 30% above the average 12-month price target of $12.25 based on 10 analyst reports. That level is more than double Morgan Stanley's $8 target issued in January and slightly above the highest published target of $17 from KeyCorp. The gap between bullish analyst commentary and relatively modest price targets suggests analysts appreciate FIGS' improving fundamentals but remain cautious about valuation. At current levels, shares trade at a price-to-earnings ratio near 90, implying much of the company's expected growth may already be priced in. Investors celebrating the turnaround should weigh that optimism against the risk of a pullback if growth or margins disappoint.
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