FIGS (FIGS) Stock Forecast & Price Target

FIGS Inc demonstrated impressive financial performance with a 33% year-over-year sales growth in Q4, contributing to an anticipated total revenue of $165 million, reflecting a 9% increase year-over-year. The company's strong guidance for FY26, projecting a revenue growth of 10%-12%, significantly exceeds prior consensus expectations, following a robust 14% expansion in FY25. Increased order growth exceeding 20%, coupled with a record active customer base nearing 2.8 million, underlines FIGS' solid market position and sustained demand, particularly in the scrubs segment, highlighting the ongoing momentum of the business.

FIGS Inc is projected to experience a decline in gross margins, with a forecasted decrease of 250 basis points to 64.8%, which is notably below the consensus of 210 basis points down to 65.2%. Additionally, the company's adjusted EBITDA is anticipated to fall to $13.9 million for the quarter, a significant reduction from last year's $21.1 million, suggesting ongoing financial strain despite slightly outperforming market expectations. These challenges, compounded by increasing tariff pressures and external economic risks such as rising interest rates and weakened consumer confidence, contribute to a negative outlook for the stock.