- Figs (FIGS) is a direct-to-consumer healthcare apparel brand showing strong technical momentum.
- Shares are trading at a new two-year high.
- FIGS has a 100% “Buy” technical rating from Barchart and shares are up 30% over the past year.
- While FIGS is experiencing exceptional price appreciation, it remains speculative and volatile.
Today’s Featured Stock
Valued at $1.33 billion, Figs (FIGS) is a founder-led, direct-to-consumer healthcare apparel and lifestyle brand.
The company designs and sells healthcare apparel and other non-scrub offerings, such as lab coats, under scrubs, outerwear, activewear, loungewear, compression socks, and masks. It also offers sports bras, performance leggings, tops, vests, and jackets. The company markets and sells its products through its website and mobile app.
What I’m Watching
I found today’s Chart of the Day by using Barchart’s powerful screening functions to sort for stocks with the highest technical buy signals; superior current momentum in both strength and direction; and a Trend Seeker “buy” signal. I then used Barchart’s Flipcharts feature to review the charts for consistent price appreciation. FIGS checks those boxes. Since the Trend Seeker signaled a new “Buy” on Oct. 15, the stock has gained 5.28%.
Barchart Technical Indicators for Figs
Editor’s Note: The technical indicators below are updated live during the session every 20 minutes and can therefore change each day as the market fluctuates. The indicator numbers shown below therefore may not match what you see live on the Barchart.com website when you read this report. These technical indicators form the Barchart Opinion on a particular stock.
Figs hit a two-year high of $8.24 in morning trading on Oct. 22.
- FIGS has a Weighted Alpha of +60.83.
- Figs has an 100% “Buy” opinion from Barchart.
- The stock gained 30.34% over the past year.
- Figs has its Trend Seeker “Buy” signal intact.
- The stock recently traded at $8.11 with a 50-day moving average of $7.09.
- FIGS has made 9 new highs and gained 17.25% in the last month.
- Relative Strength Index (RSI) is at 71.24.
- There’s a technical support level around $8.06.
Don’t Forget the Fundamentals
- $1.33 billion market capitalization.
- 201.75x trailing price-earnings ratio.
- Revenue is projected to grow 2.61% this year and another 3.76% next year.
- Earnings are estimated to increase by 234.10% this year and an additional 27.34% next year.
Analyst and Investor Sentiment on Figs
I don’t buy stocks because everyone else is buying, but I do realize that if major firms and investors are dumping stock, it’s hard to make money swimming against the tide.
It looks like Wall Street analysts are split on FIGS and so are individual investors.
- The Wall Street analysts tracked by Barchart have issued 2 “Strong Buy,” 8 “Hold,” 1 “Moderate Sell” and a single “Strong Sell” opinion on the stock with price targets between $5 and $9.
- Value Line rates the stock “Highest.”
- CFRA’s MarketScope Advisor rates it a “Hold.”
- Morningstar thinks the stock is 7% undervalued.
- 63 investors following the stock on Motley Fool think the stock will beat the market while 50 think it won’t.
- 4,750 investors monitor the stock on Seeking Alpha, which rates the stock a “Hold.”
The Bottom Line on Figs
Although Wall Street analysts are split on projections, they do predict growth in both the top and bottom line.
Today’s Chart of the Day was written by Jim Van Meerten. Read previous editions of the daily newsletter here.
Additional disclosure: The Barchart of the Day highlights stocks that are experiencing exceptional current price appreciation. They are not intended to be buy recommendations as these stocks are extremely volatile and speculative. Should you decide to add one of these stocks to your investment portfolio it is highly suggested you follow a predetermined diversification and moving stop loss discipline that is consistent with your personal investment risk tolerance.
