FIGS

Figs (FIGS), a healthcare apparel company, is highlighted as a potential earnings beater with a positive Earnings ESP of +5.00% and Zacks Rank #2 (Buy). The company has demonstrated a strong earnings-beat streak, with an average surprise of 128.57% over the last two quarters. Its next earnings report is expected on November 5, 2026.

Figs Inc., a healthcare apparel company, demonstrates strong momentum characteristics with a Zacks Momentum Style Score of B and a Zacks Rank #2 (Buy) rating. The stock has surged 16.72% over the past week and 150.21% over the past year, significantly outperforming the S&P 500. Recent earnings estimate revisions have been positive, with consensus estimates increasing from $0.32 to $0.36 in the past 60 days, supporting the bullish outlook.

FIGS, Inc. reported robust second-quarter 2026 results with active customers rising 13.2% to 3.1 million and revenue per customer hitting a record $229. Scrubwear sales grew 26.5% while non-scrubwear revenues jumped 40.3%, driven by product innovation and repeat purchases. The company raised its full-year revenue growth outlook to approximately 20%, marking its third consecutive quarter of growth above 25%.

On October 12, 2026, the Dow Jones rose 0.38% while the S&P 500 and Nasdaq declined as investors rotated into value sectors away from technology. Memory chip stocks and semiconductor names faced pressure amid valuation concerns, while Meta Platforms gained on its new AI model launch and Figs surged over 12%. Bank earnings and inflation data are expected this week.

Zacks Premium offers investment research tools including Style Scores (Value, Growth, Momentum, and VGM) that work alongside the Zacks Rank system to help investors identify high-performing stocks. The article highlights FIGS, Inc. as a stock to watch with a #2 Buy rating and B VGM Score, noting recent upward earnings revisions and strong momentum.

Figs (FIGS) shares rose 6.5% to $14.98 on strong volume, supported by positive earnings expectations of $0.07 per share (+40% YoY) and revenue growth of 19.5%. The company benefits from strong customer engagement, product innovation, and expanding international operations.

Earnings estimate revisions have been revised 1.2% higher over the past month, suggesting continued momentum. The stock carries a Zacks Rank #2 (Buy) rating.

FIGS Inc. reported record average order value of $127 (up 9%) driven by pricing actions and reduced discounting. Active customers grew 13% to 3.1 million with revenue per customer reaching a record $229.

The company raised its 2026 revenue growth outlook to approximately 20% and adjusted EBITDA margin guidance to 14.8-15%. Scrubwear revenues grew 27% while non-scrubwear sales increased 40%.

Wall Street analysts have set a mean price target of $18.11 for Figs (FIGS), suggesting a potential 28.4% upside from its current price of $14.10. The stock has gained 3.1% over the past four weeks and holds a Zacks Rank #2 (Buy) rating. Analysts have revised earnings estimates upward by 6% over the last 30 days, indicating growing optimism about the company's earnings prospects.

Zacks Equity Research analysts featured four retail stocks in their blog. Victoria's Secret remains confident in China as its top international growth driver despite moderating international growth. FIGS, Fossil Group, and Boot Barn are highlighted as better-ranked alternatives with varying growth prospects in their respective sectors.

Figs (FIGS) and Pattern Group (PTRN) have significantly outperformed the broader Retail-Wholesale sector year-to-date. FIGS has returned 23.9% versus a sector average loss of 4.4%, with improving analyst sentiment reflected in a 23.1% increase in consensus earnings estimates.

PTRN has gained 50.8% with a 10.9% increase in EPS estimates. Both stocks hold Zacks Rank #2 (Buy) ratings.

Domino's Pizza reported Q3 2026 earnings of $4.60 per share, beating estimates by 6.2%, with revenues of $1.19 billion topping consensus. Supply chain revenues grew 7.1% to $746.2 million driven by higher order volumes and pricing.

However, same-store sales growth slowed significantly, with U.S. franchise comps rising just 0.3% versus 5.3% year-ago, while international comps grew only 0.2%. The company added 175 net stores globally and maintained capital return programs through dividends and share buybacks.

Zumiez (ZUMZ) is pursuing international growth through private-label expansion and distinctive merchandise while addressing weakness in its U.S. business. Europe and Australia net sales rose 2.5% to $35.1 million in Q2 fiscal 2026. The company is implementing premium pricing and expense management to improve margins, though shares have declined 20.4% in three months and the stock trades at a premium valuation of 19.25x forward P/E versus the industry average of 12.97x.

Gap Inc. (GAP) shares surged 25.3% over three months, outperforming the retail sector, driven by strong performance at its Gap and Banana Republic brands, improved merchandise margins, and disciplined inventory management. The company raised its FY26 adjusted EPS outlook to $2.35-$2.45 despite ongoing challenges at Old Navy and Athleta. Gap brand achieved its 11th consecutive quarter of positive comparable sales growth with a 10% increase in Q2, while the stock trades at an attractive 9.22X forward P/E multiple.

Zumiez (ZUMZ) is using data analytics to improve customer insights and marketing effectiveness while working to enhance customer experience through operational changes. However, the company faces headwinds from U.S. sales deceleration driven by footwear softness and declining transactions. Management views the downturn as temporary and is refining merchandise assortments to navigate this transitional period.

Dollar Tree reported Q2 comparable-store sales growth of 3.7%, driven by a 3.3% increase in average ticket and 0.4% rise in traffic. The company expects full-year comp sales growth of 3%-4%, with multi-price penetration reaching 17% of sales. Management believes improved assortments, store standards, and marketing can sustain traffic growth in the second half, though higher freight costs and merchandise inflation could pressure profitability.

American Eagle Outfitters (AEO) reported modest improvements in Q2 FY2026 with 1% revenue growth and declining comparable sales of -1%. The men's business achieved its fourth consecutive quarter of positive comparable sales, while the company is shifting focus toward conversion-driven marketing and inventory rebalancing. Store traffic remains a key metric, with digital channels outperforming physical stores, though trends improved in Q3.

Abercrombie & Fitch (ANF) announced plans for approximately 130 net new store experiences in fiscal 2026, including 50 new store openings and 80 remodels, marking its fifth consecutive year as a net store opener. The company's recently opened SoHo location is performing above expectations, with plans to incorporate its design elements into additional stores. ANF stock has surged 46% over the past six months and trades at a forward P/E of 11.15X, below industry averages.