Raymond James initiated coverage with a "strong buy" rating
The shares of Figs Inc (NYSE:FIGS) are up 5.4% to trade at $8.74, after Raymond James initiated coverage on the healthcare apparel name with a "strong buy" and $15 price target. This note was part of the firm's new broader sector coverage on digital commerce. The firm noted the U.S. healthcare market is poised to grow, and that Figs could expand outside of that as well.
The stock has been underperforming on the charts, however. Publicly traded for a little over a year, FIGS is moving off a June 14, record low of $6.93, but continues to struggle with a ceiling at the $10 level, which has been in place since mid-May. Year-to-date, the equity is down roughly 68%.
Meanwhile, short interest represents a hefty 12.3% of the stock's available float. In other words, it would take four days to buy back these bearish bets, at FIGS' average pace of trading.
On the analyst front, three firms carried a "strong buy" rating before Raymond James joined in, while two said "hold." Plus, the security's 12-month consensus price target of $16 is an 82.9% premium to current levels.
Options bulls are chiming in as well. So far, 1,075 calls have crossed the tape, or triple the intraday average, as opposed to just 290 puts. Most popular by far is the July 7.50 call, with positions being bought to open there.