What happened?The stock of Figs, a direct-to-consumer (DTC), healthcare apparel company, climbed up to 16% during Monday trading hours. As of Wednesday, March 25, the stock had risen 12.4%. Wall Street analysts have issued numerous bullish comments about the recent IPO. Figs has seen a 60% increase since its IPO in May. This makes it one of the most popular stocks during that period.What are you waiting for?Over the last week, Wall Street analysts have been more bullish about Figs. Oppenheimer's Jason Helfstein, a stock analyst, recently gave a buy rating to the stock and set a $45 per share price target. Figs now trades at $49 a piece.Analysts and investors are likely to be bullish about Figs due to the cult-like following that it has created within the healthcare apparel industry. The company has seen its revenue grow at a staggering 146% over the last four years, and it will generate $58 million in operating profit in 2020. The company is able to count on its customers coming back to them, thanks in part to the constant replenishment of nurse scrubs (Figs largest product category).What now?The 60% increase in Figs stock prices is likely to make current investors happy. However, it doesn't mean that it's time to buy the stock. Figs, which has a market capitalization of $7 billion, has a trailing ratio of price-to–sales (P/S), of 26.6 and a trailing ratio of price-to–free-cashflow (P/FCF), of over 300. Although Figs is rapidly growing, it might be time to show patience after the recent spike in stock prices.
