Exploring FIGS, Inc. (FIGS) Investor Profile: Who’s Buying and Why?

You're looking at FIGS, Inc. (FIGS) and wondering who's really buying the stock, especially after their strong third-quarter 2025 results-and honestly, the institutional money is piling in. This isn't a retail-driven meme stock anymore; it's a battleground for major funds, with 370 institutional owners now holding a massive 182,696,997 shares of the company. That's a serious vote of confidence from the smart money, representing over 92% of the stock. Think about that: nearly every share is held by a professional investor.

The question is, why are giants like BAMCO, Inc., which holds a commanding 38.67% stake, and even BlackRock, Inc., with its 7,966,800 shares, committing capital to a healthcare apparel brand? It comes down to the near-term financial reality: FIGS posted Q3 2025 net revenues of $151.7 million, an 8.2% increase year-over-year, and net income of $8.7 million. That kind of precision in a tough market is defintely what institutions want. Plus, with the stock trading around $9.33 and the company carrying a $1.53 billion market capitalization, the valuation argument is getting interesting. What does this accumulation mean for the stock's volatility, and are these big buyers looking for a quick trade or a long-term hold on the future of healthcare fashion?

Who Invests in FIGS, Inc. (FIGS) and Why?

You're looking at FIGS, Inc. (FIGS) stock and trying to figure out who's driving the price action, which is smart. The direct takeaway is that this is defintely an institutional-heavy stock, meaning the big money managers-not individual retail traders-control the float and set the long-term tone.

As of late 2025, institutional investors hold a commanding position, accounting for around 91.02% of the company's shares. This high percentage tells you that firms like Vanguard Group Inc., BlackRock, Inc., and Ameriprise Financial Inc. are the primary owners, not just passive holders. They are betting on the company's premium brand position and its ability to scale its direct-to-consumer (DTC) model in the specialized healthcare apparel market.

The total shares outstanding are about 156 million, so when a firm like Bamco Inc /ny/ holds nearly 60 million shares, their movements matter far more than any single retail investor's. Here's the quick math on the top institutional holdings as of Q3 2025, which shows you the conviction of these major players:

Investment Motivations: Betting on Brand and Margins

The core attraction to FIGS, Inc. (FIGS) for these large investors boils down to two things: a dominant brand in a sticky market and a clear path to margin recovery. Healthcare professionals are a resilient customer base, and FIGS, Inc. has successfully built a premium, lifestyle brand around them.

The Q3 2025 results reinforced this thesis, showing the company's operational efficiency is improving. They reported net revenues of $151.7 million, an 8.2% increase year-over-year, and a return to net profitability with a net income of $8.7 million. That's a powerful signal to the market that cost discipline is working. The company also raised its full-year 2025 net revenue growth outlook to approximately 7%, up from prior low single-digit expectations. That kind of upward revision is what gets institutional money excited.

Investors are also focused on a few key growth levers:

• International Expansion: Q3 2025 international revenues grew by 11.7%, showing the global opportunity is accelerating.
• Institutional Growth: The Teams business offers a stable, recurring revenue stream that balances volatility in retail sales.
• Customer Loyalty: Active customers grew to nearly 2.8 million, and the Average Order Value (AOV) increased to $114 in Q3 2025.

Strategies: Growth-Focused but Risk-Aware

The dominant strategy among institutional holders is long-term growth investing. They are less concerned with short-term price swings and more focused on the company's ability to execute its expansion plans into 2026. This is a bet on the structural tailwinds of the healthcare employment market and the company's superior product innovation (like the new FormX/Float fabrics).

However, what this estimate hides is the persistent risk from elevated tariffs, which management estimates could have a material impact on gross margins next year. Short-term traders, including some hedge funds, are likely focused on the quarterly earnings beats and the company's capital allocation. FIGS, Inc. has a strong cash balance-around $241.5 million in cash, cash equivalents, and short-term investments as of Q3 2025-and a remaining authorization of $52 million for share repurchases. This provides a buffer against macroeconomic headwinds and a tool to support the stock price.

To be fair, the stock's volatility still makes it attractive for short-term trading around earnings announcements, but the core capital is positioned for a multi-year recovery narrative. You can read more about the foundation of this investment story here: FIGS, Inc. (FIGS): History, Ownership, Mission, How It Works & Makes Money.

So, your next step should be to model the impact of the estimated 440 basis points tariff headwind on the 2026 gross margin to stress-test the long-term growth thesis.

Institutional Ownership and Major Shareholders of FIGS, Inc. (FIGS)

If you are looking at FIGS, Inc. (FIGS), the first thing you need to understand is that institutional money-the big funds, pension plans, and endowments-controls the vast majority of the company. As of the end of the third quarter of fiscal year 2025, institutional investors held a staggering 87.75% of the shares outstanding, totaling approximately 144.34 million shares with a market value of around $1.31 billion. That's a huge concentration of power.

This high figure tells you that the stock's movements are defintely driven by large-scale capital flow, not retail sentiment. When you see this level of institutional control, you are investing alongside the giants, which can add stability but also amplify volatility during major sell-offs. The stock's price surge from $4.71 on November 12, 2024, to $9.64 on November 11, 2025, a 104.67% increase, shows these big players have seen their conviction pay off over the year.

Top Institutional Investors: Who Holds the Power?

The investor profile of FIGS, Inc. is dominated by a few major players who collectively hold significant sway over the company's direction. These are primarily passive index funds and large growth-focused asset managers. Bamco Inc. /ny/ (Baron Capital) stands out as the single largest holder, which is a clear signal of long-term growth conviction from a prominent active manager.

Here's the quick math on the top shareholders as of the September 30, 2025, 13F filings:

Data for T. Rowe Price's Q3 2025 change was not available in the primary search results, but its share count is confirmed.

Recent Shifts: Are Funds Buying or Selling?

The near-term trend in the third quarter of 2025 shows a clear appetite for FIGS, Inc. stock from new and existing institutional investors, despite some high-profile selling. Overall, the Q3 2025 13F filings show a net positive sentiment: 50 institutional investors added to their positions, while only 7 decreased them.

This tells you the accumulation phase is still underway for many funds, even as others take profits. You need to watch the accumulation score-a metric that tracks institutional buying-which suggests the stock is being bought up by funds relative to its peers. The biggest moves are worth noting:

• JPMorgan Chase & Co. opened a substantial new position of 2,990,641 shares in Q3 2025, a major vote of confidence.
• Marshall Wace LLP significantly increased its stake, purchasing an additional 810,719 shares.
• Ameriprise Financial Inc., a top holder, did reduce its position by over 1.28 million shares, a move that suggests profit-taking or a re-evaluation of its portfolio weighting.

The net buying activity is a bullish signal, but the large sale from a major holder like Ameriprise Financial Inc. is a necessary caveat to consider. You must look at who is buying and who is selling to gauge conviction.

The Role of Large Investors in FIGS's Strategy

With nearly nine out of every ten shares held by institutions, these investors play a critical role in FIGS, Inc.'s corporate strategy and governance. The company is founder-led, but the sheer size of the institutional block means management must constantly align its long-term vision with shareholder expectations.

This influence is not always about aggressive activism (a Schedule 13D filing), but often about quiet pressure on capital allocation, margin expansion, and executive compensation. The company's management team, including CEO Trina Spear and CFO Sarah Oughtred, regularly engages with this community, as seen by their participation in the Raymond James and Goldman Sachs institutional investor conferences in 2025. This engagement is crucial because the institutional block has the voting power to:

• Approve or reject the election of directors to the Board.
• Influence major corporate actions like mergers or significant asset sales.
• Press for greater transparency on environmental, social, and governance (ESG) metrics.

The high institutional ownership provides a governance floor, demanding fiscal discipline, but it can also make the stock less liquid and more susceptible to large price swings if one of the top five holders decides to liquidate a major portion of their position. For a deeper dive into the company's fundamentals, you should check out Breaking Down FIGS, Inc. (FIGS) Financial Health: Key Insights for Investors.

Your next step should be to monitor the Q4 2025 13F filings in early 2026 to see if the net accumulation trend continues.

Key Investors and Their Impact on FIGS, Inc. (FIGS)

You want to know who is buying FIGS, Inc. (FIGS) and why, because institutional activity often signals where the smart money sees near-term value. The short answer is that major funds are maintaining significant, though constrained, positions, and their influence is high, particularly following recent activist pressure that led to a leadership shake-up.

The investor profile for FIGS, Inc. is dominated by institutional players, which collectively own about 92.21% of the company's stock, as of late 2025. That's a huge concentration, so their moves definitely matter. The biggest player is Baron Capital Management, Inc. (BCM) and its affiliate, BAMCO, Inc., often referred to simply as Baron, which holds a massive stake and has a direct, negotiated influence on the company's governance.

• Baron Capital Management is the single largest institutional holder.
• Vanguard Group Inc. and Ameriprise Financial Inc. are also top-tier shareholders.
• BlackRock, Inc., a fund I know well, is another significant passive investor.

The Outsized Influence of Major Shareholders

The influence of these investors goes beyond just portfolio allocation. When a single investor holds a dominant stake, it changes the dynamic from passive investing to active governance. For FIGS, Inc., this is best seen through the agreements with its largest shareholder, Baron. In January 2025, FIGS, Inc. signed a Binding Term Sheet with Baron, which is a big deal.

This agreement restricts Baron's future buying-a 'standstill' provision-preventing them from purchasing more equity without the company's consent if their ownership is already above a 17.5% threshold. Also, any shares Baron holds above a 25% threshold must be voted in line with the board's recommendations. This complex arrangement shows the company is actively managing the power of its largest investor to balance capital support with board independence.

Before that, activist investor Legion Partners successfully pushed for major changes, citing concerns over growth strategy. Their pressure led to a strategic review, the appointment of a new CEO, and new board members, including some Legion-recommended individuals. That's a clear example of how a motivated investor can force a complete corporate pivot. Investors are not shy about demanding better performance here.

Recent Investor Activity and Near-Term Actions

Looking at the most recent 13F filings from Q3 2025, we see a mixed but overall positive signal of institutional confidence. Bamco Inc. NY boosted its holdings by 2.2% in Q2 2025, maintaining its position as the largest holder with 59,974,407 shares. Vanguard Group Inc. also increased its stake by 4.6% in Q3 2025, bringing its total to 9,609,320 shares. Marshall Wace LLP made a significant move, increasing its stake by 45.7% in Q3 2025, which suggests a strong conviction play on the stock's near-term trajectory.

But it's not all buying. Bank of New York Mellon Corp, for instance, lowered its stake by 10.6% in Q2 2025, selling 182,108 shares. This selling pressure is normal portfolio rebalancing, but it reminds us that not everyone is fully committed to the growth story.

Here's the quick math on recent performance: FIGS, Inc. reported Q3 2025 revenue of $151.66 million, beating analyst estimates, and a Q3 EPS of $0.05, also beating consensus. The full-year 2025 EPS guidance is set at $0.01. This beat is defintely fueling the recent investor interest, despite the low full-year guidance.

The company also rejected an unsolicited acquisition proposal from STORY3 Capital Partners (WA:CPAP), LLC in January 2025, signaling a commitment by the board to their standalone growth strategy. This rejection, coupled with the activist-driven changes, means the current management team is under intense scrutiny to deliver on their independent plan. You should track their execution closely, especially around international expansion and new product lines. For a deeper dive into the company's fundamentals, you should check out Breaking Down FIGS, Inc. (FIGS) Financial Health: Key Insights for Investors.

Your action item is to monitor the next quarterly report for evidence that the new strategy is translating into sustained revenue growth, not just one-off beats. That's what the major funds are watching.

Market Impact and Investor Sentiment

You want to know who is buying FIGS, Inc. (FIGS) and why the stock moves. The direct takeaway is that institutional investors are still the primary owners, maintaining a neutral 'Hold' consensus, but recent strong earnings have sparked a cautious shift toward positive sentiment among analysts, leading to price target bumps. Still, the mixed signals from insider selling and a high valuation mean investors are defintely not all-in.

The overall investor sentiment for FIGS, Inc. is best described as cautiously neutral, anchored by a consensus 'Hold' rating from the majority of covering analysts. This isn't a ringing endorsement, but it reflects a business that's stabilizing after a period of volatility. Out of the eight analysts tracked in November 2025, five issued a 'Hold' recommendation, with the rest split between one 'Sell,' one 'Buy,' and one 'Strong Buy'.

Major institutional players are committed, but there are mixed signals from management. For example, BAMCO, Inc. boosted its stake to approximately 59,974,407 shares, valued at about $338,256,000 as of the second quarter of 2025. Ameriprise Financial Inc. also lifted its position to approximately 13,936,468 shares, valued at nearly $78,602,000. Conversely, company insiders, including the CEO and CFO, sold a total of 118,282 shares worth roughly $842,076 over the three months leading up to November 2025, which is a key point of caution for a seasoned investor like you.

• Institutional ownership is high, indicating long-term conviction.
• Insider selling suggests management is taking profits at current levels.
• The stock is expensive at a Price-to-Earnings (P/E) ratio near 92.

Recent Market Reactions and Ownership Moves

The stock market has been highly reactive to FIGS, Inc.'s quarterly performance, which is typical for a growth company with a premium valuation. You saw this clearly in November 2025 when the company reported its third-quarter results. Net revenues hit $151.7 million, an increase of 8.2% year-over-year, which was the strongest growth rate in two years. The stock jumped 13.2% on the news because the market loves a beat.

Here's the quick math on the Q3 beat: diluted earnings per share (EPS) came in at $0.05, more than double the consensus estimate of $0.02. This beat signaled that the company's operational efficiency is improving, with net income reaching $8.7 million and Adjusted EBITDA (earnings before interest, taxes, depreciation, and amortization) margin improving to 12.4%.

But remember the risk: earlier in the year, after the Q1 2025 results, the stock tumbled 14.26% in aftermarket trading. Why? Despite a revenue beat of $124.9 million, investors focused on the declining profitability, where the Adjusted EBITDA margin dropped to 7.2% from 10.9% a year prior. The market is rewarding execution, but it will punish any hint of margin compression quickly. For a deeper dive into the company's financial structure, you should check out Breaking Down FIGS, Inc. (FIGS) Financial Health: Key Insights for Investors.

Analyst Perspectives on Key Investor Impact

Analyst perspectives on FIGS, Inc. are now balancing the company's strong brand and recent execution against its premium valuation. The average 1-year price target is around $8.60, which, to be fair, is a significant increase from earlier in the year. This upward revision is a direct response to the strong Q3 2025 results and the perceived stability from large institutional holders like BlackRock Advisors LLC.

When you see firms like Morgan Stanley, Barclays, and BTIG all raising their price targets-to $7.50, $9.00, and $12.00 respectively, as they did in November 2025-it indicates that the market is starting to price in a more optimistic growth trajectory, particularly in international markets, which saw an 11.7% revenue increase in Q3 2025. The presence of large, stable investors like Vanguard Fiduciary Trust Co. and T. Rowe Price Investment Management, Inc. (both top shareholders) acts as a stabilizing force, suggesting they see a long-term runway for the premium healthcare apparel market.

What this estimate hides is the high-growth expectation embedded in the valuation. The average target price of $8.60 implies that the stock is expected to perform in line with or slightly below the market, which is why the consensus remains 'Hold'. The key investor impact is that their continued holding provides a floor for the stock, but the next leg up depends entirely on continued revenue beats and margin expansion, not just brand strength.

Here is a snapshot of the major institutional holders and their Q2 2025 positions:

Next step: You should monitor the Q4 2025 guidance for full-year EPS, which analysts anticipate will be around $0.07, as any deviation will immediately impact the stock's high valuation.