FIGS, Inc. (FIGS) has disclosed a new risk, in the Capital Markets category.
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FIGS, Inc. faces significant business risks due to global trade policy changes, particularly the imposition of new tariffs by the United States on imports from countries like Vietnam and Jordan, where a substantial portion of their products are manufactured. These tariffs have already increased product costs and could further impact net revenues, gross margin, and profitability if mitigation strategies such as adjusting sourcing countries or renegotiating supplier terms prove ineffective. Additionally, potential inspections by U.S. Customs and Border Protection and challenges related to import classifications could lead to material delays and unexpected liabilities. The uncertainty surrounding international trade agreements and potential trade wars further complicates the company’s ability to predict and manage these risks effectively.
The average FIGS stock price target is $6.35, implying 2.09% upside potential.
To learn more about FIGS, Inc.’s risk factors, click here.