Figure Technology Solutions, Inc. Class A (FIGR) AI Stock Analysis

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Figure Technology Solutions, Inc. Class A

(NASDAQ:FIGR)

Select Model

Rating:71Outperform

Price Target:$25.00▲(3.35% Upside)

Action:reiterated

Date:10/15/26

The score is primarily supported by strong financial performance improvement (profitability and leverage) and a constructive earnings call with confident volume guidance and strong EBITDA growth/margins. These positives are tempered by weak technicals (price below all major moving averages with bearish momentum) and only moderate valuation support (P/E ~24.8 and no dividend).

Positive Factors

Strong Revenue and Profit GrowthThe sharp improvement in revenue and profitability shows that Figure is scaling its platform while converting growth into substantial earnings. High gross margins and stronger net income can support reinvestment, reinforce competitive positioning, and provide durable operating leverage over the coming quarters.

Negative Factors

Earnings and Cash-Flow VolatilityThe uneven history makes the latest earnings surge less predictable and raises questions about how consistently profits can be reproduced across market conditions. Prior negative operating cash flow despite reported profitability also indicates that earnings conversion has not yet been consistently dependable.

Figure Technology Solutions, Inc. Class A (FIGR) vs. SPDR S&P 500 ETF (SPY)

Market Cap: $4.49B
Dividend Yield: ―
Average Volume (3M): 4.99M
Price to Earnings (P/E): 27.5
Beta (1Y): 1.83
Revenue Growth: ―
EPS Growth: ―
Country: US
Employees: 602
Sector: General
Sector Strength: 55
Industry: Financial - Capital Markets

Figure Technology Solutions, Inc. Class A Business Overview & Revenue Model

Company Description

Figure Technology Solutions, Inc. specializes in creating and operating advanced blockchain-based platforms, primarily serving the consumer finance industry. The company provides a comprehensive suite of distributed ledger technology solutions design...

How the Company Makes Money

Figure Technology Solutions, Inc. generates revenue primarily by providing technology and related services that support the origination, servicing, funding, and securitization of financial assets on its platform. Key revenue streams can include: (1)...

Figure Technology Solutions, Inc. Class A Earnings Call Summary

Earnings Call Date:Aug 13, 2026(Q2-2026)|% Change Since:-21.15%|Next Earnings Date:Mar 04, 2027

Earnings Call SentimentPositive

The call presented a strongly positive operational and financial story: very large top-line growth (CLM volume +132% YoY), rapid and broad partner adoption (489 partners, Figure Connect at 65% mix), improving unit economics (adjusted EBITDA +126% YoY and 55% margin), and strengthening capital markets execution and credit metrics. Key near-term challenges center on take-rate pressure driven by strategic mix shift into the lower-take-rate, capital-light Figure Connect channel, volatility in gain-on-sale from higher interest rates, and temporary margin dilution from retained loans to support Democratized Prime. Management provided clear growth drivers (Connect, Democratized Prime, Kiavi acquisition, AI and stablecoin-led operational improvements) and guidance that reflects confidence in Q3 volumes. Overall, positives materially outweigh the cited headwinds, which are largely strategic mix or macro-rate driven and accompanied by supporting profitability and credit-strength trends.

Positive Updates

Record Consumer Loan Marketplace Volume

CLM volume of $4.3 billion in Q2, up 132% year-over-year (from $1.8B) and 4% above the top end of guidance; application volumes surpassed $1.0 billion per week in early July, indicating continued momentum into Q3.

Negative Updates

Take Rate Pressure

Net take rate was 3.6% (within the 3.5%–4% guide but at the low end); management expects take rate to remain toward the bottom of the guided range in Q3 due to mix shift into Figure Connect (which has a lower take rate), higher interest rates hurting gain-on-sale, and faster growth in lower-take-rate first-lien volume (first-lien volume grew ~3x YoY).

Company Guidance

Management guided Q3 consumer loan marketplace (CLM) volume of $4.8B–$5.2B (midpoint ≈ $5.0B), citing July actuals of $1.7B and historical Aug/Sep seasonality that points to the midpoint; they expect the net take rate to stay near the low end of the 3.5%–4% range (Q2 take rate 3.6%) and reiterated that Figure Connect will keep scaling. They reiterated medium‑term targets of ~60% EBITDA margin (Q2 adjusted EBITDA $119M, margin 55%; excl. a $5.9M gain margin ≈52%), said Figure Connect was 65% of CLM in Q2 (up from 56% last quarter and 42% a year ago) and likely to approach ~70% medium‑term, announced Kiavi closing in H2/end‑2026 (expected to add ~40% to volume and ~$100M of EBITDA with <4‑year unlevered payback) financed in part by a $600M senior note at 8.5%, and noted balance‑sheet posture with $1.44B cash, roughly $600M loans on balance sheet (≈$360M retained to support Democratized Prime), Democratized Prime matched offers $392M and $170M of third‑party assets.

Figure Technology Solutions, Inc. Class A Financial Statement Overview

Summary

Strong 2025 income statement step-up (revenue +78.7% YoY, net margin ~26%) and materially improved leverage profile (debt-to-equity ~0.13) support a high score. The main offsets are meaningful multi-year volatility (loss in 2023, modest profitability in 2024, sharp jump in 2025) and uneven cash-flow quality (OCF negative in 2023–2024 before turning positive in 2025).

Income Statement

86Very Positive

Balance Sheet

80Positive

Cash Flow

55Neutral

Financial statement breakdown
Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023
Income Statement
Total Revenue	713.33M	457.21M	279.31M	166.89M
Gross Profit	620.51M	359.65M	257.74M	148.17M
EBITDA	275.32M	178.80M	95.62M	16.24M
Net Income	237.13M	133.86M	17.21M	-47.94M
Balance Sheet
Total Assets	3.02B	2.32B	1.16B	660.07M
Cash, Cash Equivalents and Short-Term Investments	1.44B	1.36B	365.12M	122.41M
Total Debt	1.47B	946.69M	688.59M	414.99M
Total Liabilities	1.60B	1.08B	796.20M	437.64M
Stockholders Equity	1.41B	1.23B	355.10M	217.07M
Cash Flow
Free Cash Flow	-4.08B	41.92M	-152.64M	-46.13M
Operating Cash Flow	-4.07B	62.57M	-136.01M	-28.87M
Investing Cash Flow	3.73B	-61.27M	-30.86M	-22.11M
Financing Cash Flow	1.65B	918.04M	336.12M	65.79M

Figure Technology Solutions, Inc. Class A Technical Analysis

Technical Analysis SentimentNeutral

Last Price24.19

Price Trends

50DMA28.71Negative

100DMA29.97Negative

200DMA32.55Negative

Market Momentum

MACD-1.45Negative

RSI47.30Neutral

STOCH86.93Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For FIGR, the sentiment is Neutral. The current price of 24.19 is above the 20-day moving average (MA) of 23.73, below the 50-day MA of 28.71, and below the 200-day MA of 32.55, indicating a neutral trend. The MACD of -1.45 indicates Negative momentum. The RSI at 47.30 is Neutral, neither overbought nor oversold. The STOCH value of 86.93 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for FIGR.

Figure Technology Solutions, Inc. Class A Risk Analysis

Figure Technology Solutions, Inc. Class A disclosed 124 risk factors in its most recent earnings report. Figure Technology Solutions, Inc. Class A reported the most risks in the "Finance & Corporate" category.

Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy

Latest Risks Added

0 New Risks

Figure Technology Solutions, Inc. Class A Peers Comparison

Overall Rating

UnderperformOutperform

Sector (55)

Financial Indicators

FIGR against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
FIGR	71Outperform	$5.24B	27.46	18.59%	―	―	―
Sector *	55Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%
CIFR	49Neutral	$2.98B	-2.55	-161.74%	―	-29.24%	-1320.03%
BTCS	48Neutral	$49.75M	-0.38	-104.28%	―	120.96%	-120.89%
ABTC	47Neutral	$373.58M	-4.47	-10.23%	―	281.42%	88.95%
BTBT	36Underperform	$263.51M	-0.92	-46.72%	―	23.36%	-150.86%

* General Sector Average

Performance Comparison

FIGR and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
FIGR	Figure Technology Solutions, Inc. Class A	24.19	-10.40	-30.07%
BTCS	Btcs Inc	0.94	-1.75	-65.06%
ABTC	American Bitcoin Corp.	5.30	-65.80	-92.55%
BTBT	Bit Digital, Inc.	0.79	-1.73	-68.49%
CIFR	Cipher Digital Inc.	7.11	-7.82	-52.38%

Figure Technology Solutions, Inc. Class A Corporate Events

Business Operations and StrategyM&A TransactionsPrivate Placements and Financing

Figure Technology Closes $590 Million Kiavi Acquisition

Positive

Sep 1, 2026

On September 1, 2026, Figure Technology Solutions, Inc. completed its acquisition of Kiavi, Inc., merging its wholly owned subsidiary into Kiavi, which now operates as a wholly owned subsidiary of Figure. The company paid approximately $590 million i...

Glossary

BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.

Date of analysis: Oct 15, 2026

Figure Technology Solutions, Inc. Class A AI Stock Analysis