Figure Technology Shares Rise on Bank of America Upgrade, Price Target Hike

Shares of Figure Technology Solutions Ltd. (NASDAQ: FIGR) gained 4.8% in pre-market trading on Wednesday following an upgrade from Bank of America Securities. The firm raised its rating on the stock to "Neutral" from a previous "Underperform."

The Upgrade

Bank of America analyst Craig Siegenthaler raised the price target for Figure Technology to $49.00 from $31.00. The primary driver for the revised outlook is the accelerating revenue growth momentum from Figure Connect, the company's native blockchain-based lending marketplace.

In conjunction with the upgrade, BofA Securities increased its target valuation multiple for the company from 17.5x to 25x, citing an improved revenue growth outlook for 2028.

Strong Fundamentals

The analyst note highlighted several key performance metrics that support the more optimistic view:

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• In the second quarter of 2026, Figure Technology reported a 132% year-over-year increase in business volume.
• The Figure Connect platform's contribution to total volume grew significantly, rising to 65% from 42% a year earlier.
• The company expanded its network by adding 102 new partners during the quarter, a 26% sequential increase.

Outlook and Context

Figure Technology projects a 16% sequential increase in volume for the third quarter of 2026. The company's volume in July reached $1.7 billion, which translates to a quarterly run rate of approximately $5.1 billion. This guidance does not yet include the impact of its acquisition of Kiavi, which is anticipated to contribute an additional $7 billion to total volume.

Bank of America stated that its previous "Underperform" rating, initiated in January 2026, was primarily based on valuation concerns. The firm now notes that these concerns have "substantially subsided" as the company's business fundamentals continue to strengthen.