FIGS vs ZGN: Which Is the Better Buy in 2026?
Last updated August 2026
Short answer
ZGN is the larger of the two ($3.95B market cap): the incumbent the market prices for continued execution (22.92x forward earnings, beta 0.89). FIGS is the smaller challenger ($1.79B), actually pricier on forward earnings (33.31x): more room to run, but more to prove. The real question is which set of drivers you believe, and whether owning one (or both) leaves you over-concentrated.
FIGS vs ZGN: the tie-breaker metrics
Same yardstick, side by side (as of August 2026). Valuation lined up like this is most meaningful for two names in the same corner of the market, which these are. Figures are approximate; verify before investing.
| Metric | FIGS | ZGN | What it tells you |
|---|---|---|---|
| Market cap | $1.79B | $3.95B | Size. The larger name is the incumbent; the smaller has more room to grow and more to prove. |
| Forward P/E | 33.31 | 22.92 | Valuation on next year's expected earnings, the same yardstick for both. Lower is cheaper for that growth; higher means the market is paying up. |
| Trailing P/E | 48.64 | 33.43 | Valuation on the last 12 months. A big drop from trailing to forward means the market expects earnings to jump, so more growth is already in the price. |
| Beta | 1.01 | 0.89 | Volatility vs the market. Above 1 swings harder than the index; below 1 is steadier. Higher beta means bigger drawdowns to hold through. |
| Price vs 52-week range | 41% of range | 91% of range | Where today's price sits between the 52-week low and high. Near the high is momentum with less margin of safety; near the low is out of favor or a discount, depending on why. |
| Price / book | 4.14 | 3.37 | How much you pay over book value. Very high can signal an asset-light, high-return business or a rich price. |
Reading it: ZGN is the cheaper of the two on forward earnings, but cheaper is not the same as better. Pair the valuation with growth (how far the forward P/E sits below the trailing P/E) and risk (beta) before you decide.
Before you buy: how FIGS and ZGN affect your concentration
The metrics above tell you which is the marginally better business. The bigger risk for most people is not picking the slightly worse stock, it is over-concentrating. FIGS and ZGN share themes, so owning both, or adding either to what you already hold, can quietly push a large share of your portfolio into one bet.
This is the part a generic comparison page cannot answer, because it depends on what you own. Connect your brokerage and Walnut shows your real, combined FIGS and ZGN exposure, flags overlap with your existing positions, and tells you if adding one would tip you past a concentration you are comfortable with, read-only by default, with your login staying at your broker. Walnut is not an investment adviser.
What does FIGS (FIGS) do?
FIGS, Inc. is a healthcare apparel company that designs and sells premium medical scrubs and related products directly to healthcare professionals, mostly through its own website and app. The core product is scrubwear (tops and pants engineered for comfort, fit, and durability), supplemented by lab coats, underscrubs, outerwear, activewear, footwear, and accessories. FIGS built its business as a digitally native, direct-to-consumer brand: it markets to individual clinicians, cultivates repeat purchases and community, and captures the full retail margin by skipping traditional uniform-shop middlemen. That model let it take meaningful share of the branded scrub market and lead the premium, direct-to-consumer segment in the United States, while expanding internationally.
What does Ermenegildo Zegna Group (ZGN) do?
Ermenegildo Zegna Group is a vertically integrated Italian luxury company that designs, makes, and sells high-end menswear, fabrics, and accessories. Its portfolio spans three brands: the flagship ZEGNA (tailoring, leisurewear, and its own luxury textiles), Thom Browne (a fashion-forward American label), and TOM FORD FASHION (licensed apparel and accessories). The group is unusual in luxury for controlling much of its own supply chain, from wool sourcing and fabric mills to directly operated stores, and it went public on the NYSE in 2021 through a SPAC combination. The Zegna family, through its Monterubello holding company, remains the controlling shareholder with a roughly 60% stake.
FIGS vs ZGN: how do they differ?
Both fit overlapping themes, but they are not interchangeable. The useful comparison is which set of drivers and risks you want exposure to.
- FIGS drivers: Reaccelerating core scrubwear and repeat demand; Institutional B2B (TEAMS) channel.
- ZGN drivers: ZEGNA brand elevation and direct retail; Margin discipline and net cash balance sheet.
Which fits which kind of investor
A faster-growing, richer-valued name usually swings harder, so it suits a longer horizon and a higher tolerance for volatility; a steadier, more cash-generative business suits a more conservative or income-minded investor. The honest test is which set of risks you could hold through a drawdown: The central risk is that FIGS sells discretionary apparel in a competitive category. For ZGN, luxury demand is cyclical and sensitive to a slowdown in China, tourism flows, and wholesale channel health, and Zegna took a provision related to the Saks Global receivable that highlights US department-store risk.
FIGS or ZGN: which should you pick?
Growth-minded investors who believe the theme has years to run tend to accept the richer multiple for more upside; value-minded investors lean toward the cheaper forward earnings and steadier profile. Pick FIGS if you believe its drivers more; ZGN if you believe its. Many investors hold both, but since they share themes, that is a concentrated bet, not diversification. Decide deliberately and check overlap. For the full detail, see the FIGS and ZGN guides.
FIGS vs ZGN: the full fundamentals
FIGS. These figures are approximate and tied to the asOf date; verify live numbers before acting. FIGS is a small-cap consumer growth stock, so its valuation hinges on whether the recent reacceleration and the institutional channel prove durable rather than on any single quarter. Treat revenue-growth and margin trends as the key signals, and confirm the latest quarterly results and full-year guidance directly.
ZGN. As of July 2026, ZGN traded around $13-14 per share for a market cap near $3.6 billion, with a trailing P/E around 30x that reflects a premium luxury multiple on a business whose revenue was roughly flat but whose earnings grew about 20%. The FY2025 results (reported March 2026) showed margin expansion and a swing to net cash. The valuation prices in continued brand elevation, so it is sensitive to any deceleration in luxury demand.
Headline figures (approximate, Jul 2026): FIGS shows revenue trend Reaccelerating: FY2025 net revenues ~$631M (up ~13.6%), with Q4 2025 up ~33% and Q1 2026 up ~28% to ~$160M year over year, profitability Profitable and improving: FY2025 net income ~$34M with net margin ~5.4%; Q4 2025 net margin expanded to ~9%. Gross margins are high for apparel given the direct-to-consumer, own-brand model, growth guidance Company guided full-year 2026 net revenue growth of roughly 10% to 12% versus 2025, balance sheet / leverage Generally described as a cash-generative, low-debt balance sheet typical of an asset-light apparel brand; verify current cash and any debt live; ZGN shows revenue (fy2025) ~€1.92B (~$2.25B TTM), net profit (fy2025) ~€109M (up ~20% YoY), adjusted ebit (fy2025) ~€163M, gross margin (fy2025) ~67.5%.
The bottom line: FIGS vs ZGN
FIGS and ZGN are related but distinct: same themes, different businesses and risks. Neither wins in the abstract; the right pick is whichever thesis you actually believe, sized so you are not over-concentrated in one theme. Walnut can show your combined FIGS and ZGN exposure against your real portfolio. It is not an investment adviser.
Wondering how FIGS or ZGN fits the portfolio you already own? Walnut is an AI investing app that connects your brokerage read-only and answers questions like that about your actual holdings: overlap, concentration, and how each position tracks the S&P 500. Compare the best AI portfolio analyzers or see the best AI investing apps in 2026.
Investing in FIGS with AI
Connect the broker you already use and ask Walnut's AI how FIGS fits what you actually hold: whether you own it already through a fund, what it would do to your concentration, and how it has tracked the S&P 500. Read-only by default, and you approve anything before it reaches your broker.
FAQ
What is the difference between FIGS and ZGN?
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FIGS, Inc. Ermenegildo Zegna Group is a vertically integrated Italian luxury company that designs, makes, and sells high-end menswear, fabrics, and accessories. They show up together because they share investment themes, but they are different businesses, so the better fit depends on which thesis you are expressing.
Is FIGS or ZGN the better stock?
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Neither is universally better. ZGN is the larger incumbent; FIGS is the smaller challenger and looks pricier on forward earnings. Walnut is informational, not investment advice. Compare what each does, the tie-breaker metrics above, and the risks, then decide which fits your thesis and what you already own.
Which is cheaper, FIGS or ZGN?
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On forward P/E (as of August 2026), FIGS trades at 33.31x and ZGN at 22.92x, so ZGN is the cheaper of the two on next year's expected earnings. A lower multiple is not automatically the better buy: a richer valuation can be justified by faster growth, and a lower one can reflect real risk. Weigh the multiple against how fast each business is compounding.
Should you own both FIGS and ZGN?
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Because they share themes, owning both concentrates you in that theme. That can be intentional (a focused bet) or accidental (less diversification than it looks). Walnut can show your combined exposure across both, and whether adding either over-concentrates you, before you buy.
What are the risks of FIGS vs ZGN?
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FIGS: The central risk is that FIGS sells discretionary apparel in a competitive category. Scrubs face price competition from legacy uniform makers and a growing field of premium and value direct-to-consumer challengers, so market share and pricing power are never guaranteed. As a small-cap consumer stock, FIGS is sensitive to swings in discretionary spending, promotional intensity, freight and input costs, and inventory management, any of which can pressure margins. Growth has been uneven historically, so the recent reacceleration must prove durable rather than a one-off. The newer institutional (TEAMS) channel is still unproven at scale and carries different economics and sales cycles than direct-to-consumer. Founder-led governance and a dual-class-style ownership structure can concentrate control, and the stock has been volatile, trading well off its post-IPO highs. Any slowdown back toward low-single-digit growth would challenge the premium the market assigns a growth brand. ZGN: Luxury demand is cyclical and sensitive to a slowdown in China, tourism flows, and wholesale channel health, and Zegna took a provision related to the Saks Global receivable that highlights US department-store risk. Menswear is a narrower category than full-line luxury peers, and Thom Browne's recent double-digit decline shows brand-level volatility. Reported results are in euros while the stock trades in US dollars, so currency swings affect USD returns, and the roughly 60% family control plus a premium valuation mean minority holders have limited say and little valuation cushion if growth disappoints. A soft luxury cycle could pressure both revenue and the multiple at the same time.
Walnut is informational, not investment advice. This page is descriptive and not a recommendation to buy or sell FIGS or ZGN; figures are approximate and dated (as of August 2026). Verify current data before investing.