Figure Technology Solutions shares moved higher in pre-market trading after a prominent Wall Street firm upgraded its view on the company. BofA Securities shifted its rating on the stock from Underperform to Neutral and lifted its price target to $49 from $31, prompting the early advance.
The bank anchored its revision in a higher valuation multiple, expanding its price-to-earnings assumption to 25 times from 17.5 times. BofA said the change reflects a substantially improved revenue growth outlook that extends through 2028.
At the core of BofA's altered outlook is the performance of Figure Connect, the firm's consumer credit marketplace. In the second quarter of 2026, the business unit represented 65% of total volumes and drove volume growth of 132% versus the prior year for the quarter. Those figures contributed to the bank's assessment that Figure's blockchain-native platform is securing more durable traction across both origination and secondary market activity.
The upgrade also coincides with a favorable shift in the analyst landscape for the company. According to the bank's note, the aggregate ratings mix among analysts now stands at six buy recommendations and a single sell, reflecting a material tilt toward bullish views.
Market context matters for interpreting the development. Major U.S. indices were trading lower at the time of the upgrade, with the S&P 500, Dow Jones, and Nasdaq all down. That Figure shares were able to post gains in the pre-market despite this broader caution suggests the lift was primarily a company-specific reaction to the BofA note rather than a reflection of positive macro momentum.
Investors will note that the stock still trades well under its 52-week high of $78, leaving a sizeable gap between current levels and the peak. The combination of a high-profile change in stance from one of Wall Street's large banks - including an 18-point increase to the price target - together with the strength in Figure Connect's reported volume metrics, provided an immediate catalyst for the pre-market move.
For market participants focused on fintech and consumer credit marketplaces, the episode highlights how forward-looking revenue assumptions and platform-level volume traction can materially alter valuation frameworks and near-term sentiment.