FIGS - Apparel stocks are taking off - why the sector looks appealing

Apparel stocks had a sneaky good week with big gains being churned up after sector earnings reports arrived strong. Notable gainers for the week included Under Armour (NYSE:UAA) +22.2%, FIGS (NYSE:FIGS) +8.7%, Hanesbrands (NYSE:HBI) +8.7%, Ralph Lauren (NYSE:RL) +8.5% and PVH (NYSE:PVH) +5.5%. The read in the footwear sector was equally promising for the week, with Wolverine World Wide (NYSE:WWW) +6.8%, Deckers Outdoors (NYSE:DECK) +5.8%, Crox (NASDAQ:CROX) +3.8% and Nike (NYSE:NKE) +3.2% all solidly higher for the five-day period. Many of the concerns over the impact of inflation on input costs for manufacturers are being tamped down a bit after the early Q2 reads. What could go right in the oft-overlooked apparel manufacturing sector? JPMorgan thinks secular health/wellness and casualization tailwinds set up well for companies like Under Armour, while there are also strong indications that back-to-school and back-to-work spending trends are positive even as Delta COVID-19 headlines dominate. Meanwhile,

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Apparel stocks are taking off - why the sector looks appealing