Figma (NYSE:FIG) Shares Gap Down on Disappointing Earnings

Key Points

• Figma's shares gapped down by over 18.9% after reporting a quarterly earnings miss, with EPS at ($0.07) compared to the consensus estimate of $0.08.
• Several analysts have issued mixed ratings for Figma, with a consensus rating of "Hold" and an average price target of $67.43.
• Insider trading activity included the sale of a significant number of shares by Director Mamoon Amjad Hamid and by major shareholder Ventures Vi, indicating a notable decrease in their ownership stakes.

Figma, Inc. (NYSE:FIG - Get Free Report)'s stock price gapped down before the market opened on Thursday following a dissappointing earnings announcement. The stock had previously closed at $68.13, but opened at $55.90. Figma shares last traded at $53.30, with a volume of 11,597,832 shares.

The company reported ($0.07) EPS for the quarter, missing analysts' consensus estimates of $0.08 by ($0.15). The company had revenue of $249.64 million during the quarter, compared to analyst estimates of $248.97 million. Figma has set its FY 2025 guidance at EPS. Q3 2025 guidance at EPS.

Analyst Ratings Changes

Several equities research analysts recently commented on the company. Morgan Stanley dropped their target price on Figma from $80.00 to $70.00 and set an "equal weight" rating on the stock in a report on Thursday. Wells Fargo & Company reduced their price objective on Figma from $82.00 to $70.00 and set an "equal weight" rating for the company in a research report on Thursday. William Blair began coverage on Figma in a research report on Monday, August 25th. They set an "outperform" rating for the company. Bank of America reduced their price target on Figma from $85.00 to $69.00 and set a "buy" rating for the company in a research report on Thursday. Finally, Zacks Research raised Figma to a "hold" rating in a research note on Thursday, August 21st. Three analysts have rated the stock with a Buy rating and seven have issued a Hold rating to the company's stock. According to data from MarketBeat, Figma currently has a consensus rating of "Hold" and an average target price of $67.43.

Insiders Place Their Bets

In related news, major shareholder Ventures Vi (Jersey) Lp Index sold 3,187,765 shares of Figma stock in a transaction dated Friday, August 1st. The stock was sold at an average price of $31.52, for a total transaction of $100,478,352.80. Following the completion of the transaction, the insider owned 55,810,810 shares in the company, valued at approximately $1,759,156,731.20. This trade represents a 5.40% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, Director Daniel H. Rimer sold 3,293,276 shares of the business's stock in a transaction that occurred on Friday, August 1st. The shares were sold at an average price of $31.52, for a total value of $103,804,059.52. Following the completion of the sale, the director owned 834,800 shares of the company's stock, valued at approximately $26,312,896. This trade represents a 79.78% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last three months, insiders purchased 312,500 shares of company stock worth $10,312,500 and sold 19,617,451 shares worth $618,294,215. Company insiders own 45.20% of the company's stock.

Figma Trading Up 0.4%

The firm has a market capitalization of $22.46 billion and a PE ratio of 74.01.

About Figma

Figma is where teams come together to turn ideas into the world's best digital products and experiences. Every day, billions of people around the world use apps, websites, and other digital experiences that are made in Figma. They're looking up directions on Google Maps; requesting rides with Uber; checking in for flights on JetBlue; streaming shows on Netflix; learning languages with Duolingo; asking questions of Claude; connecting on LinkedIn; buying goods on Mercado Libre; or booking stays and experiences with Airbnb.