Figma (NYSE:FIG) Stock Price Up 5.4% - Still a Buy?

Key Points

• Price jump: Figma shares rose 5.4% to about $22.24 mid-day on Thursday amid thin volume (5.1M vs. avg. 14.4M), trading well below its 50‑day ($26.32) and 200‑day ($39.00) moving averages and with a market cap near $9.5B.
• Earnings mix: Figma reported EPS of $0.08 (beating the -$0.20 estimate) and revenue of $303.8M (+40.1% YoY), but remains unprofitable with a net margin of -121.87% and negative ROE.
• Analyst and insider signal: The consensus rating is a Hold (consensus target $43.25) after several recent target cuts, while insider activity is mixed—CTO Kris Rasmussen sold ~205k shares and a director bought ~912k shares; insiders own 45.2% of the stock.

Figma, Inc. (NYSE:FIG - Get Free Report) shares were up 5.4% during mid-day trading on Thursday . The stock traded as high as $22.42 and last traded at $22.2380. Approximately 5,097,829 shares changed hands during trading, a decline of 65% from the average daily volume of 14,411,049 shares. The stock had previously closed at $21.09.

Analyst Upgrades and Downgrades

A number of analysts have recently issued reports on the company. Stifel Nicolaus lowered their price objective on Figma from $40.00 to $30.00 and set a "hold" rating on the stock in a research report on Thursday, February 19th. Royal Bank Of Canada lowered their price target on shares of Figma from $38.00 to $31.00 and set a "sector perform" rating on the stock in a report on Thursday, February 19th. The Goldman Sachs Group set a $35.00 price objective on shares of Figma in a research note on Thursday, February 19th. Wall Street Zen raised shares of Figma from a "sell" rating to a "hold" rating in a report on Sunday, February 8th. Finally, Oppenheimer assumed coverage on shares of Figma in a research note on Wednesday. They issued a "market perform" rating on the stock. Four analysts have rated the stock with a Buy rating, nine have given a Hold rating and one has assigned a Sell rating to the company. Based on data from MarketBeat, the stock has a consensus rating of "Hold" and a consensus price target of $43.25.

Figma Price Performance

The firm has a 50 day simple moving average of $26.32 and a 200-day simple moving average of $39.00. The stock has a market capitalization of $9.53 billion and a price-to-earnings ratio of -6.91.

Figma (NYSE:FIG - Get Free Report) last issued its earnings results on Wednesday, February 18th. The company reported $0.08 EPS for the quarter, beating the consensus estimate of ($0.20) by $0.28. Figma had a negative net margin of 121.87% and a negative return on equity of 97.03%. The company had revenue of $303.78 million for the quarter. The business's revenue was up 40.1% on a year-over-year basis.

Insider Activity at Figma

In other news, CTO Kris Rasmussen sold 205,438 shares of the firm's stock in a transaction that occurred on Tuesday, February 10th. The shares were sold at an average price of $25.01, for a total transaction of $5,138,004.38. Following the completion of the sale, the chief technology officer owned 10,418,905 shares of the company's stock, valued at approximately $260,576,814.05. This trade represents a 1.93% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is accessible through this link. Also, Director Andrew Phillips Reed bought 912,749 shares of the business's stock in a transaction dated Monday, February 23rd. The stock was purchased at an average price of $24.30 per share, with a total value of $22,179,800.70. Following the purchase, the director directly owned 1,466,852 shares of the company's stock, valued at $35,644,503.60. The trade was a 164.73% increase in their position. The SEC filing for this purchase provides additional information. Insiders sold 1,616,377 shares of company stock valued at $49,751,858 in the last ninety days. Insiders own 45.20% of the company's stock.

Institutional Investors Weigh In On Figma

Large investors have recently bought and sold shares of the business. Whittier Trust Co. of Nevada Inc. bought a new position in Figma in the 3rd quarter valued at $26,000. NewEdge Advisors LLC bought a new stake in shares of Figma during the third quarter worth $26,000. DV Equities LLC acquired a new stake in shares of Figma in the fourth quarter valued at $26,000. Concord Wealth Partners increased its stake in shares of Figma by 1,446.8% in the fourth quarter. Concord Wealth Partners now owns 727 shares of the company's stock valued at $27,000 after buying an additional 680 shares in the last quarter. Finally, Harbour Investments Inc. raised its holdings in shares of Figma by 1,568.2% in the fourth quarter. Harbour Investments Inc. now owns 734 shares of the company's stock valued at $27,000 after buying an additional 690 shares during the last quarter.

Figma Company Profile

Figma is a San Francisco–based software company that offers a web-based platform for interface design, prototyping and collaboration. Its flagship product, Figma, enables teams to create and refine user interfaces, vector graphics and design systems directly in a browser, eliminating the need for local installations. The platform's real-time collaboration features allow multiple stakeholders—designers, developers and product managers—to edit and comment simultaneously, streamlining workflows and reducing version control issues.

In addition to its core design tool, Figma provides FigJam, a digital whiteboarding solution that facilitates brainstorming sessions, wireframing and diagramming.

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