Figma (NYSE:FIG) Trading Down 5.4% - Time to Sell?

Key Points

• Figma's stock price has dropped 5.4% to $66.52, significantly below its previous close of $70.28, with trading volume decreasing by 80% from average levels.
• Equities analysts have mixed reviews on Figma, with an average consensus rating of “Hold” and target prices ranging from $65 to $82, indicating uncertainty in the stock's future performance.
• Insider activity showed significant selling, with a director selling over 3 million shares, resulting in a 79.78% decrease in their holdings and highlighting potential concerns for investors.

Figma, Inc. (NYSE:FIG - Get Free Report) shares traded down 5.4% during mid-day trading on Tuesday . The stock traded as low as $66.22 and last traded at $66.52. 2,430,050 shares traded hands during mid-day trading, a decline of 80% from the average session volume of 11,966,425 shares. The stock had previously closed at $70.28.

Analyst Ratings Changes

A number of equities analysts recently commented on the company. Morgan Stanley began coverage on Figma in a report on Monday, August 25th. They set an "equal weight" rating and a $80.00 target price for the company. JPMorgan Chase & Co. assumed coverage on Figma in a report on Monday, August 25th. They set a "neutral" rating and a $65.00 price objective for the company. Zacks Research raised Figma to a "hold" rating in a research report on Thursday, August 21st. Wolfe Research began coverage on Figma in a report on Monday, August 25th. They set a "peer perform" rating on the stock. Finally, Wells Fargo & Company started coverage on Figma in a research report on Monday, August 25th. They issued an "equal weight" rating and a $82.00 target price on the stock. Three equities research analysts have rated the stock with a Buy rating and seven have issued a Hold rating to the stock. According to data from MarketBeat.com, Figma has a consensus rating of "Hold" and an average target price of $74.29.

Figma Stock Down 7.5%

The stock has a market capitalization of $31.70 billion and a price-to-earnings ratio of 87.89.

Insider Activity at Figma

In other Figma news, Director Daniel H. Rimer sold 3,293,276 shares of the business's stock in a transaction on Friday, August 1st. The shares were sold at an average price of $31.52, for a total transaction of $103,804,059.52. Following the sale, the director directly owned 834,800 shares of the company's stock, valued at $26,312,896. The trade was a 79.78% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this hyperlink. Also, major shareholder Ventures Vi (Jersey) Lp Index sold 105,511 shares of the stock in a transaction on Friday, August 1st. The stock was sold at an average price of $31.52, for a total value of $3,325,706.72. Following the sale, the insider owned 834,800 shares of the company's stock, valued at approximately $26,312,896. This represents a 11.22% decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last 90 days, insiders have purchased 312,500 shares of company stock valued at $10,312,500 and have sold 19,617,451 shares valued at $618,294,215.

Figma Company Profile

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest and most accurate reporting. This story was reviewed by MarketBeat's editorial team prior to publication. Please send any questions or comments about this story to contact@marketbeat.com.