Royal Bank Of Canada Lowers Figma (NYSE:FIG) Price Target to $28.00

Key Points

• Royal Bank of Canada cut its price target on Figma from $31 to $28 while keeping a sector perform rating, implying about 23.9% upside from the current price.
• Other analysts have also turned more cautious, with several recent target cuts or neutral/hold ratings; MarketBeat shows Figma now has a consensus Hold rating and an average target of $41.50.
• Figma’s latest quarter beat expectations, posting $0.10 EPS versus a loss estimate and 46.1% year-over-year revenue growth, but the company remains unprofitable and insiders have sold shares in recent months.

Figma (NYSE:FIG - Get Free Report) had its price objective dropped by equities research analysts at Royal Bank Of Canada from $31.00 to $28.00 in a report issued on Friday,Benzinga reports. The firm currently has a "sector perform" rating on the stock. Royal Bank Of Canada's target price indicates a potential upside of 23.92% from the stock's current price.

Other equities research analysts also recently issued research reports about the company. Stifel Nicolaus decreased their price objective on Figma from $40.00 to $30.00 and set a "hold" rating for the company in a report on Thursday, February 19th. Wall Street Zen raised Figma from a "sell" rating to a "hold" rating in a research report on Sunday, February 8th. Oppenheimer initiated coverage on Figma in a research report on Wednesday, March 25th. They issued a "market perform" rating for the company. BTIG Research started coverage on Figma in a research note on Monday, April 13th. They set a "neutral" rating on the stock. Finally, Piper Sandler reiterated an "overweight" rating and issued a $30.00 target price (down from $35.00) on shares of Figma in a research note on Friday. Four research analysts have rated the stock with a Buy rating, ten have given a Hold rating and one has assigned a Sell rating to the company. Based on data from MarketBeat.com, the stock presently has a consensus rating of "Hold" and a consensus target price of $41.50.

Figma Price Performance

FIG opened at $22.60 on Friday. Figma has a fifty-two week low of $16.60 and a fifty-two week high of $142.92. The firm has a market capitalization of $10.04 billion and a price-to-earnings ratio of -7.17. The company's 50 day moving average price is $21.70 and its two-hundred day moving average price is $30.03.

Figma (NYSE:FIG - Get Free Report) last released its quarterly earnings data on Thursday, May 14th. The company reported $0.10 earnings per share for the quarter, beating the consensus estimate of ($0.17) by $0.27. The company had revenue of $333.44 million during the quarter. Figma had a negative net margin of 121.87% and a negative return on equity of 97.03%. The company's quarterly revenue was up 46.1% on a year-over-year basis. As a group, equities research analysts predict that Figma will post -0.69 EPS for the current year.

Insider Buying and Selling at Figma

In related news, General Counsel Brendan Mulligan sold 4,817 shares of the firm's stock in a transaction dated Monday, March 16th. The shares were sold at an average price of $26.30, for a total transaction of $126,687.10. Following the completion of the sale, the general counsel owned 825,644 shares in the company, valued at approximately $21,714,437.20. This trade represents a 0.58% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is accessible through this link. Also, CAO Tyler Herb sold 1,678 shares of Figma stock in a transaction dated Tuesday, March 3rd. The stock was sold at an average price of $28.47, for a total transaction of $47,772.66. Following the completion of the sale, the chief accounting officer directly owned 188,913 shares in the company, valued at approximately $5,378,353.11. This represents a 0.88% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders sold a total of 745,697 shares of company stock valued at $22,665,009 in the last ninety days. 45.20% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On Figma

A number of hedge funds have recently modified their holdings of the stock. CoreCap Advisors LLC bought a new position in Figma during the third quarter valued at $57,000. Sumitomo Mitsui Trust Group Inc. purchased a new position in shares of Figma during the 3rd quarter valued at $11,075,000. Rakuten Securities Inc. bought a new position in shares of Figma during the 3rd quarter worth $155,000. Harel Insurance Investments & Financial Services Ltd. purchased a new stake in Figma in the 3rd quarter worth about $78,000. Finally, Rakuten Investment Management Inc. bought a new stake in Figma in the 3rd quarter valued at about $4,425,000.

Key Figma News

Here are the key news stories impacting Figma this week:

• Positive Sentiment: Figma beat Q1 earnings and revenue estimates, with revenue up 46.1% year over year and management pointing to stronger customer expansion and heavier platform usage.
• Positive Sentiment: The company raised its fiscal 2026 revenue outlook and boosted non-GAAP operating income guidance, reinforcing the case that AI-driven monetization is gaining traction.
• Positive Sentiment: Several reports highlighted “surging” demand and improved enterprise adoption, which helped drive premarket strength in the stock.
• Neutral Sentiment: Piper Sandler reaffirmed an overweight rating and set a $30 target, while Morgan Stanley lowered its target to $38 and kept an equal-weight rating, reflecting constructive but more cautious expectations.
• Negative Sentiment: Despite the strong quarter, Figma remains unprofitable on a net basis, and some commentary noted lingering questions around costs, valuation, and how durable the AI growth narrative will be.

About Figma

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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