Short Interest in Figma, Inc. (NYSE:FIG) Rises By 38.0%

Key Points

• Short interest in Figma surged 38.0% in March to 39,178,334 shares, equal to about 16.2% of the company's shares and a short-interest ratio of 2.7 days.
• Insiders have been net sellers—CEO Dylan Field sold 250,000 shares for $7.7M and insiders sold 1,066,311 shares over the last 90 days—though insiders still own 45.20% of the stock.
• Shares trade around $20.39 (52-week high $142.92), after a quarter with revenue up 40.1% YoY but a deeply negative net margin (-121.87%); the analyst consensus is a Hold with an average price target of $43.25.

Figma, Inc. (NYSE:FIG - Get Free Report) was the target of a large increase in short interest in the month of March. As of March 31st, there was short interest totaling 39,178,334 shares, an increase of 38.0% from the March 15th total of 28,393,433 shares. Based on an average daily trading volume, of 14,427,576 shares, the short-interest ratio is currently 2.7 days. Approximately 16.2% of the company's shares are short sold.

Wall Street Analyst Weigh In

FIG has been the subject of several analyst reports. Piper Sandler reissued an "overweight" rating and issued a $35.00 price target on shares of Figma in a research note on Thursday, February 19th. Barclays upgraded shares of Figma to a "neutral" rating in a report on Thursday, January 8th. BTIG Research started coverage on shares of Figma in a report on Monday. They issued a "neutral" rating on the stock. Stifel Nicolaus decreased their price objective on shares of Figma from $40.00 to $30.00 and set a "hold" rating on the stock in a report on Thursday, February 19th. Finally, Oppenheimer started coverage on shares of Figma in a report on Wednesday, March 25th. They issued a "market perform" rating on the stock. Four investment analysts have rated the stock with a Buy rating, ten have assigned a Hold rating and one has issued a Sell rating to the stock. According to data from MarketBeat.com, the stock has an average rating of "Hold" and an average price target of $43.25.

Figma Price Performance

Shares of FIG stock traded up $1.97 during trading hours on Wednesday, hitting $20.39. The company had a trading volume of 18,264,899 shares, compared to its average volume of 13,730,261. The stock has a market capitalization of $9.00 billion and a PE ratio of -6.54. Figma has a fifty-two week low of $17.65 and a fifty-two week high of $142.92. The company's fifty day moving average is $24.17 and its 200 day moving average is $35.38.

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

Insiders Place Their Bets

In other news, CEO Dylan Field sold 250,000 shares of the stock in a transaction that occurred on Thursday, February 26th. The shares were sold at an average price of $30.80, for a total value of $7,700,000.00. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, CAO Tyler Herb sold 1,678 shares of the stock in a transaction that occurred on Tuesday, March 3rd. The shares were 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 of the company's stock, valued at approximately $5,378,353.11. This trade represents a 0.88% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Over the last 90 days, insiders have sold 1,066,311 shares of company stock worth $30,707,589. 45.20% of the stock is currently owned by company insiders.

Institutional Investors Weigh In On Figma

A number of hedge funds have recently added to or reduced their stakes in FIG. Voya Investment Management LLC acquired a new stake in Figma during the 3rd quarter worth approximately $3,412,000. VERITY Wealth Advisors acquired a new stake in Figma during the 3rd quarter worth approximately $519,000. Tripletail Wealth Management LLC acquired a new stake in Figma during the 3rd quarter worth approximately $53,000. Renaissance Capital LLC purchased a new stake in shares of Figma in the 3rd quarter valued at approximately $2,439,000. Finally, SOA Wealth Advisors LLC. purchased a new stake in shares of Figma in the 3rd quarter valued at approximately $39,000.

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.