Figma (NYSE:FIG) Stock Price Down 5.7% – Here’s What Happened

Figma, Inc. (NYSE:FIG) dropped 5.7% during mid-day trading on Tuesday . The stock traded as low as $22.80 and last traded at $22.6590. 3,864,376 shares were traded during trading, a decline of 78% from the average daily volume of 17,467,949 shares. The stock had previously closed at $24.02.

Wall Street Analysts Forecast Growth

FIG has been the subject of several recent analyst reports. Piper Sandler reissued an “overweight” rating and issued a $30.00 price target on shares of Figma in a report on Thursday, June 25th. Oppenheimer reaffirmed a “market perform” rating on shares of Figma in a report on Thursday, June 25th. Bank of America began coverage on Figma in a research report on Tuesday, July 7th. They issued a “buy” rating and a $30.00 price objective for the company. Weiss Ratings reissued a “sell (e+)” rating on shares of Figma in a report on Tuesday, May 19th. Finally, Stifel Nicolaus set a $25.00 target price on shares of Figma in a research report on Friday, May 15th. Five analysts have rated the stock with a Buy rating, ten have assigned a Hold rating and one has assigned a Sell rating to the stock. According to data from MarketBeat, Figma presently has an average rating of “Hold” and an average target price of $32.67.

Figma Stock Performance

The stock’s 50-day moving average price is $21.39 and its 200-day moving average price is $23.63. The company has a market capitalization of $9.59 billion and a price-to-earnings ratio of -6.27.

Figma (NYSE:FIG) last released its quarterly earnings results on Thursday, May 14th. The company reported $0.10 earnings per share for the quarter, topping analysts’ consensus estimates of ($0.17) by $0.27. Figma had a negative return on equity of 98.51% and a negative net margin of 123.83%.The business had revenue of $333.44 million for the quarter. The business’s quarterly revenue was up 46.1% on a year-over-year basis. Analysts anticipate that Figma, Inc. will post -0.79 earnings per share for the current year.

Insider Buying and Selling

In related news, CRO Shaunt Voskanian sold 8,629 shares of the business’s stock in a transaction dated Monday, July 6th. The shares were sold at an average price of $20.62, for a total value of $177,929.98. Following the sale, the executive directly owned 1,764,672 shares in the company, valued at $36,387,536.64. The trade was a 0.49% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO Praveer Melwani sold 30,460 shares of the stock in a transaction dated Monday, July 6th. The shares were sold at an average price of $20.48, for a total transaction of $623,820.80. Following the completion of the sale, the chief financial officer directly owned 1,711,526 shares in the company, valued at approximately $35,052,052.48. The trade was a 1.75% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold 733,309 shares of company stock valued at $17,824,756 in the last three months. 32.26% of the stock is owned by insiders.

Institutional Trading of Figma

Institutional investors and hedge funds have recently modified their holdings of the business. Gladstone Capital Management LLP grew its holdings in Figma by 2.9% during the 4th quarter. Gladstone Capital Management LLP now owns 17,081 shares of the company’s stock valued at $638,000 after buying an additional 481 shares during the last quarter. NewEdge Advisors LLC purchased a new position in Figma during the third quarter worth $26,000. Wilmington Savings Fund Society FSB acquired a new position in shares of Figma in the third quarter worth $27,000. Charles Schwab Investment Management Inc. raised its holdings in shares of Figma by 3.8% in the fourth quarter. Charles Schwab Investment Management Inc. now owns 15,212 shares of the company’s stock worth $568,000 after acquiring an additional 559 shares during the last quarter. Finally, Sunbelt Securities Inc. purchased a new stake in shares of Figma in the third quarter valued at $30,000.

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.