Figma (NYSE:FIG) Trading Up 10.1% – Here’s What Happened

Figma, Inc. (NYSE:FIG)’s stock price rose 10.1% during mid-day trading on Thursday . The company traded as high as $29.42 and last traded at $29.7590. 5,212,629 shares traded hands during trading, a decline of 71% from the average daily volume of 17,958,830 shares. The stock had previously closed at $27.03.

Analyst Ratings Changes

Several equities analysts have recently commented on the stock. JPMorgan Chase & Co. lowered their price target on shares of Figma from $45.00 to $42.00 and set a “neutral” rating on the stock in a report on Friday, May 15th. Oppenheimer reissued a “market perform” rating on shares of Figma in a research report on Thursday, June 25th. Piper Sandler restated an “overweight” rating and issued a $30.00 target price on shares of Figma in a research note on Thursday, June 25th. Stifel Nicolaus set a $25.00 target price on Figma in a research report on Friday, May 15th. Finally, Morgan Stanley set a $33.00 target price on Figma in a research report on Thursday, August 6th. Five research analysts have rated the stock with a Buy rating, eight have given a Hold rating and one has assigned a Sell rating to the company. According to MarketBeat, Figma has a consensus rating of “Hold” and an average target price of $32.56.

Figma Stock Up 12.7%

The company has a market cap of $13.86 billion and a price-to-earnings ratio of -8.33. The business has a 50-day simple moving average of $23.04 and a two-hundred day simple moving average of $22.70.

Figma (NYSE:FIG) last issued its quarterly earnings data on Wednesday, August 5th. The company reported $0.08 EPS for the quarter, beating analysts’ consensus estimates of ($0.22) by $0.30. Figma had a negative return on equity of 100.03% and a negative net margin of 123.15%.The business had revenue of $370.08 million for the quarter. During the same period in the prior year, the company posted $0.09 EPS. The business’s revenue was up 48.2% on a year-over-year basis. As a group, equities analysts anticipate that Figma, Inc. will post -0.75 earnings per share for the current year.

Insider Activity at Figma

In other news, CFO Praveer Melwani sold 381,288 shares of the business’s stock in a transaction on Wednesday, July 29th. The shares were sold at an average price of $25.13, for a total value of $9,581,767.44. Following the completion of the sale, the chief financial officer directly owned 1,725,716 shares in the company, valued at approximately $43,367,243.08. The trade was a 18.10% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, General Counsel Brendan Mulligan sold 18,213 shares of the company’s stock in a transaction on Wednesday, July 29th. The stock was sold at an average price of $25.00, for a total transaction of $455,325.00. Following the sale, the general counsel directly owned 951,571 shares of the company’s stock, valued at approximately $23,789,275. This represents a 1.88% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last 90 days, insiders have sold 1,355,912 shares of company stock valued at $33,728,264. 32.26% of the stock is owned by company insiders.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently bought and sold shares of the company. Greylock XIV GP LLC acquired a new position in Figma during the 2nd quarter worth $1,056,824,403,000. SC US Ttgp LTD. grew its position in shares of Figma by 5.8% in the first quarter. SC US Ttgp LTD. now owns 26,728,171 shares of the company’s stock valued at $565,034,000 after purchasing an additional 1,466,851 shares during the last quarter. a16z Capital Management L.L.C. bought a new position in shares of Figma in the third quarter worth about $842,687,000. JPMorgan Chase & Co. increased its stake in shares of Figma by 119.4% in the fourth quarter. JPMorgan Chase & Co. now owns 6,643,939 shares of the company’s stock worth $248,284,000 after purchasing an additional 3,615,198 shares during the period. Finally, Viking Global Investors LP acquired a new position in shares of Figma during the 4th quarter worth about $214,967,000.

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.