Figma, Inc.
$22.79
-6.2%Figma, Inc. develops a browser-based tool for designing user interfaces that helps design and development teams build various products. The company offers Figma Design, a collaborative design tool for teams that explore ideas and gather feedback, build realistic prototypes, and streamline product development with design systems; Dev Mode to inspect designs and translate them into code without changing the design file; FigJam to define ideas, align on decisions, and move work forwardall in one place; and Figma Slides, a presentation tool built for designers and their teams. It also provides Figma Draw to create expressive designs with illustration tools; Figma Buzz that publishes brand templates to create social media assets, display ads, one-pagers, and others; Figma Sites to design, prototype, and publish; and Figma Make, an AI tool to design and prompt way to a functional prototype. The company was incorporated in 2012 and is headquartered in San Francisco, California.
At a Glance
Live SnapshotIntrinsic Alpha Methodology
Thesis Lenses
Signal
Medium confidenceValuation multiple is compressed (P/E -9.3).
Valuation inputs: P/E -9.3, earnings yield N/A, momentum -6.2%.
If multiples stay elevated while momentum fades, downside repricing risk rises.
Driver
High confidenceReturn profile is soft (ROE -82.8%, ROIC -82.0%).
Profitability stack: net margin -1.2%, ROE -82.8%, ROIC -82.0%.
Quality deterioration often appears in margins before it shows up in headline EPS.
Risk
High confidenceRisk profile is balanced but has notable pressure points to monitor.
Risk factors: liabilities/assets +35.7%, momentum -6.2%, net margin -1.2%.
Higher leverage with weak momentum and thin margins can amplify drawdown severity.
Figma, Inc. Market vs Earnings Trajectory
Loading price and EPS data...
Figma, Inc. Fair Value Envelope
Figma, Inc. Profit Bridge
Profitability Analysis
Gross Margin
Exceptional pricing power and cost management. The company retains over half of revenue after direct costs.
Operating Margin
Operating losses indicate the core business is unprofitable. Requires restructuring or revenue growth.
Net Profit Margin
Net losses indicate the company is burning cash. Sustainability depends on path to profitability.
Profitability Insight
Margin squeeze alert: Healthy gross margins but weak operating margins suggest excessive operating expenses. Cost optimization could unlock significant value.
Figma, Inc. Cash Conversion Engine
Cash Flow Quality Analysis
FCF Conversion Rate
Negative free cash flow despite positive earnings raises concerns about cash generation ability or heavy capital requirements.
CapEx Intensity
Asset-light business model. Low capital requirements leave more cash available for shareholders and growth investments.
FCF Growth Trend
Strong FCF growth demonstrates improving cash generation and business momentum. Positive signal for sustainability.
Working Capital Impact
Working capital inflow boosted cash flow. Efficient management of receivables, inventory, and payables contributing positively.
Figma, Inc. Funding & Solvency Profile
Financial Health Analysis
Current Ratio
Excellent liquidity position. The company can easily cover its short-term obligations with substantial cushion.
Debt-to-Equity Ratio
Balanced capital structure with moderate leverage. Equity exceeds debt, suggesting healthy financial stability.
Working Capital
Strong working capital position provides significant operational flexibility and financial cushion.
Asset Composition
Asset-light business model with high liquidity. Majority of assets are easily convertible to cash.
Financial Health Insight
Strong financial foundation: Excellent liquidity combined with conservative leverage suggests the company is well-positioned to weather economic uncertainties and fund growth opportunities.
Figma, Inc. Street Expectations Map
Wall Street analysts project that FIG stock may rise significantly over the coming 12 months. The consensus 1-year price target stands at 33.00, with estimates ranging from a low of 25.00 to a high of 42.00.
The consensus 1-year price target stands at 33.00, with estimates ranging from a low of 25.00 to a high of 42.00.
Analyst Consensus Analysis
Upside Potential
Substantial upside potential. Analysts see significant value gap, suggesting the stock may be materially undervalued at current levels.
Analyst Agreement
Mixed analyst views. Wide target range suggests differing opinions on key value drivers, growth prospects, or risk factors.
Analyst Conviction
Bearish or uncertain outlook. Limited upside or poor consensus suggests challenges ahead or fundamental concerns.
Market Sentiment Insight
High risk, high reward: Substantial upside potential exists, but wide analyst disagreement signals execution risk or unclear catalysts. Thorough due diligence essential before committing capital.
Figma, Inc. Insider Positioning
During the last 12 months, insiders have purchased $21.17M and sold $52.10M worth of FIG shares, resulting in $30.93M of net selling activity.
3 Months
0
0.00
550.7K
13.78M
-13.8M
-$13.78M
3-6 Months
870.4K
21.17M
670.4K
19.66M
+1.5M
+$1.51M
6-9 Months
0
0.00
447.2K
18.65M
-18.7M
-$18.65M
9-12 Months
0
0.00
0
0.00
+0
+$0
Top Buyers
Reed Andrew Phillips
Director
$21.17M
Top Sellers
Rasmussen Kris
Officer: Chief Technology Officer
$25.36M
Field Dylan
Director, 10 Percent Owner, Officer: President & Ceo
$17.05M
Mulligan Brendan
Officer: General Counsel And Secretary
$2.91M
Voskanian Shaunt
Officer: Chief Revenue Officer
$2.60M
Melwani Praveer
Officer: Cfo And Treasurer
$2.35M
Insider Activity Analysis
Net Insider Sentiment
Negative insider sentiment with $30.93M net selling. Selling notably exceeds buying, warranting closer scrutiny of company fundamentals.
Buy/Sell Ratio
Weak buy/sell ratio. Selling significantly exceeds buying—monitor for potential fundamental concerns.
Recent Trend (3 Months)
Heavy recent selling activity. Recent insider sales notably exceed purchases—may warrant investigation into company developments.
Insider Participation
5 insider sellers vs. 1 buyers. Widespread selling across multiple insiders may signal concerns.
Insider Activity Insight
Multiple red flags: Heavy selling, numerous sellers, and continued recent selling create a concerning pattern. Investigate fundamental drivers and consider whether company guidance or industry conditions have deteriorated.
No Dividend Yield Data
FIG has not reported any dividend yield values in the available annual periods.
fig Dividend History
Learning Layer
Related Guides
Build conviction on FIG by pairing this stock hub with focused valuation guides.
Research Paths
Snapshot
Start with context, operating signals, and key market metrics.
Value Model
Stress test fair value across bear, base, and bull assumptions.
Statements
Validate revenue quality, margins, and balance sheet durability.
Earnings Call
Read management commentary and compare it with reported outcomes.
Dividends
Check payout sustainability and long-term distribution behavior.
Analyst Expectations
Review consensus spread and where estimate risk is concentrated.