Analysts Set Figma Price Target at $62.86 Amid Market Activity

Figma, Inc. (NYSE:FIG) has received a consensus rating of “Hold” from analysts following the stock, with a 12-month price target set at $62.86. This assessment is based on reports from eleven analysts, which include one sell rating, seven hold ratings, and three buy ratings. The recent adjustments come as Figma’s stock has experienced fluctuations, opening at $44.58 on Friday.

On September 4, 2023, Bank of America revised its target price for Figma from $85.00 down to $69.00, maintaining a “buy” rating. Similarly, the Royal Bank of Canada lowered its price objective from $75.00 to $65.00, issuing a “sector perform” rating. Earlier, on August 21, Zacks Research upgraded Figma to a “hold” rating, while Wolfe Research initiated coverage with a “peer perform” rating on August 25. The Goldman Sachs Group also updated its price target from $49.00 to $54.00, assigning a “neutral” rating.

Recent Financial Performance

Figma recently announced its quarterly earnings results on November 5, 2023. The company reported earnings per share (EPS) of $0.10, significantly exceeding the consensus estimate of a loss of $1.56 by $1.66. Revenue for the quarter stood at $274.17 million, marking a 38% increase compared to the same period last year. Figma has set its fiscal year 2025 guidance without providing specific EPS figures for Q4 2025.

In the realm of insider trading, Chief Financial Officer Praveer Melwani sold 16,092 shares on November 3, 2023, at an average price of $48.17, totaling $775,151.64. Following this transaction, Melwani retains 1,637,450 shares valued at approximately $78.88 million. Similarly, Chief Accounting Officer Tyler Herb sold 3,133 shares for $150,916.61, resulting in a 1.37% decrease in his ownership.

Institutional Investor Activity

A number of institutional investors have recently adjusted their positions in Figma. Whittier Trust Co. of Nevada Inc. acquired a new stake valued at about $26,000 in the third quarter. Other notable transactions include SOA Wealth Advisors LLC, which invested approximately $39,000, and Tripletail Wealth Management LLC, with an investment of around $53,000. CoreCap Advisors LLC and North Star Investment Management Corp. also purchased stakes in the company, valued at approximately $57,000 and $62,000, respectively.

Figma is recognized for its role in enabling teams to collaborate on creating innovative digital products. The platform is integral to numerous applications and services used globally, from Google Maps to Netflix and Airbnb. As a result, the company remains a focal point in discussions surrounding digital design and collaboration tools.

As the market continues to evolve, Figma’s performance and the analysts’ assessments will be closely monitored by investors and stakeholders alike. With a solid revenue growth trajectory and ongoing interest from institutional investors, the company’s future appears to hold potential for further developments.