Figma's stock dips after 250% rise post IPO
Figma, the collaborative design software company, saw its stock soar 250% after its July 2024 IPO but has since dropped over 52% from those highs.
Shares launched at $33, valuing Figma at $19.3 billion—its market cap had reached $33.2 billion before the recent drop, but is set to fall to around $28.2 billion if premarket losses hold.
Figma's Q2 results beat expectations
Figma lets teams work together in real time to design websites and apps—think Google Docs for designers.
It's a major rival to Adobe and trades at much higher profit multiples than both Adobe and most of the S&P 500.
Despite the stock dip, Figma posted strong Q2 results with revenue up 41% year-on-year to $249.6 million, just edging past expectations.
Share lock-ups are ending this week
Only about 41% of Figma's shares are currently available for trading, making prices swingier than usual.
Employee share lock-ups are ending this week, which could add more shares into the mix; meanwhile, major venture capital investors won't be able to sell all their stakes until mid-2026 due to staggered lock-up agreements.