Figma (NYSE:FIG) Shares Down 4.7% – Time to Sell?

Figma, Inc. (NYSE:FIG)’s stock price dropped 4.7% on Monday . The company traded as low as $27.34 and last traded at $27.4520. Approximately 2,774,589 shares traded hands during trading, a decline of 85% from the average session volume of 18,007,268 shares. The stock had previously closed at $28.82.

Analyst Upgrades and Downgrades

A number of research analysts have recently issued reports on the stock. Morgan Stanley set a $33.00 price target on shares of Figma in a research report on Thursday, August 6th. Citigroup lifted their target price on shares of Figma from $35.00 to $37.00 and gave the stock a “buy” rating in a research note on Friday, August 7th. Royal Bank Of Canada restated a “sector perform” rating on shares of Figma in a report on Thursday, August 6th. Bank of America upped their price target on shares of Figma from $30.00 to $33.00 and gave the company a “buy” rating in a research report on Wednesday, August 19th. Finally, JPMorgan Chase & Co. lowered their price objective on Figma from $45.00 to $42.00 and set a “neutral” rating for the company in a research report on Friday, May 15th. Five equities research analysts have rated the stock with a Buy rating, eight have issued a Hold rating and one has given a Sell rating to the company’s stock. Based on data from MarketBeat, the stock has an average rating of “Hold” and a consensus price target of $32.56.

Figma Trading Down 4.2%

The company has a market cap of $12.57 billion and a price-to-earnings ratio of -7.59. The firm’s 50-day moving average price is $23.47 and its 200 day moving average price is $22.80.

Figma (NYSE:FIG) last released its earnings results on Wednesday, August 5th. The company reported $0.08 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of ($0.22) by $0.30. The company had revenue of $370.08 million for the quarter. Figma had a negative net margin of 123.15% and a negative return on equity of 100.03%. The firm’s revenue was up 48.2% on a year-over-year basis. During the same quarter in the previous year, the firm earned $0.09 EPS. Analysts forecast that Figma, Inc. will post -0.75 earnings per share for the current fiscal year.

Insiders Place Their Bets

In other news, CRO Shaunt Voskanian sold 30,000 shares of the company’s stock in a transaction that occurred on Wednesday, August 5th. The stock was sold at an average price of $27.91, for a total transaction of $837,300.00. Following the transaction, the executive directly owned 1,698,620 shares of the company’s stock, valued at $47,408,484.20. This represents a 1.74% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CAO Tyler Herb sold 1,840 shares of the stock in a transaction on Friday, August 21st. The stock was sold at an average price of $27.14, for a total value of $49,937.60. Following the completion of the transaction, the chief accounting officer owned 254,640 shares in the company, valued at approximately $6,910,929.60. This represents a 0.72% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold a total of 1,179,632 shares of company stock worth $29,315,186 over the last three months. Insiders own 32.26% of the company’s stock.

Institutional Inflows and Outflows

A number of hedge funds have recently made changes to their positions in the business. Greylock XIV GP LLC bought a new position in shares of Figma in the second quarter valued at approximately $1,056,824,403. a16z Capital Management L.L.C. purchased a new stake in Figma in the 3rd quarter valued at $842,687,000. Viking Global Investors LP purchased a new stake in Figma in the 4th quarter valued at $214,967,000. Durable Capital Partners LP bought a new position in Figma during the 3rd quarter valued at $278,510,000. Finally, Thrive Capital Management LLC bought a new position in Figma during the 3rd quarter valued at $228,034,000.

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.