Figma (NYSE:FIG) Shares Gap Down Following Insider Selling

Figma, Inc. (NYSE:FIG)’s stock price gapped down before the market opened on Thursday following insider selling activity. The stock had previously closed at $21.67, but opened at $20.67. Figma shares last traded at $21.5440, with a volume of 2,338,521 shares changing hands.

Specifically, CRO Shaunt Voskanian sold 8,629 shares of the stock in a transaction that occurred on Monday, July 6th. The shares were sold at an average price of $20.62, for a total transaction of $177,929.98. Following the sale, the executive directly owned 1,764,672 shares of the company’s stock, valued at $36,387,536.64. This represents a 0.49% decrease in their ownership of the stock. The transaction 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, CFO Praveer Melwani sold 30,460 shares of the business’s stock in a transaction dated Monday, July 6th. The stock was sold at an average price of $20.48, for a total value of $623,820.80. Following the sale, the chief financial officer directly owned 1,711,526 shares of the company’s stock, valued at $35,052,052.48. This represents a 1.75% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan.

Analyst Upgrades and Downgrades

Several brokerages have recently issued reports on FIG. JPMorgan Chase & Co. reduced their target price on shares of Figma from $45.00 to $42.00 and set a “neutral” rating on the stock in a research note on Friday, May 15th. Citigroup began coverage on Figma in a research note on Wednesday, June 17th. They set a “buy” rating and a $36.00 price objective for the company. BTIG Research initiated coverage on shares of Figma in a research note on Monday, April 13th. They issued a “neutral” rating for the company. Morgan Stanley cut their target price on shares of Figma from $44.00 to $38.00 and set an “equal weight” rating on the stock in a report on Friday, May 15th. Finally, Oppenheimer reissued a “market perform” rating on shares of Figma in a research report on Thursday, June 25th. Five analysts have rated the stock with a Buy rating, ten have issued a Hold rating and one has assigned a Sell rating to the company’s stock. According to data from MarketBeat, Figma currently has a consensus rating of “Hold” and an average target price of $32.67.

Figma Stock Performance

The company has a 50-day moving average of $20.60 and a 200-day moving average of $24.71. The firm has a market capitalization of $9.58 billion and a price-to-earnings ratio of -6.27.

Figma (NYSE:FIG) last announced its earnings results on Thursday, May 14th. The company reported $0.10 EPS for the quarter, topping the consensus estimate of ($0.17) by $0.27. Figma had a negative net margin of 123.83% and a negative return on equity of 98.51%. The firm had revenue of $333.44 million for the quarter. The business’s quarterly revenue was up 46.1% on a year-over-year basis. As a group, analysts anticipate that Figma, Inc. will post -0.8 EPS for the current fiscal year.

Institutional Investors Weigh In On Figma

A number of hedge funds and other institutional investors have recently made changes to their positions in the stock. NewEdge Advisors LLC bought a new stake in Figma in the 3rd quarter valued at $26,000. Wilmington Savings Fund Society FSB bought a new position in Figma during the 3rd quarter worth about $27,000. Sunbelt Securities Inc. acquired a new stake in shares of Figma in the 3rd quarter valued at about $30,000. US Bancorp DE acquired a new stake in shares of Figma in the 3rd quarter valued at about $31,000. Finally, CIBC Private Wealth Group LLC bought a new stake in shares of Figma in the third quarter valued at about $33,000.

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.