Figma's IPO Surges to $58 Billion Valuation: Is the Stock Worth the Price?

Figma, a software company, went public with a $58 billion valuation, its stock price soaring 250% on the first day of trading. Figma's AI-powered tools enable users to design, build, and launch digital interfaces and products without coding or programming experience. The company has 13 million monthly active users, including 95% of Fortune 500 and 78% of Forbes 2000 companies. Figma's stock price has gone wild due to strong investor sentiment, high demand, and a potentially conservative IPO valuation.

Figma Inc. has made a remarkable debut on the New York Stock Exchange (NYSE), with its stock price surging 250% on the first day of trading. The company's stock, trading under the ticker symbol "FIG," opened at $85 per share and closed at $117 per share, marking a significant increase from its initial public offering (IPO) price of $33 per share [3]. The company's market value soared to $61.5 billion, surpassing expectations from its abandoned Adobe merger [4].

Figma is a design and product development platform that enables users to design, build, and launch digital interfaces and products without coding or programming experience. The company's AI-powered tools have gained traction in the market, with 13 million monthly active users, including 95% of Fortune 500 companies and 78% of Forbes 2000 companies [4].

The strong investor sentiment and high demand for Figma's shares contributed to the stock's dramatic increase. The company's IPO valuation was seen as potentially conservative, as it priced its shares at $33 per share, below the expected range of $30-$32 [3]. The IPO raised approximately $1.2 billion, with Figma selling 12.47 million shares and existing shareholders selling 24.46 million shares [3].

Figma's success is attributed to its innovative growth and strong market reception. The company's revenue grew by 46% year-over-year in the first quarter of 2025, and it reported 13 million monthly active users [3]. The company's profitability, with an adjusted gross margin around 92%, provides ample flexibility for future investments and product development.

The IPO comes after Figma abandoned plans to sell itself to Adobe Inc. in 2023 for $20 billion due to regulatory pressure from European and US officials [2]. The company's IPO marks a significant milestone, signaling a potential revival in the tech IPO market.

References:
[1] https://www.figma.com/blog/ipo-pricing/
[2] https://www.ainvest.com/news/figma-ipo-celebrated-victory-antitrust-enforcement-criticism-silicon-valley-2508/
[3] https://finance.yahoo.com/news/figma-stock-soars-230-in-first-day-of-trading-valuing-company-north-of-40-billion-132215034.html
[4] https://economictimes.indiatimes.com/markets/stocks/news/listing-or-blitzing-figma-stock-soars-250-higher-on-day-1-on-wall-street/articleshow/123055420.cms