Figma Shares Surge 6.67% on Legal Settlement with Motiff Trading Volume Ranks 157th

On August 20, 2025, Figma (FIG) surged 6.67% with a trading volume of $610 million, ranking 157th in market activity. The stock’s performance follows a sharp post-IPO decline earlier in the month, as investors adjusted positions ahead of its quarterly earnings release on September 3. A key development impacting sentiment is Figma’s legal resolution with Motiff, which concluded a year-long intellectual property dispute. Under the agreement, Motiff will halt global sales of its editor tool (excluding mainland China for one year) and reimburse Figma’s legal costs. This settlement removes a lingering overhang but does not address broader market concerns about the company’s post-IPO valuation and growth trajectory.

Analysts note that Figma’s recent volatility reflects typical post-SPAC dynamics, with the stock having dropped 52% from its August 1 high of $142.92 to $68.61. The legal resolution may stabilize near-term risks but does not alter fundamental challenges, such as competition in the design software space and recurring revenue visibility. Institutional investors are likely monitoring earnings closely for guidance on user growth and monetization strategies, which will determine whether the stock can regain momentum amid a broader tech sector selloff.

A backtested trading strategy of purchasing the top 500 stocks by daily trading volume from 2022 to 2025 yielded a 4.17% return. This suggests that high-liquidity plays can generate modest gains in volatile markets, though such approaches lack directional precision compared to fundamentals-driven strategies. For Figma, liquidity remains critical as the stock navigates its early public market phase.