AinvestMonday, Aug 25, 2025 5:12 pm ET
2min read
Figma Inc. shares tumbled 9% on Monday after several analyst firms initiated coverage with price targets suggesting the stock may be close to fully valued. Analysts from Wolfe Research, William Blair, Goldman Sachs, JPMorgan, RBC Capital, Morgan Stanley, Wells Fargo, and BofA Securities have initiated coverage with ratings ranging from Peer Perform to Neutral and price targets from $48 to $85. Figma is due to report its first quarterly numbers as a public company after the market close on Sept. 3.
Figma Inc. shares tumbled 9% on Monday following the initiation of coverage by several prominent analyst firms. The stock, which went public earlier this year, saw a significant drop in price after analysts provided price targets that suggest the stock may be close to fully valued. Analysts from Wolfe Research, William Blair, Goldman Sachs, JPMorgan, RBC Capital, Morgan Stanley, Wells Fargo, and BofA Securities have all initiated coverage on Figma Inc. (NYSE: FIG).
Wolfe Research analyst Alex Zukin initiated coverage with a Peer Perform rating, while William Blair analyst Arjun Bhatia gave an Outperform rating. Goldman Sachs analyst Kash Rangan set a Neutral rating with a price target of $48. JPMorgan analyst Mark Murphy also initiated coverage with a Neutral rating and a price target of $65. RBC Capital analyst Rishi Jaluria provided a Sector Perform rating with a price target of $75. Morgan Stanley initiated coverage with an Equal-Weight rating and a price target of $80. Wells Fargo analyst Michael Turrin set an Equal-Weight rating with a price target of $82. BofA Securities analyst initiated coverage with a Neutral rating and a price target of $85.
These ratings and price targets reflect a broad range of opinions on Figma’s valuation. While some analysts are bullish on the company’s growth prospects, others are more cautious, suggesting that the stock may already be fully valued. Figma is due to report its first quarterly numbers as a public company after the market close on Sept. 3, which could provide further insight into the company’s performance and valuation.
Figma Inc. is a collaborative design platform that has attracted significant investor attention due to its growth trajectory and market position in the design software space. The company has a large user base of 13 million monthly active users and 450,000 paying customers, and its core product is already considered an industry standard. Figma is also investing aggressively in embedding AI throughout the platform, which could exert pressure on gross margins in the near term.
The recent analyst coverage on Figma Inc. highlights the company’s potential as well as the risks associated with its valuation. As Figma prepares to report its first quarterly numbers, investors will be closely watching the company’s performance and how the market reacts to the earnings report.
References:
[1] https://www.investing.com/news/analyst-ratings/wells-fargo-initiates-figma-stock-with-equal-weight-rating-82-price-target-93CH-4208416
[2] https://www.benzinga.com/trading-ideas/movers/25/08/47320563/figma-stock-tumbled-on-monday-what-happened
[3] https://site.financialmodelingprep.com/market-news/bofa-initiates-coverage-on-figma-with-neutral-rating-and–price-target
[4] https://www.benzinga.com/analyst-stock-ratings/analyst-color/25/08/47317712/figma-is-a-compelling-ai-story-already-crossing-1-billion-in-revenue
