r/figmaStock

I just discovered and entered a position in Figma at 2000 shares ($24.70 avg)

WHY I ENTERED

The recent earnings of this company were very strong across the board , and in normal cases people would be buying this company up with their kind of growth. I also find it very intriguing that the company is trading far below the valuation that Adobe literally tried to purchase them at. I believe one could argue that the recent earnings showed this company can actually benefit from AI.

WHAT IM EXPECTING/HOPING FOR

Right now , this company is in a “prove it again” mode in my opinion. The entire market sentiment is “AI ruins SaaS companies” , but I’m expecting this sentiment to shift at some point and companies like Figma will be seen as a major buy at current levels. When am I expecting this? I don’t have a crystal ball for that, but I could argue we are slowly seeing signs of this sentiment slowly shifting with BoA recent target price raise of ServiceNow(SaaS company traded in the negative “ai ruins you” sentiment) . This is not the only case of sighs on sentiment shift, but I think it’s due to happen, and when it does, it will happen fast for major rips upwards.

I am expecting Figma to bounce back and forth, but ideally if they hold some gains from their recent earnings report in the next couple weeks, then I think that’s a strong sign. If they can produce another positive earnings report next quarter , then I see solid returns for this stock.

That being said, it seems a lot of people got fucked early on with this stock and now just hate it , but do we have any fresh minds/ new buyers here?

I think the AI bear case on Figma is kind of backwards. A lot of it seems to be “AI can generate code now, so who needs designers / design tools?”

But that feels like saying “We have better construction tools now, so who needs architects or blueprints?” Like imagine building a house and saying, “Don’t waste time on drawings. Just get the contractors out there and start pouring concrete.” Sure, you can do that. But you’re probably going to find out pretty quickly that the kitchen is in the wrong place or the hallway makes no sense, and the person paying for the house had something completely different in mind. And at that point, fixing it is way more expensive than if you had just figured it out upfront. Also, if you think architects are suddenly going to throw on a hard hat and start nailing floorboards because power tools got better, I have some news for you....

To expand on the analogy, designers are the architects. engineers are the builders. PMs, execs, marketing, customers, etc. are all the people arguing about what the house should be. Figma is where the blueprint gets made before everyone starts building. so when people say AI makes Figma less important, I kind of think the opposite. If AI makes it easier to build software, then knowing what to build matters even more. You can generate code faster, but that doesn’t mean you’re building the right thing.

The latest earnings call seemed to support that too. Maybe I’m wrong, but I just don’t see “companies will skip design” as a serious long-term thesis.

Trying to improve my workflow in Figma and curious what people actually use daily.

If you're doing game UI, web design, or app design:

• What Figma features/plugins are a must?
• Do you pay for Figma or stay on free?
• What feature actually made paying worth it (if any)?

Trying to understand what’s actually important vs things that just look cool on YouTube

Would love to hear what genuinely improved your workflow and why.

Reddit sentiment around Figma feels massively overdone.

AI can generate mockups. Cool. It can also generate quick-and-dirty PowerPoint slides. But when enterprise users actually need to refine details, collaborate, edit, manage workflows, permissions, and finalize production work… what platform do they still open? Microsoft PowerPoint.

Why hasn’t Office become obsolete?

Same thing with Figma. AI is a supplement to the workflow, not a replacement for the collaborative platform itself.

Sure, Anthropic and others can launch competing design tools. But how long have those products existed? Meanwhile Figma has spent 10+ years building workflows, integrations, enterprise relationships, design systems, collaboration tooling, and domain expertise. People are acting like that moat disappears overnight.

And if Google is supposedly building tools to kill Figma, why was Google one of the key customer use cases highlighted on Figma’s Q1 earnings call?

Meanwhile:
- 139% net dollar retention
- Revenue growth accelerating
- Continued enterprise expansion

139% NDR is elite-tier SaaS territory. Historically that’s companies like:
- Snowflake
- Datadog
- Cloudflare
- CrowdStrike

This reminds me a lot of Robinhood post-IPO. Reddit and retail sentiment completely turned on it. Everyone said competition from Webull and others would make it obsolete. Stock got destroyed and people confused price action with product irrelevance.

Meanwhile Robinhood just kept executing, kept growing users, expanded products, improved monetization, and strengthened the ecosystem. Fast forward a few years later and look where the company is now versus the sentiment back then.

People are confusing AI narrative hype with actual enterprise adoption and product relevance.

It is a best target to beat claude. the cap is a peace of cake for them.

📊 𝐑𝐞𝐬𝐮𝐥𝐭𝐬
• Adj. EPS: $0.10 (Est. $0.06) ✅
• Revenue: $333.4M (Est. $316.0M) ✅
• Non-GAAP operating income: $52.1M
• Free cash flow: $88.6M
• Net dollar retention rate: 139%
• Paid customers: ~690K (+54% YoY)
⠀
🎯 𝐆𝐮𝐢𝐝𝐚𝐧𝐜𝐞
• Q2 Revenue: $348M–350M (Est. $329.5M) ✅
• FY26 Revenue: $1.422B–1.428B (Est. $1.37B) ✅
• FY26 Non-GAAP operating income: $125M–135M
⠀
📌 𝐊𝐞𝐲 𝐓𝐚𝐤𝐞𝐚𝐰𝐚𝐲𝐬
• Revenue growth accelerated for the second consecutive quarter
• Strong AI monetization traction from Figma Make, MCP and Weave
• Enterprise expansion remained strong with $100K+ ARR customers up 48% YoY
• ~60% of $100K+ ARR customers used Figma Make weekly in Q1
• MCP weekly active users in Figma Design grew 5x QoQ

This is some DD ive been doing on our baby fig for a week or so now and wanted to share my DD with yall, as I think re ratings for a plethora of names are coming soon.

THIS IS NOT ADVESMENT ADVICE... just one mans research into catalysts and ownership and a reaction the print.

Stock down -86% from $142 IPO to $20. Full sentiment washout. But the institutional ownership filings just dropped and what I’m seeing is wild.

The setup
• Q1 NRR 139% (existing customers spending 39% more — best-in-class SaaS)
• Revenue +41% YoY at $1B+ scale
• 82% gross margins, 22.5% FCF margin (real cash generation, not vibes)
• Zero debt, $400M cash
• Q2 guide BEAT consensus ($348-350M vs $329M)
• Stock +11.66% AH on the Q1 print
Now the part where the suits start chugging the Kool-Aid — Q4/Q1 institutional flows
• Wellington +189%, T. Rowe Price +1,354%, Citadel +135%
• Viking Global opened new 5.7M share position
• Two Sigma +607%, Jane Street +2,090%, IEQ Capital +1,670%
• Norges Bank (Norwegian sovereign wealth, aka actual government tendies) opened new position
• Top 20 institutions ate 97.7M shares in one quarter

Sooooo.....

Why this ownership picture matters more than the average DD post?

This isn’t a random mix of institutional buyers — look at who is showing up:

•	Quant funds going all-in — Two Sigma +607%, Jane Street +2,090%, IEQ +1,670%, Citadel +135%. These are systematic models flagging the same setup independently. When 4+ top quant shops simultaneously load up, their models are seeing the same dislocation. Not coordinated, just convergent.

•	Long-only blue chips conviction-sizing — Wellington, T. Rowe Price, Fidelity Contrafund (Will Danoff), Baron Focused Growth. These are 5-star, multi-decade-tenure PMs who don’t take starter positions. T. Rowe going +1,354% means they’re sizing this like a real position, not nibbling.

•	Sovereign wealth showing up — Norges Bank doesn’t chase momentum. They take 5-10 year views on quality at scale. A new position from them is a structural call, not a trade.

•	Behavioral/value funds layering in — FullerThaler Behavioral Small-Cap (Richard Thaler’s fund — THE behavioral finance Nobel laureate) is in. That fund literally screens for sentiment dislocations. FIG is showing up on their model.  

Compare to what’s NOT happening: no institutional selling. Vanguard Growth trimmed mechanically (-1.6M, rebalancing), ARK trimmed 128K (rounding error). That’s it. The “smart sellers” thesis doesn’t exist here.
The pattern this matches historically: HUBS in 2022, MNDY in 2023, SNOW in 2024. Post-IPO/post-crash SaaS where institutions accumulated during retail capitulation. All three rallied 80-150% over the following 12 months once sentiment turned.

Supply is locked
• Greylock 11% (FIG is 100% of their fund — they literally cannot sell without crashing it)
• Index Ventures 11% (60% of fund)
• Sequoia 4.8%
• Thrive Capital (Joshua Kushner) 0.83%
• ~28% of float trapped in VC hands not going anywhere

Pontial upcoming catalysts:

•	Q1 print already in the books (today) — 46% revenue growth, NRR 139%, AH +11.66% reaction confirms the inflection. Sentiment officially turning.

•	Q2 print in \~90 days — guidance already beat consensus, so even an in-line print = thesis intact. A beat-and-raise = next leg.

•	Figma Config 2026 (annual conference) — historically where they drop major AI product reveals. Last year’s Figma AI / Make announcements moved the stock. Expect more agentic / AI-native tooling drops.

•	AI monetization ramp — Figma AI seats and usage-based pricing started rolling out late 2025. Revenue impact shows up in Q2/Q3 prints. Hasn’t been priced in yet.

•	Enterprise expansion deals — NRR 139% means existing accounts going from team to org-wide. Multi-year contract conversions usually announced via earnings call commentary, not press release — watch for enterprise expansion language on the Q2 call.

•	First post-lockup quarter behavior — IPO insider lockups expired in Q1, and despite that overhang, institutions still accumulated. The “feared selling wave” already happened and got absorbed.

•	Adobe Q2 print (mid-June) — if Adobe   

disappoints on Creative Cloud AI integration, FIG gets the relative-strength bid. Pair trade setup.

•	Macro tailwind — SaaS sentiment is recovering broadly (DDOG, MDB, NOW all rerating). FIG hasn’t participated yet — that’s the catch-up trade.  

PT picuture
• Morningstar FV: $32.93 (+63%)
• TipRanks avg PT: $40.25 (+99%)
• LOWEST analyst PT is $30 — still +48% above current price
• 11 ratings: 3 Buy / 8 Hold / 0 Sell (Hold ratings have +100% implied upside, they just don’t have conviction yet.

Super interested to see what happens today a solid eanings but market futures seem wicked red as of the last time i looked. Happy friday people🤪

Thoughts? Where do we think stock will trade post earnings call? Curious where everyone plans to trim if all goes well.

I see two re-ratings this morning - 35->30 and 44->38. I think the reason is in the pricing model question asked during the earnings call. The question was about how tokens/seats pricing models will be on the client side, the answer was basically 'we don't know', which is extremely reasonable given the early stage of token monetization and the Figma's goal to have more points of exposure for their products, new rollouts etc.

So, i think because it is unpredictable and didn't settle this will be a year of extreme growth AND undervaluation for Figma until the tokens and seats income will be predictable and losses 'too fresh and unpredictable' trait.

Wdyt?