Figma (NYSE:FIG) Trading Down 4.7% Following Insider Selling

Figma, Inc. (NYSE:FIG)’s stock price dropped 4.7% during mid-day trading on Monday after an insider sold shares in the company. The stock traded as low as $27.34 and last traded at $27.4520. Approximately 2,774,589 shares traded hands during mid-day trading, a decline of 85% from the average daily volume of 18,007,268 shares. The stock had previously closed at $28.82.

Specifically, CAO Tyler Herb sold 2,000 shares of the business’s stock in a transaction dated Thursday, August 27th. The shares were sold at an average price of $30.00, for a total value of $60,000.00. Following the completion of the sale, the chief accounting officer directly owned 252,640 shares of the company’s stock, valued at $7,579,200. The trade was a 0.79% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CAO Tyler Herb sold 1,840 shares of the firm’s stock in a transaction that occurred on Friday, August 21st. The stock was sold at an average price of $27.14, for a total transaction of $49,937.60. Following the transaction, the chief accounting officer directly owned 254,640 shares in the company, valued at approximately $6,910,929.60. This trade represents a 0.72% 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.

Wall Street Analysts Forecast Growth

A number of analysts recently issued reports on the company. Bank of America boosted their price target on Figma from $30.00 to $33.00 and gave the company a “buy” rating in a report on Wednesday, August 19th. Wells Fargo & Company reduced their price objective on Figma from $42.00 to $36.00 and set an “overweight” rating on the stock in a report on Friday, June 26th. Weiss Ratings raised Figma from a “sell (e+)” rating to a “sell (d-)” rating in a research report on Thursday, August 27th. Morgan Stanley set a $33.00 target price on Figma in a report on Thursday, August 6th. Finally, Citigroup increased their price target on Figma from $35.00 to $37.00 and gave the stock a “buy” rating in a research report on Friday, August 7th. Five equities research analysts have rated the stock with a Buy rating, eight have assigned a Hold rating and one has issued a Sell rating to the company’s stock. According to MarketBeat.com, Figma currently has a consensus rating of “Hold” and an average price target of $32.56.

Figma Price Performance

The company has a market capitalization of $12.35 billion and a PE ratio of -7.46. The company’s fifty day moving average is $23.81 and its 200-day moving average is $22.86.

Figma (NYSE:FIG) last posted its earnings results on Wednesday, August 5th. The company reported $0.08 earnings per share for the quarter, topping analysts’ consensus estimates of ($0.22) by $0.30. The company had revenue of $370.08 million during the quarter. Figma had a negative return on equity of 100.03% and a negative net margin of 123.15%.The firm’s quarterly revenue was up 48.2% on a year-over-year basis. During the same quarter in the prior year, the company earned $0.09 EPS. Equities research analysts forecast that Figma, Inc. will post -0.75 EPS for the current fiscal year.

Institutional Investors Weigh In On Figma

Hedge funds have recently made changes to their positions in the stock. Greylock XIV GP LLC purchased a new position in Figma in the second quarter valued at about $1,056,824,403. SC US Ttgp LTD. raised its holdings in Figma by 5.8% in the first quarter. SC US Ttgp LTD. now owns 26,728,171 shares of the company’s stock worth $565,034,000 after purchasing an additional 1,466,851 shares in the last quarter. a16z Capital Management L.L.C. purchased a new stake in shares of Figma during the third quarter valued at about $842,687,000. JPMorgan Chase & Co. lifted its position in shares of Figma by 119.4% during the fourth quarter. JPMorgan Chase & Co. now owns 6,643,939 shares of the company’s stock valued at $248,284,000 after buying an additional 3,615,198 shares during the last quarter. Finally, Viking Global Investors LP bought a new stake in shares of Figma in the 4th quarter valued at about $214,967,000.

About Figma

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.