Head-To-Head Contrast: Figma (FIG) and The Competition

Figma (NYSE:FIG) is one of 953 public companies in the “Software” industry, but how does it contrast to its peers? We will compare Figma to related businesses based on the strength of its analyst recommendations, earnings, risk, valuation, profitability, institutional ownership and dividends.

Earnings and Valuation

This table compares Figma and its peers revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Figma	$1.06 billion	-$1.25 billion	-17.56
Figma Competitors	$1.81 billion	$385.92 million	108.58

Figma’s peers have higher revenue and earnings than Figma. Figma is trading at a lower price-to-earnings ratio than its peers, indicating that it is currently more affordable than other companies in its industry.

Profitability

This table compares Figma and its peers’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Figma	-40.21%	-33.14%	-21.08%
Figma Competitors	-612.66%	21.01%	-8.93%

Volatility and Risk

Figma has a beta of 1.17, indicating that its share price is 17% more volatile than the S&P 500. Comparatively, Figma’s peers have a beta of 1.34, indicating that their average share price is 34% more volatile than the S&P 500.

Analyst Recommendations

This is a breakdown of recent ratings and recommmendations for Figma and its peers, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Figma	1	11	4	0	2.19
Figma Competitors	5748	21526	44879	1497	2.57

Figma currently has a consensus price target of $28.80, suggesting a potential upside of 53.29%. As a group, “Software” companies have a potential upside of 28.84%. Given Figma’s higher probable upside, analysts plainly believe Figma is more favorable than its peers.

Insider & Institutional Ownership

41.8% of shares of all “Software” companies are owned by institutional investors. 32.3% of Figma shares are owned by insiders. Comparatively, 19.9% of shares of all “Software” companies are owned by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company will outperform the market over the long term.

Summary

Figma peers beat Figma on 10 of the 13 factors compared.

Figma Company Profile

Figma is where teams come together to turn ideas into the world’s best digital products and experiences. Every day, billions of people around the world use apps, websites, and other digital experiences that are made in Figma. They’re looking up directions on Google Maps; requesting rides with Uber; checking in for flights on JetBlue; streaming shows on Netflix; learning languages with Duolingo; asking questions of Claude; connecting on LinkedIn; buying goods on Mercado Libre; or booking stays and experiences with Airbnb. Behind each of these products is a cross-functional team responsible for bringing them to life. In Figma, designers work alongside developers, product managers (“PMs”), researchers, marketers, writers, and other non-designers who, in the three months ended March 31, 2025, made up two-thirds of our more than 13 million monthly active users(1). Together, these teams share and explore ideas, align on a vision, visualize concepts, and translate them into coded products — all on a single, connected, AI-powered platform that collaborators around the world can access with a URL. Our focus on the entire lifecycle of software creation reflects our ability to rapidly bring new products onto Figma’s browser-based platform and our belief that design spans far beyond a single step or role. We take this expansive view because design is more than how something looks, or even feels; design is also how something works — and in today’s increasingly digital-first world, what sets brands and companies apart. As AI makes software much easier to create, and as organizations across industries and geographies continue to invest heavily in digital transformation, better-designed digital products and experiences have become even more critical to a company’s success. That’s why 95% of the Fortune 500 and 78% of the Forbes Global 2000 used Figma in March 2025. These companies understand deeply that great design is what attracts and wins user loyalty, especially in a world where a business’ interactions with its customers are increasingly digital. Figma has been fortunate to play a part in, and benefit from, the growing global movement to elevate design and the craft of building software. Millions of people use Figma every week, often for hours a day, and as more users have come to our platform, our business has grown. (1) We define monthly active users as the number of unique users that access at least one of our products during a given month. A Paid Customer typically includes multiple unique users. When reporting monthly active users during a quarter or other period of time, we report the number of monthly active users during the month with the highest number of active users during such period. Our principal executive offices are located in San Francisco, California.