Figma’s Stunning IPO Makes Waves in Tech—But Should You Dive In?
If you've checked Google lately, you've probably noticed that everyone is talking about "Figma stock." Here’s why: Figma, the company behind a popular online design tool used by brands like Netflix and Airbnb, just had one of the most exciting IPOs (initial public offerings) in years.
Figma priced its shares at $33 each, but when trading began, they shot up immediately to $85, quickly climbing as high as $107—over triple the IPO price. In minutes, the company was worth nearly $50 billion[1][2]. It’s the biggest tech IPO splash we've seen since the market went quiet almost three years ago, signaling a possible revival for tech companies going public.
So, why is everyone so excited about Figma? Simply put, the numbers and the tech behind the company are impressive. In just the first three months of 2025, Figma made $228 million in revenue—a 46% jump from the previous year—and earned a healthy profit[4][5]. Investors love seeing growth like that.
Another major selling point: Figma is deeply involved with AI. The company has integrated artificial intelligence into its design tools, making it easier for both beginners and experts to create digital designs. Analysts say this AI-driven strategy is exactly why investors rushed in, despite warnings that Figma’s stock might be too expensive right now[22][23].
But there are some red flags too. Experts warn that Figma’s valuation—about 69 times its sales—is extremely high. Plus, the competition among design software companies is heating up, and when early investors start cashing out in a few months, share prices could drop[7][8].
Interestingly, this IPO almost didn’t happen. In 2022, Adobe had agreed to buy Figma for $20 billion. Regulators stepped in and blocked the deal, leading Adobe to abandon it and pay Figma a $1 billion breakup fee. Ironically, investors now think that failed merger might have been a good thing, allowing Figma more freedom to innovate and expand[13][17].
What does all this mean for you? While the buzz around Figma is exciting, analysts suggest being cautious. If you're thinking about investing, consider carefully whether the hype around AI and rapid growth outweighs the risks of an overheated stock price.
Sources:
Fortune — “Figma shares more than triple in soaring public debut,” July 31, 2025. [1]
Reuters — “Design software maker Figma's shares surge 158% in blowout market debut,” July 31, 2025. [2]
Fortune — Revenue and profit details from “Figma shares more than triple in soaring public debut,” July 31, 2025. [4]
Reuters — Financial performance details from “Figma targets $18.8 billion valuation in U.S. IPO after bumping up price range,” July 28, 2025. [5]
Forbes — “Figma Stock Soars 255% Post IPO. Despite Bitcoin, Why To Avoid $FIG Now,” Aug. 1, 2025. [7]
Forbes — Valuation/lockup risks from “Figma Stock Soars 255% Post IPO. Despite Bitcoin, Why To Avoid $FIG Now,” Aug. 1, 2025. [8]
Reuters — Background on Adobe deal in “Figma targets $18.8 billion valuation in U.S. IPO after bumping up price range,” July 28, 2025. [13]
Business Insider — “Here's Who Got Rich on Figma's Red Hot IPO,” July 31, 2025. [17]
Reuters — AI strategy comments in “Design software maker Figma's shares surge 158% in blowout market debut,” July 31, 2025. [22]
Reuters — Investor enthusiasm/AI positioning in “Design software maker Figma's shares surge 158% in blowout market debut,” July 31, 2025. [23]
