Figma

FIG

Market cap $17.7B

FIG's stock decline and margin pressures meet rapid customer and product growth, raising key questions about FIG's near-term outlook.

Figma (FIG +2.05%) is quickly gaining market share in the creative cloud segment.

Figma is upgraded to a "Buy" rating after the valuation reset. FIG demonstrates strong fundamentals with 38% YoY revenue growth, 131% net dollar retention, and robust AI integration driving customer engagement. Consensus estimates appear too conservative; I expect FIG to deliver higher growth and margins, positioning it as a long-term AI winner in software.

Figma's web-based creativity software platform compelled Adobe to attempt an acquisition. Figma has the ingredients for years of profitable growth ahead.

Figman beat estimates in its third-quarter report, but it wasn't enough to lift the stock last month. Fears of an AI bubble pushed the stock lower.

It's unclear where the market goes from here, but investors should take advantage of bargains while they're available. Figma has been on a roller coaster since going public, but it's making the right moves to drive long-term growth.

Figma recently released a solid set of results and raised its full-year guidance. The company's AI tools are gaining traction among its loyal customers.

FIG's surging paid customer base and the rapid adoption of new AI tools spotlight strengthening growth momentum despite rising competition.

Figma is down more than 50% from its mid-2025 initial public offering. The company recently crossed $1 billion in annual revenue run rate.

FIG's AI-driven design tools and growing customer adoption shine, but TEAM's stronger enterprise traction and rising AI usage make it the more compelling pick.