Figma Stock Goes Parabolic in Market Debut — Should You Buy?

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Figma stock FIG more than tripled on IPO day. But that’s not thanks to the Figma guys — they had agreed to sell the company to Adobe ADBE just two years ago.

Figma stock FIG made a spectacular entrance into public markets last week — and then some. Shares of the design software firm surged 250% in their debut Thursday and climbed another 5% Friday, pushing the company’s fully diluted valuation to about half the size of Adobe ADBE, the company that once tried to acquire Figma for $20 billion before regulators shut it down.

It’s a strong showing for the IPO market and a signal that investors are still willing to pay up for growth — even if the valuation raises more than a few eyebrows.

$33 Becomes $118: Here’s What Happened

Figma priced its IPO at $33 per share on Wednesday, above the already-raised target range of $30–$32. The stock opened at $85, hit highs around $120, and closed the day up 250%. It ended Friday at $122, giving the company a fully diluted valuation of roughly $70 billion.

Quick stat: Figma pulled in $749 million in revenue last year. That means Figma’s price-to-sales ratio is sitting close to 94x. By contrast, Adobe trades at just under 11x sales. Froth or not?

Growth Is Real — But So Is Volatility

The one big thing in Figma’s favor is growth. The company increased revenue by 48% last year and by another 46% in Q1 2025. But profitability is uneven. It posted a net loss of $732 million last year — a reversal from a $737 million profit in 2023 that was mostly boosted by a $1 billion breakup fee from Adobe. Without that one-off, the business hasn’t been consistently profitable.

In Q1 of this year, however, Figma did turn a small profit of $44.9 million. That’s a good sign — but it’s not enough to embrace a 94x multiple.

Who Uses Figma and Why It Matters

Figma isn’t just a trendy tool for designers — it’s widely used across big tech. Clients include Netflix NFLX, Coinbase COIN, Spotify SPOT, and even the finance bros over at Vanguard. The software allows real-time collaboration, making it pretty attractive for remote or hybrid teams.

Its browser-based model and freemium pricing helped it spread fast during the pandemic, and now it’s seen as essential software for modern digital product teams. If you’ve ever opened a figma.com link during a Zoom call, you already know. “Can everyone see my screen?”

Figma, the Bitcoin Holder

In a twist that feels very 2025, Figma disclosed in its filings that it holds Bitcoin BTCUSD . The company invested $55 million in the Bitwise Bitcoin ETF BITB in March 2024 — and by March 2025, that stake had grown to nearly $70 million. They also bought $30 million worth of USD Coin USDC, which they plan to convert into more Bitcoin later on.

Figma’s treasury strategy echoes moves by companies like Strategy MSTR, GameStop GME, and Tesla TSLA, and signals a growing trend among tech companies holding crypto on the balance sheet. It also adds another layer of volatility to Figma’s investment profile — though bulls might see it as a hedge.

🧾 IPO Cash and What Comes Next

Figma, as the newest entrant into the US stock market, raised over $1.2 billion from its IPO, capital it says will be used for general corporate purposes, product development, and potential acquisitions. Given its ambitious roadmap, that kind of cash cushion could help sustain growth — especially as it scales up competition with Adobe, Sketch, Canva, and Notion.

That said, being public also means new (and painful) expectations. Traders and investors will want to see steady top-line expansion, margin improvement, and a path to sustainable profit.

Should You Buy the Stock Now?

The enthusiasm is clear — but so is the premium. Buying Figma now means paying 94x revenue for a company with promising growth but no long-term track record of profitability. That’s a tough sell for value investors but par for the course in growth tech — at least during bullish cycles.

If you're a long-term believer in the design software space and Figma's competitive edge, you may see upside. But for others, it might be worth watching a few quarters of earnings before jumping in. IPOs often pull back once the first wave of euphoria fades (and the insiders dump their stakes).

Bottom Line

Figma’s market debut was one of the most successful of 2025 so far. The company has the brand, the user base, and the growth metrics to somewhat justify serious investor interest. But it also has a premium valuation and a patchy history of profitability.

Earlier this year, CoreWeave CRWV (cloud computing and AI) and Circle Internet Group CRCL (the stablecoin guys) stunned Wall Street with similarly turbocharged entries. It’s a unicorn stampede, and investors are chasing them like it’s 2021 all over again.

Off to you: Are you buying FIG? Holding off? Or just admiring the charts like a good minimalist designer?

[jacson4]

Figma’s debut was wild — not surprised it went parabolic given the buzz around collaborative tools post-Adobe deal. But the real question is sustainability. Valuation feels heavy right now, especially in a market that’s unforgiving to high-multiple tech stocks. Definitely watching for a pullback before jumping in.

[Nahid10]

Love Figma as a product, but stock price ≠ product quality. Market hype is real, and IPOs tend to overshoot. If you believe in long-term growth of design-first SaaS platforms, it’s worth tracking. But entry point matters — chasing green candles on day one rarely ends well. 🧠

[Maxwell]

Massive debut, but 94x sales feels like déjà vu from the frothiest days of 2021

[rafihasan]

Growth story is impressive — but I’d want to see a few quarters of solid profitability before paying that kind of multiple

[Nahiar806]

The Bitcoin treasury move is interesting. Adds upside potential, but also more volatility for an already volatile stock