TLDR
- Figma shares soared 250% on first trading day, closing at $115.50 after pricing IPO at $33 per share
- Company now valued at nearly $68 billion market cap following public debut on Thursday
- Adobe’s failed $20 billion acquisition attempt in 2022-2023 was blocked by UK regulators over competition concerns
- Figma generated $247-250 million in Q2 revenue with 40% year-over-year growth and over 13 million monthly users
- Stock joins successful 2025 tech IPO trend alongside Circle and CoreWeave, showing renewed investor appetite
Figma’s stock market debut delivered one of the year’s most impressive first-day performances. The design software company watched its shares climb from a $33 IPO price to close at $115.50 on Thursday.
The stock opened at $85 per share just before 2 p.m. ET. Trading was halted multiple times due to extreme volatility as shares pushed past $112 during the session.
CEO Dylan Field, whose stake is now worth over $6 billion, struck a measured tone on CNBC. “Share price is a moment in time,” Field said. “We’re going to see all sorts of behavior probably today, over the weeks ahead.”
The company raised $1.2 billion through the offering of 36.94 million shares. Existing shareholders sold 24.46 million shares while Figma itself offered 12.47 million new shares.
Venture capital firms Greylock Partners, Index Ventures, Kleiner Perkins and Sequoia Capital were among the selling shareholders. Most of the IPO proceeds went to these existing investors rather than the company.
Strong Financial Performance Drives Demand
Figma’s financial metrics helped justify investor enthusiasm. The San Francisco-based company reported $247 million to $250 million in Q2 revenue. Sales grew approximately 40% year-over-year during this period.
The company generated $9 million to $12 million in operating income for the quarter. More than 1,000 clients pay Figma upward of $100,000 annually according to regulatory filings.
Major customers include Google, Microsoft, Netflix and Uber. The platform serves over 13 million monthly users with two-thirds being non-designers.
More than three-quarters of Forbes 2000 companies use Figma’s products. This broad adoption spans various industries and company sizes.
IPO Pricing Exceeded Expectations
Figma initially targeted a $25 to $28 per share range last week. The company raised its expectations to $30-$32 earlier this week before ultimately pricing at $33.
The final pricing reflected strong institutional investor demand. Investment banks managing the deal likely could have priced shares even higher given the first-day performance.
NYSE President Lynn Martin predicted more deals would follow Figma’s success. “I think this will open the floodgates,” Martin told CNBC on Thursday morning.
The stock’s performance mirrors other successful 2025 tech IPOs. Circle saw shares rise 168% on its first trading day and is now up over 510% since June.
CoreWeave posted modest first-day gains but has climbed more than 160% since its March debut. These companies demonstrate renewed appetite for growth-oriented tech stocks.
Adobe’s blocked acquisition attempt in 2022-2023 inadvertently set up Figma’s independence. UK regulators prevented the $20 billion deal over competition concerns in the design software market.
The regulatory intervention forced Figma to pursue public markets instead of private sale. This path ultimately delivered far greater value for shareholders than Adobe’s original offer.
Founded in 2012, Figma ranked 45th on CNBC’s 2025 Disruptor 50 list. The company makes web-based software for collaborative design work including slide decks, digital whiteboards and app interfaces.
Field emphasized staying focused despite the market excitement. “The most important thing to remind myself of, the team of, is stay focused, stay on mission, listen to our customers,” he said.
Pre-market trading on Friday showed continued investor interest with shares climbing to $138.50, representing another 17.78% gain from Thursday’s close.
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