Figma’s Meteoric 250% Stock Surge Overshadows Broader Market Weakness
Figma's (FIG) public debut ignited a 253% explosion from its $33 IPO price, defying the S&P 500's 2.4% decline and Nasdaq's 2.2% drop amid tariff tensions and sluggish employment data. The web-based design platform now commands a $60 billion valuation despite generating under $750 million in 2024 revenue—a premium justified by consecutive years of 40%+ growth.
Market euphoria mirrors recent IPO frenzies, though Figma's penetration of 95% of Fortune 500 companies raises existential questions about future expansion. The rally occurs as AI-driven competition erodes traditional moats, leaving investors to weigh viral momentum against sustainable differentiation in the collaboration software space.