Figma Inc (NYSE: FIG) Stock Drops 6.29% Amid Trade Tensions with Europe
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 3h ago
0mins
Source: Benzinga
- Trade Tensions Impact: Figma's stock dropped 6.29% to $27.71 on Tuesday following President Trump's announcement of a 10% tariff on several European countries, reflecting investor concerns about potential IT spending slowdowns that could hinder the company's expansion in Europe.
- Weak Market Performance: The stock's decline is notable as it significantly underperformed against a 2.3% drop in the tech sector and a 1.9% loss in the S&P 500, highlighting its vulnerability among high-multiple SaaS companies, which may affect future financing and R&D investments.
- Earnings Expectations Downgraded: Analysts anticipate a loss of 4 cents per share in Figma's upcoming earnings report on March 3, with revenue estimates at $293.12 million, indicating a cautious market outlook that could further pressure the stock price.
- Technical Indicators Show Weakness: Figma's RSI is at a neutral level, suggesting the stock is neither overbought nor oversold, while the MACD below its signal line indicates bearish pressure, suggesting potential challenges in the short term.
Analyst Views on FIG
Wall Street analysts forecast FIG stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for FIG is 53.13 USD with a low forecast of 38.00 USD and a high forecast of 70.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
9 Analyst Rating
3 Buy
6 Hold
0 Sell
Moderate Buy
Current: 29.570
Low
38.00
Averages
53.13
High
70.00
Current: 29.570
Low
38.00
Averages
53.13
High
70.00
About FIG
Figma, Inc. designs and develops platforms for people who build digital products together. The Company helps cross-functional teams align and build software more efficiently and ensure the advanced access and controls that large organizations require. Its products include Figma Design, Dev Mode, Figma Sites, Figma Make, Figma Draw, Figma Buzz, FigJam and Figma Slides. Figma Sites is a product that lets clients design a Website and directly publish it to the Web, with a custom URL. Figma Make is an AI-powered tool that turns a prompt into a fully functional prototype. Figma Buzz is a product for easily creating marketing assets (like social media assets and digital ads) at a scale that is consistent with brand or visual identity. Figma Draw provides a space for finer vector editing required when drawing detailed iconography and product illustrations. Figma Design combines powerful features with a collaborative workspace to help teams design and build better products together.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
