Figma is preparing for a public debut, with its leader having previously been affiliated with Peter Thiel's organization as a fellow.
Figma Debuts on NYSE with Staggering Valuation
Figma Inc., a leading player in the design software space, made its debut on the New York Stock Exchange (NYSE) on July 31, 2025. The company, known for its collaborative design tools, opened at a remarkable $102 per share, marking a surge of over 200% above its initial public offering (IPO) price of $33. This impressive performance pushed Figma's valuation well beyond its initial IPO valuation of approximately $19.3 billion, reaching over $58 billion shortly after trading began.
The strong market performance was a stark contrast to the $20 billion buyout offer from Adobe, which was withdrawn due to regulatory concerns in December 2023. Figma's current valuation significantly exceeds the figure proposed by Adobe, reflecting strong investor belief in its standalone growth prospects and market opportunity.
As of August 1, 2025, Figma's market capitalization was reported at around $59.47 billion, a significant premium over both the IPO and the abandoned Adobe acquisition price. This valuation corresponds to roughly 54 times Figma’s estimated 2025 revenue, which is expected to exceed $1 billion based on its growth trajectory from $504 million in 2023 to $749 million in 2024.
Financially, Figma showed rising revenue and early profitability, with $749 million in revenue in 2024 and a net income of $44.9 million in Q1 2025. Despite a trailing twelve-month net loss of $700.76 million likely due to investments and expansion costs, the stock maintained a high valuation relative to its peers in the design software sector.
Figma's design software platform caters to people with a variety of skill levels and is used to build websites, apps, and digital products. Some of its notable customers include Netflix, Airbnb, and Duolingo. The company's CEO, Dylan Field, co-founded Figma in 2012 and has served as CEO since its inception.
Dylan Field accepted a Thiel Fellowship, which granted him a $100,000 grant and required him to leave school for at least two years to work full-time on Figma. Notable venture capital firms, including Kleiner Perkins and Sequoia, are among Figma's prominent backers. The lead underwriters of Figma's IPO are Morgan Stanley, Goldman Sachs, Allen & Co., and J.P. Morgan.
Despite the initial surge, Figma's stock experienced some volatility. However, Goldman Sachs CEO David Solomon predicts that markets will 'settle down' after a 'reset of expectations'. With its strong market performance and promising growth prospects, Figma remains a compelling player in the design software space, particularly as it continues to embed different flavors of AI in its platform to lower the participation floor and raise the creativity ceiling.
[1] The Verge. (2023, December 12). Adobe reportedly offered to buy Figma for $20 billion, but the deal fell through. https://www.theverge.com/2023/12/12/22170236/adobe-figma-merger-deal-broke-down-20-billion
[2] TechCrunch. (2025, July 31). Figma files for IPO, aiming to raise $1.5 billion at a $19.3 billion valuation. https://techcrunch.com/2025/07/31/figma-files-for-ipo-aiming-to-raise-1-5-billion-at-a-19-3-billion-valuation/
[3] CNBC. (2025, August 1). Figma surges over 200% on its first day of trading. https://www.cnbc.com/2025/08/01/figma-surges-over-200-on-its-first-day-of-trading.html
[4] Bloomberg. (2025, August 1). Figma's IPO Values the Design Startup at More Than Double Adobe's Abandoned Buyout Offer. https://www.bloomberg.com/news/articles/2025-08-01/figma-s-ipo-values-the-design-startup-at-more-than-double-adobe-s-abandoned-buyout-offer
- Figma's staggering valuation of over $58 billion, reached on its first day of trading on the NYSE, significantly exceeds the $20 billion buyout offer from Adobe that was withdrawn due to regulatory concerns in 2023.
- With its valuation corresponding to roughly 54 times Figma’s estimated 2025 revenue, investors demonstrated strong belief in Figma's standalone growth prospects and market opportunity in the finance and business sectors.
- As technology continues to evolve, Figma remains a compelling player in the design software space, particularly as it incorporates various AI flavors into its platform to lower the participation floor and raise the creativity ceiling.
