NEW YORK, Jan 13, 2026, 14:59 EST — Regular session
- Figma shares dropped roughly 7% in the afternoon, approaching their 52-week low
- Goldman Sachs initiated coverage, assigning a Neutral rating and setting a $40 price target
- Traders eye rate forecasts, supply risks, and upcoming earnings dates
Figma’s stock dropped 7% to $33.85 during Tuesday afternoon trading, following Goldman Sachs analyst Gabriela Borges initiating coverage with a Neutral rating and a $40 price target. Volume exceeded its three-month average as shares lingered near the low end of their 52-week range.
The call is significant as Figma continues to search for a stable footing following a volatile post-IPO period. Being a relatively new public company with a slim shareholder base compared to more established software firms, fresh analysis can easily shift its stock.
Investors continue to delay expectations for U.S. interest-rate cuts, a move that typically weighs on long-duration growth stocks. Traders are now assigning about a 95% probability that the Fed will hold rates steady at its January meeting, Reuters reported.
Goldman Sachs called artificial intelligence adoption a “positive tailwind” for software demand over the next decade, but said it’s holding off on a more bullish stance until it sees Figma’s next product cycle, according to TheFly. TipRanks
Figma’s stock has experienced a sharp rise followed by a swift decline. After soaring on its market debut last summer, shares plunged just days later as early investors cashed out, wiping roughly $11 billion off the company’s market cap in a single session, Reuters reported.
Another challenge is the share supply. A “lock-up” — a contractual restriction preventing insiders and early investors from selling stock — can expire in phases, increasing the number of shares available and occasionally weighing on the price.
Figma announced in September that roughly 54.1% of its outstanding Class A shares are locked up until Aug. 31, 2026. Portions of those shares will become available following key earnings reports, including the year ending Dec. 31, 2025.
The downside is clear: if rates remain “higher for longer” and investors continue to shy away from high-multiple software, a stock already near its lows could take another hit on minimal news. A fresh round of insider selling—or even rumors of it—could intensify the drop.
Figma is up against a familiar challenge in design and product software, with competitors continuously adding features and integrating AI tools into their existing platforms. This puts extra pressure on the upcoming product launch and pricing strategy, making them just as crucial as headline growth.
