Figma has raised its price range for its U.S. initial public offering on Monday, and is now aiming for a valuation of $18.8 billion. The design software firm and some of its investors are planning to raise $1.18 billion by selling nearly 37 million shares priced between $30 and $32 each. The new valuation puts Figma closer to the $20 billion Adobe offered in a deal to buy the company in 2022. Adobe had abandoned the deal in December 2023 after facing antitrust issues in Europe and the UK.
“Investors are responding to companies with credible AI exposure and Figma has done a good job aligning itself with the theme,” said Kat Liu, vice president at IPO research firm IPOX. Figma reported $228.2 million in revenue for the three months ended March 31, up 46% from a year earlier, and its net income jumped threefold to $44.9 million.
“We believe that Figma is the right company to lead the charge into the public markets given its strong fundamentals and dominant market share in the product management space,” D.A. Davidson analysts said.
READ: Figma moves closer to an IPO that could raise $1.5 billion (July 2, 2025)
While the IPO market had hit a snag earlier with President Donald Trump’s introduction of tariffs, it is expected that activities would accelerate soon. Of late, investors have been showing an increased interest in high-growth technology stocks. Last week, Blackstone’s President and Chief Operating Officer Jon Gray said “the dealmaking pause is behind us.” Figma is expected to trade under the symbol “FIG” on the New York Stock Exchange, a day after it schedules to price the deal on Wednesday.
While this IPO has gotten a lot of traction, not everyone seems on board. CNBC’s Jim Cramer said that while he likes Figma’s underlying business, he’s hesitant to recommend the stock right away because it might quickly become too expensive.
“There’s a lot to like about Figma, the company, but it’s already coming public at a pretty expensive level,” he said. “And if the stock roars right out of the gate — I’m going to tell you — it’ll be too pricey for me, even as I think the company’s got a tremendous product at a very reasonable price.” Cramer also stated that enterprise software companies have been seeing weakness lately. According to him, this is because the industry might be one of the first hurt by new generative artificial intelligence.