(MENAFN- AsiaNet News)

• Figma attributed its strong quarterly performance in part to AI product investments.
• Citing strong customer traction for new products, the company raised its full-year guidance.
• Figma's stock has plummeted about 62% since its late July listing.

Figma, Inc. (FIG) stock was among the top five trending tickers on Stocktwits late Wednesday as traders reacted to the newly public design software company's artificial intelligence (AI)-powered quarterly results. 

After its initial public offering (IPO) in late July, Figma stock has plummeted about 62%. Following the quarterly print, the stock rose about 5% in after-hours trading.

Figma's Q3 Earnings Snapshot

The San Francisco, California-based company surpassed $1 billion in annual revenue run rate after achieving record revenue performance for the third quarter of fiscal year 2025. Figma CEO and co-founder Dylan Field said,“Our incredible quarter was driven in part by AI product investments in Figma Make and our MCP server, which are spreading Figma to new teams and new audiences.”

“AI is redefining how software gets built, moving value up the stack to design––and we are building the platform where anyone can go from idea to product.”

Here's how Figma's headline numbers compare with estimates:

- Adjusted earnings per share (EPS): $0.11 (up 150% YoY) vs. $0.05 consensus (Fiscal)

-Revenue: $274.17M (up 38% YoY) vs. $263.95M consensus

On an unadjusted basis, the company reported a loss of $2.72 per share, much wider than the year-ago loss of $0.07.

CFO Praveer Melwani noted that by the end of September, about 30% of paid customers spent $100,000 or more in annual recurring revenue (ARR) - a measure used to track predictable income over a year. 

Figma's Outlook

Citing strong customer traction for new products, Figma raised its full-year guidance. The company now expects fiscal year 2025 revenue to be between $1.044 billion and $1.046 billion, compared with the average analyst estimate of $1.023 billion.

The company expects fourth-quarter revenue to be in the range of $292 million to $294 million, above the consensus estimate of $281.10 million.

What Retail Feels About Figma's Stock After Q3 Print

On Stocktwits, retail sentiment toward Figma stock shifted to 'extremely bullish' by late Wednesday, up from 'bearish' a day earlier. The message volume on the stream spiked to 'extremely high' levels. Retail chatter over the 24 hours leading up to late Wednesday spiked by nearly 600%.

FIG sentiment and message volume as of 11:30 p.m. ET, Nov. 5 | source: Stocktwits

A bullish watcher wondered whether the stock would move toward $50 by Thursday. The stock settled down about 4% in Wednesday's session at $44.01.

Another user was impressed by Figma's 38% topline growth and said the stock would return to $55 in no time.

The average analyst's price target for Figma stock is $71.13, according to Koyfin, implying a massive 61% upside from its closing price on Friday.

For updates and corrections, email newsroom[at]stocktwits[dot]com.

MENAFN06112025007385015968ID1110302990