After a long wait, Figma stock is finally going public. The cloud-based software company best known for its design tools for creating user interfaces and experiences filed to go public in July 2025.
To investors, Figma may be best known as the former target of Adobe (ADBE -1.64%), which tried to acquire the start-up for $20 billion back in 2022 but later backed away after regulators brought up antitrust concerns. Since then, Figma has continued to deliver strong growth and is now poised for a blockbuster initial public offering (IPO).
In this look at how to invest in Figma, we'll discuss the company's upcoming IPO, whether you can buy the stock ahead of it, whether Figma is profitable, and whether you should invest in the company.
IPO
Publicly traded?
Is Figma publicly traded?
Figma is not currently publicly traded, but the company filed its S-1 prospectus on July 1, declaring its intention to go public. Typically, it takes a company around six weeks from the time of its S-1 filing for shares to begin trading on a public exchange.
During that time, companies like Figma typically do a "roadshow," working with underwriters to meet with institutional investors interested in buying a block of the stock. Later in the IPO process, the company will price its offering and determine the number of shares it's selling. Once that's done, the company is ready to go public and will do so in a matter of days.
For the moment, Figma is a private company. That said, if everything goes well with the IPO process, that should change shortly.
When will it IPO?
When will Figma IPO?
Figma filed to go public on July 1. The company has submitted its S-1 prospectus to the U.S. Securities and Exchange Commission (SEC), a strong indication that it will follow through with its IPO plans. Figma's S-1, which reveals the company's financial results, is a good sign that the company will go public in a matter of weeks, possibly as soon as August.
How to buy
How to buy Figma stock
Since Figma stock is not yet publicly traded, it's not easy to buy it. Investors can wait for the company's imminent listing, but it may be possible to take part in the company's IPO.
Additionally, there are secondary marketplaces where accredited investors can buy the stock from company insiders or other investors who own the stock. Accredited investors typically have to meet minimum requirements for income or net worth.
Since Figma is about to go public, investors may be able to participate in the IPO if their brokerage is able to acquire shares. Investors should check with their brokerage if they're interested in participating in the IPO.
Profitability
Is Figma profitable?
As of its most recent quarter, Figma was not only profitable but also growing rapidly. The strong results help explain the company's decision to go public in 2025. In the first quarter of 2025, the company reported revenue of $228.2 million, up 46% from a year ago, and an operating profit of $39.8 million, or an operating margin of 17.4%.
On the bottom line, the company reported net income of $44.9 million in the quarter. In the two previous years, Figma had been unprofitable on a generally accepted accounting principles (GAAP) basis. In 2023, it reported an operating loss of $73.5 million on revenue of $504.9 million. In 2024, its operating loss exploded to $877.4 million on revenue of $749 million.
On an adjusted basis, the company reported a $27.1 million adjusted operating profit in 2023, excluding $97.8 million in expenses associated with the failed merger with Adobe. The following year, Figma's adjusted operating profit was $127.2 million due to $947.5 million in stock-based compensation, which the company granted through a restricted stock unit release to reward shareholders following the abandoned merger with Adobe.
Over the last four quarters, the company has had an 18% adjusted operating margin on $821 million in revenue. By any reasonable definition, Figma is profitable, and its other financial metrics are impressive, including a 91% gross margin and 132% net dollar retention, meaning revenue from existing customers increased by 32% over the previous four quarters.
Should I invest?
Should I invest in Figma?
Whether to invest in Figma will depend on the company's valuation once it goes public. Figma has a number of attractive features that are likely to earn it a lofty valuation. That includes revenue growth of 46% over its last four quarters, strong margins across the board, and several quarters of profits.
The company is also a leader in web design software, despite having less than $1 billion in revenue over the last four quarters. Adobe had offered to acquire Figma for $20 billion three years ago, and that price likely puts a floor on the company's valuation in the IPO, though it could go much higher.
We can use the company's prospective price-to-sales (P/S) ratio to get a sense of how much the company will be worth when it goes public. If it earns a P/S ratio of 30, it would have a market cap of $25 billion. At a P/S of 40, that would be $33 billion, and if its P/S ratio rose to 50, the company would be worth $41 billion.
High valuations like those aren't unusual in the software sector. In fact, investors tend to give software stocks high valuations due to the strength of the subscription model and because companies like Figma generally have growing addressable markets.
Palantir (PLTR 1.5%), by comparison, has recently had a P/S ratio above 100, and it's growing more slowly than Figma. Given that, it wouldn't be surprising to see Figma debut as one of the most expensive stocks on the market. As a business, Figma looks promising, but investors should wait to see its valuation before determining whether it's a buy.
ETF options
ETFs with exposure to Figma
Since Figma is not currently publicly traded and no publicly traded companies have invested in it, there are no ETFs with exposure to it. That's likely to change once the company goes public.
Related investing options
The bottom line
The bottom line on Figma
Figma is poised to be one of the biggest, if not the biggest, IPOs of the year, and there are a number of reasons why it's likely to attract attention. It's growing rapidly, profitable, and appears to have a bright future ahead, as the company has built a large customer base, with 76% of the Forbes 2000 companies among its customers. It's also been able to cross-sell products as it grows its product portfolio.
Adobe's attempt to buy the company for $20 billion three years ago, when it was much smaller, only adds to its credibility. Figma is likely to receive a high valuation when it goes public. Investors will soon have to chance to buy shares in the company, as the IPO could come as soon as August.
FAQ
FAQ about investing in Figma
Is Figma publicly traded?
Figma is not currently publicly traded, but it did file to go public, so it's likely to be publicly traded soon.
Can you buy Figma stock?
Generally, no. Since Figma is not yet publicly traded, the only way to buy it is if you are an accredited investor and can find shares for sale on a secondary marketplace.
Is Figma going to go public?
Yes, Figma has filed to go public. It filed its S-1 on July 1, and its IPO could come as soon as August.
What is the ticker for Figma?
Figma does not yet have a ticker, but it plans to list on the New York Stock Exchange under the symbol FIG.
