Figma: A Seed in Barren Ground

Patience in the Market

Figma, they called it a hot stock, a quick bloom in the summer of ’25. But the market, like a restless sea, turned quickly. The price has fallen, a long slide into shadow. More than three-quarters of its peak value gone, a bitter reckoning for those who reached for it. It feels like watching a good man stumble, and the dust settles hard.

There’s a tendency, you see, to write things off when they falter. To assume the seed has spoiled before it can take root. But sometimes, the most promising growth happens in the leanest soil. And that, perhaps, is where Figma finds itself now.

Here’s why dismissing this company for ’26 might be a mistake, a closing of the eyes to a quiet strength.

Falling Stock Price

The Chill in the Machine

Figma isn’t alone in this cold. A shiver runs through the software fields. There’s talk, a rising wind, that artificial intelligence will render much of what we build obsolete. It’s a familiar story, the fear of the new replacing the old. We saw it with the railroads, with the automobile, and now with these digital creations. Time will tell if this is a flood or a mere ripple, but sentiment often runs far ahead of reality, like a phantom train whistle in the distance.

It’s unlikely these tools, these years of work and ingenuity, will simply vanish overnight. People still need to make things. They need to shape ideas, to collaborate, to build worlds, even digital ones. Figma allows just that – a place to create almost anything, to work together in real time, a digital workshop open to all. It doesn’t shy from the new, incorporating AI features and connecting to other applications. It’s a company of this age, built for the currents flowing around us.

A Slow Strength

The numbers, stripped bare, tell a story of resilience. Approaching a billion dollars in revenue, with analysts predicting further growth, nearing $1.3 billion this year and beyond. But it’s more than just the top line. A retention rate of 131% speaks to a deeper connection, a loyalty built on value. People aren’t just using Figma; they’re investing in it, expanding their use as they discover its potential. It’s a sign of a tool that becomes essential, woven into the fabric of their work.

And the falling price? It presents an opportunity, a chance to acquire a piece of this growth at a more reasonable cost. The price-to-sales ratio has slipped to 14, a solid valuation for a company poised for significant revenue increase – potentially 50% over the next two years – and already generating a healthy free cash flow, converting over a quarter of its sales into tangible returns.

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The stock could simply hold its ground, and meeting Wall Street’s expectations would be a respectable outcome. But if this fear of an AI-driven collapse dissipates, if investors recognize the enduring value of creation, Figma’s valuation could rise, unlocking further potential.

The past months have been difficult, no doubt. The market has been spooked, and fear is a powerful force. But to underestimate Figma now, in ’26, could be a costly mistake. Eventually, its growth, combined with a shift in sentiment, could send it forward again, a quiet strength rising from the dust.

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2026-01-27 13:13