Figma's stock faced a significant event on November 7, 2025, as the lock-up and market standoff agreements from its July 2025 initial public offering expired at the opening of trading. This termination allows holders of a substantial portion of the company's Class A common stock, including insiders and early investors, to sell their shares on the open market for the first time. Such events often lead to increased selling pressure and stock price volatility as the supply of tradable shares increases. Adding to the day's developments, Piper Sandler reduced its price target for Figma's stock to $70.00 from $85.00, although it maintained an "overweight" rating on the shares. The firm's new price objective still suggests a significant potential upside from its current trading levels. On the market, Figma's shares were reported to have dropped by 4.1%, trading around $43.94. Recent insider selling in the months prior to the lock-up expiration was also noted in market reports.
Figma Shares Under Pressure as IPO Lock-Up Period Expires, Unlocking Substantial Volume of Shares
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