Figma Inc (NYSE:FIG) is up 4% in premarket trading at $18.70, after Citigroup initiated coverage with a "buy" rating and $36 price target. The brokerage cited software sector strength, and upside potential after the stock's underperformance.
Should these gains hold, FIG will snap an 11-day losing streak. Publicly traded since July 2025, the stock yesterday was flirting with its April 30 record-low of $16.62. Since the start of the year, the equity is down 51.9%.
Most analysts are still skeptical. Coming into today, 10 of the 13 analysts in coverage carry a "hold" rating, compared to just three "strong buy" recommendations. This leaves plenty of room for additional upgrades.
Nearly 70 million shares are sold short, representing 16% of FIG's available float. At the stock's average pace of daily trading, it would take almost four days for these bearish bets to be covered.
