Figma shares plunge as earnings miss lofty post-IPO expectations

Figma’s shares fell more than 15% in premarket trading on Thursday following a modest first-quarter earnings beat that fell short of the sky-high expectations set by its blockbuster July stock debut.

The cloud-based collaborative design software platform’s widely watched IPO set a high bar, and with shares now sharply off their peak, investors are reassessing the company’s valuation amid volatility and looming share unlocks.