Goldman Sachs revamps Figma stock price target for rest of 2026

The plan bundle institution delivered a first-quarter 2026 net study that caught Wall Street disconnected guard. Revenue were up 46% twelvemonth implicit year, lawsuit retention astatine its highest level successful 2 years, and AI adoption metrics that straight situation the communicative that AI tools are eating Figma's luncheon alternatively than expanding its market.

Goldman Sachs reviewed the results successful a enactment shared with maine astatine TheStreet. Goldman's connection is that the 4th was genuinely good, the AI monetization communicative is emerging, but the competitory menace from AI-native plan tools is existent capable to warrant caution connected the multiple.

Goldman Sachs downgrades Figma banal terms people to $30 from $35

Goldman Sachs maintained its Neutral standing and lowered its 12-month terms people to $30 from $35, portion simultaneously acknowledging the results were stronger than expected. At $22.92, that $30 people implies astir 48% upside.

The first-quarter scorecard, according to Figma's May 14 net release:

• Revenue of $333.4 million, up 46% twelvemonth implicit year, accelerating from 40% successful Q4 2025 and 38% successful Q3 2025

• Non-GAAP operating income of $52.1 million, with a 16% non-GAAP operating margin

• Free currency travel of $88.6 million, representing a 27% escaped currency travel margin

• Net Dollar Retention Rate of 139%, up 3 percent points from the anterior quarter, the highest successful implicit 2 years

• Paid customers with much than $100,000 successful Annual Recurring Revenue (ARR) grew 48% twelvemonth implicit year

• Total paid customers grew 54% twelvemonth implicit twelvemonth to astir 690,000
  Source: Figma First Quarter 2026 Financial Results

Goldman noted successful the shared enactment that gross came successful 5% supra Street estimates, EBIT margins were astir 650 ground points supra expectations, and second-quarter gross guidance sits 6% supra consensus. Full-year 2026 guidance was raised by $55 million.

"Q1 was an unthinkable 4th for Figma," said co-founder and CEO Dylan Field. "When codification is simply a commodity, plan is the competitory borderline - the craft, constituent of view, and quality judgement that marque a large merchandise emergence supra the rest."

The AI monetization information is the communicative Goldman astir wants investors to absorption connected

The competitory fearfulness hanging implicit Figma for the past twelvemonth has been this. If AI agents tin make designs and codification automatically, bash teams inactive request Figma's collaborative plan platform? The Q1 information is opening to reply that question, and the reply is much favorable than bears expected.