Figma, Inc. (NYSE: FIG)

Sector: Technology Industry: Software - Application CIK: 0001579878
Market Cap 7.31 Bn
P/B 5.26
P/E -9.98
P/S 9.76
ROIC (Qtr) 0.00
Div Yield % 0.00
Rev 1y % (Qtr) 38.03
Total Debt (Qtr) 61.24 Mn
Debt/Equity (Qtr) 0.04

About

Price action

Investment thesis

Bull case

  • Healthy cash reserves of 350.28M provide 74.90x coverage of short-term debt 4.68M, demonstrating strong liquidity position and minimal refinancing risk.
  • Strong tangible asset base of 2.03B provides 33.19x coverage of total debt 61.24M, indicating robust asset backing and low credit risk.
  • Short-term investments of 1.27B provide solid 2.10x coverage of other current liabilities 604.44M, indicating strong liquidity.
  • Short-term investments of 1.27B provide 270.98x coverage of short-term debt 4.68M, showing strong liquidity management.
  • Short-term investments of 1.27B provide healthy 1.04x coverage of working capital 1.22B, indicating strong liquidity.

Bear case

  • Short-term investments of 1.27B significantly exceed cash reserves of 350.28M, which is 3.62x, indicating potentially excessive yield-seeking behavior at the expense of liquidity.
  • Operating cash flow of 0 provides insufficient coverage of deferred revenue obligations of 473.57M, which is 0x, raising concerns about future service delivery capabilities.
  • Retained earnings of (1.22B) provide limited buffer against comprehensive income items of 3.43M, which is -354.55x, indicating elevated exposure to market risks.
  • Short-term investments of 1.27B represent 1.04x of working capital 1.22B, suggesting potentially excessive financial asset allocation versus operational needs.
  • Tangible assets of 2.03B provide limited backing for working capital of 1.22B, which is 1.66x, suggesting increased operational risk in market downturns.

Peer comparison

Companies in the Software - Application
S.No. Ticker Company Market Cap P/E P/S Total Debt (Qtr)
1 SAP Sap Se 288.31 Bn 34.60 6.72 10.73 Bn
2 CRM Salesforce, Inc. 248.32 Bn 34.38 6.16 11.14 Bn
3 SHOP Shopify Inc. 212.27 Bn 119.19 19.85 1.12 Bn
4 INTU Intuit Inc. 180.73 Bn 43.89 9.30 6.78 Bn
5 UBER Uber Technologies, Inc 178.38 Bn 10.72 3.60 12.19 Bn
6 NOW ServiceNow, Inc. 146.98 Bn 84.91 11.60 2.40 Bn
7 ADBE Adobe Inc. 144.48 Bn 20.77 6.23 6.64 Bn
8 ADP Automatic Data Processing Inc 108.20 Bn 26.16 5.18 9.77 Bn

Industry comparisons

Current Valuation Value Ind Avg Percentile
EV to Assets EV to Assets 0.00 2.65
EV to Cash from Ops. EV to Cash from Ops. 0.00 13.37
EV to Debt EV to Debt 0.00 57.69
EV to EBIT EV to EBIT 0.00 19.12
EV to EBITDA EV to EBITDA 0.00 15.00
EV to Free Cash Flow [EV/FCF] EV to Free Cash Flow [EV/FCF] 0.00 14.69
EV to Market Cap EV to Market Cap 0.00 -92.28
EV to Revenue EV to Revenue 0.00 4.60
Price to Book Value [P/B] P/B 5.26 4.26
Price to Earnings [P/E] P/E -9.98 -136.90
Dividend Metrics Value Ind Avg Percentile
Dividend Coverage Ratio Div Coverage (Qtr) 0.00 -3.95
Dividend Payout Ratio % Div Payout % (Qtr) 0.00 4.25
Dividend per Basic Share Div per Share (Qtr) 0.00 0.15
FCF Dividend Payout Ratio % FCF Div Payout % (Qtr) 0.00 2.52
Interest Coverage Interest Coverage 0.00 -52.32
Growth Metrics Value Ind Avg Percentile
Capex Growth (1y) % Capex 1y % (Qtr) 0.00 -259.78
Cash and Equivalents Growth (1y) % Cash & Equiv 1y % (Qtr) 0.00 9,763.58
Dividend Growth (1y) % Dividend Growth (1y) % 0.00 1.61
EBIAT Growth (1y) % EBIAT 1y % (Qtr) 0.00 -263.15
EBITDA Growth (1y) % EBITDA 1y % (Qtr) 0.00 56.46
EBIT Growth (1y) % EBIT 1y % (Qtr) 0.00 -225.15
EBT Growth (1y) % EBT 1y % (Qtr) 0.00 -86.10
EPS Growth (1y) % EPS 1y % (Qtr) 0.00 123.84
FCF Growth (1y) % FCF 1y % (Qtr) 0.00 -36.82
Gross Profit Growth (1y) % Gross Profit 1y % (Qtr) 0.00 95.08
Liquidity Ratios Value Ind Avg Percentile
Asset Utilization Ratio Asset Util Ratio (Qtr) 0.00 0.58
Cash Payout Ratio Cash Payout (Qtr) 0.00 0.02
Cash Ratio Cash Ratio (Qtr) 0.56 3.75
Current Ratio Curr Ratio (Qtr) 2.96 8.16
Debt to Equity Ratio Debt/Equity (Qtr) 0.04 0.17
Interest Cover Ratio Interest Cover Ratio 0.00 -52.32
Times Interest Earned Times Interest Earned 0.00 -52.32
Profitability Value Ind Avg Percentile
EBITDA Margin % EBITDA Margin % (Qtr) 0.00 -100.06
EBIT Margin % EBIT Margin % (Qtr) 0.00 -164.24
EBT Margin % EBT Margin % (Qtr) 0.00 -116.94
Gross Margin % Gross Margin % (Qtr) 0.00 58.20
Net Profit Margin % Net Margin % (Qtr) 0.00 -121.65