Figma (NYSE:FIG) stock has plunged and is now hovering near its all-time low, making it one of the worst-performing stocks on Wall Street. This marks a sharp reversal from last year, when the shares surged from $33 to $143 following the company’s initial public offering (IPO).
The stock has since fallen to $18, wiping out much of those gains and reducing its market capitalization from $59 billion to about $9 billion.
Figma Stock Has Fallen Amid Growth and Software Concerns
Figma has been in a strong downward trend in the past few months as investors have remained concerned about the software industry. The view among these investors is that its demand will drop as AI models improve.
This also explains why other software companies like Adobe (NASDAQ:ADBE), Intuit (NASDAQ:INTU), and ServiceNow (NASDAQ:NOW) have slumped this year.
