On August 6, Figma declined 18.65% in regular trading, trading at approximately $22.69 per share with turnover of $309 million. The sell-off followed the company's Q2 earnings release, which beat expectations on both revenue and EPS but failed to alleviate concerns over AI-driven cost escalation.

Figma reported Q2 revenue of $370.1 million, up 48% year-over-year and above the consensus estimate of $351.6 million. Adjusted EPS came in at $0.08, doubling the $0.04 estimate. The company also raised its full-year revenue guidance to $1.463–1.467 billion, implying approximately 39% growth and surpassing the Street's $1.44 billion forecast. However, full-year profit guidance was left unchanged, intensifying fears that aggressive AI investment is eroding margins. R&D expenses surged 101.5% year-over-year, total operating expenses nearly doubled to $426.9 million, and GAAP operating losses widened to $117 million. Free cash flow margin compressed from 24% to 14%.

Additionally, Figma shares had rallied sharply in the sessions ahead of earnings, with institutional sentiment turning bullish and AI software peers advancing broadly. The post-earnings decline reflects a classic sell-the-news dynamic as investors locked in gains. Morgan Stanley subsequently lowered its price target to $33 from $38 while maintaining an Equalweight rating.

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