Summary of Figma Inc. Conference Call Company Overview - **Company**: Figma Inc - **Industry**: Software - **Market Cap**: $35.325 billion - **Stock Rating**: Equal-weight - **Price Target**: $65.00 - **Current Stock Price (as of Dec 9, 2025)**: $38.47 - **52-Week Range**: $142.88 - $32.84 [5][5][5] Key Updates - **AI Credit Monetization**: Figma announced the introduction of direct AI credit monetization starting March 2026, offering two pricing strategies: 1. **Monthly Subscriptions**: A shared pool of credits at a better rate for teams using AI features regularly. 2. **Pay-as-you-go Billing**: Users can purchase credits as needed, ideal for teams with unpredictable usage patterns. [2][2][7] - **Credit Limits Enforcement**: Starting March 18, 2026, Figma will enforce credit limits across all seat types, including the Full seat, which previously did not have enforced limits. This is expected to help offset the impacts of pricing changes from FY25. [2][7][7] Financial Insights - **Revenue Opportunities**: The new AI credit monetization is seen as a significant revenue stream, particularly as the company will be lapping initial pricing and packaging changes from March 2025. [3][3][7] - **Growth Projections**: Current forecasts suggest a deceleration in growth from approximately 40% in FY25 to around 23% in FY26, with the new revenue streams expected to partially offset this decline. [3][3][8] - **Gross Margin Forecast**: The Street anticipates gross margins to compress to about 84% in FY26, following a 4-point year-over-year compression in FY25. However, the new revenue from AI credits is expected to improve unit economics and potentially offset some margin degradation. [8][8][8] Market Position and Risks - **Valuation**: Figma is currently valued at a 14x EV/S multiple, with expectations for durable growth as AI revenue streams begin to scale. [7][9][9] - **Risks**: - **Upside Risks**: Stronger monetization of users, material adoption of Figma Make, and conservative management outlook could drive growth. - **Downside Risks**: Competition from established software vendors and GenAI startups may inhibit total addressable market (TAM) expansion. [12][12][12] Conclusion Figma's strategic move towards AI credit monetization and the enforcement of credit limits is positioned as a catalyst for revenue growth and margin stabilization. The company faces challenges in maintaining growth rates amid competitive pressures and pricing changes, but the new initiatives are expected to provide some resilience in the upcoming fiscal year.