Figma Finally Freefall! Options Launch: How to Determine Buy-the-Dip Price?

Tiger_comments
08-05
Reward Tiger-CoinsReward 500 Tiger-coins

$Figma(FIG)$ plunged 27% and closed at $88.6. Its options just launched this week, with the lowest available strike price at $70.

At what price would you consider selling puts?

After yesterday’s 27% drop, Figma is now trading at a P/S ratio of 52.61. If you sell a put at $70, you're essentially betting on a valuation where the P/S drops to around 41—still lofty。

To put things into perspective:

  • Figma’s revenue is only ~4.8% of $Adobe(ADBE)$, yet its market cap has reached ~30% of Adobe’s.

  • Figma’s P/S of 52.6 is 6.27x higher than Adobe’s (P/S = 8.39).

  • A $70 share price implies a $34.1B valuation, and a P/S of 41.6.

  • Looking to bottom-fish? You might need to wait until below $50, when P/S drops below 30.

💡 Did you know? Adobe once agreed to acquire Figma for $20B, which corresponds to a share price of around $41—less than half of today's price.

What do you think:

  1. Can Figma sustain a P/S ratio north of 50?

  2. Will the stock really dip to $50 or below?

  3. At what price would you consider selling puts or buying the dip?

REWARDS

  • All valid comments will receive 5 Tiger Coins (5-50 coins; depend on comment quality; lucky tiger can get 66 coins)

  • Tag your friends to win another 5 Tiger Coins

Event detail to click: 🎁 Weekly Giveaway: Earnings Season Is Heating Up! 🔥 Come Join the Fun! 🎉

New reward is coming!!!

Click and check our new event: 🎉Let's See Who Got the Rewards in the New P&L Sharing Activity. Multiple rewards will be given to Tigers who share the P&L ratio or amount in the daily hot topics according to the rule.

ARK Loads Figma After 20% Plunge! Follow or Wait for IPO Pricing?
Figma surpassed revenue estimates but it faces huge lock-up expiry. Some investors have agreed to an extended lock-up expiration for 35% of their shares. EPS: Breakeven Revenue: $249.6 million vs. $248.8 million expected Net income totaled $846,000, compared with a loss of $827.9 million in the second quarter of 2024. The stock lost 20% after earnings. Ark Invest acquired 108,238 shares of Figma through ARKW. Total value of the trade amounted to $5.9 million. ------------ Is it a buy if it dips under $50? How do you view the extention? If Figma dips to $33 - IPO price, would you add?
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.
Reward expired
Due to insufficient number of valid participants, 500Tiger coins have been refunded to the initiator
Deadline to 08/14 05:12
Reward-post

Comments

  • AliceSam
    08-05
    AliceSam
    After yesterday’s 27% drop, Figma is now trading at a P/S ratio of 52.61. If you sell a put at $70, you're essentially betting on a valuation where the P/S drops to around 41—still lofty。
  • MHh
    08-06
    MHh
    I don’t think Figma can sustain a p/s ratio north of 50. The rally is beyond reason and I cannot understand why many would rush to push up its price. I can only think the failure of Adobe to acquire it caused this craze. I think a fair p/s would be around 30 unless figma has more to offer down the road. Honestly, I don’t think Adobe’s valuation and offer would be ridiculously off. So, I think unless it becomes a meme stock or there are many diamond hands among the various retail investors, the stock will definitely drop to below $50 or even below $40. I would consider selling put or buying the dip when it is $35 to $40. I wouldn’t put it too far off from what Adobe has valuated unless there are further developments. And, i am sure figma knows its worth when it filed IPO. The price has to dip below that for me to be really tempted, barring major unfavourable developments. @DiAngel @Kaixiang @Universe宇宙 @SR050321 @HelenJanet @Success88 @SPOT_ON @Wayneqq @LuckyPiggie @Fenger1188
  • Shyon
    08-06
    Shyon
    After the massive 27% drop, I think $Figma(FIG)$ is still far from being a bargain. A P/S ratio above 50 is hard to justify, especially when it’s generating less than 5% of Adobe’s revenue but commands nearly a third of Adobe’s market cap. To me, that screams overvaluation. Even if the $70 strike put looks tempting, I’d be more comfortable selling puts only if the valuation comes down to a more reasonable level.

    Personally, I’d consider selling puts when the stock nears the $50–$55 range, where the P/S ratio drops below 30. That would imply a healthier risk/reward balance and a much more realistic valuation for a company that’s still proving its standalone strength post-Adobe deal cancellation.

    As for buying the dip, I’m not rushing in yet. The $41 price tag from Adobe’s failed acquisition still lingers in the back of my mind—that was a $20B valuation, and anything near that level would offer a much more attractive long-term entry.

    @Tiger_comments @TigerStars

  • Cadi Poon
    08-05
    Cadi Poon
    菲格瑪的收入僅爲約4.8%$Adobe(ADBE)$，然而它的市值已達到Adobe的30%左右.

    Figma的P/S爲52.6比Adobe高6.27倍(P/S=8.39)。

    70美元的股價意味着$34.1 B估值，和一個P/S爲41.6.

  • TimothyX
    08-05
    TimothyX
    繼昨天下跌27%後，Figma目前的交易價格爲市盈率52.61.如果你以70美元賣出看跌期權，你本質上是押注於一個估值市盈率降至41左右——依然崇高。

    正確看待事物：

    菲格瑪的收入僅爲約4.8%$Adobe(ADBE)$，然而它的市值已達到Adobe的30%左右.

    Figma的P/S爲52.6比Adobe高6.27倍(P/S=8.39)。

    70美元的股價意味着$34.1 B估值，和一個P/S爲41.6.

  • WanEH
    08-08
    WanEH
    这家公司的操盘手非常恶毒 反复收割正股和期权散户 l。我相信历史不会简单的重演。当人都以为可以再一次120多买入 隔天150卖出的时候，也许这个庄家已经预测到我们的预测。短期内还是建议大家不要碰这支股。 热度过去价格企稳后再做价投。 @Tiramisu2020
Leave a comment
21
83