Figma stock dropped approximately 7.8% in after-hours trading on October 17, 2026. The decline erased nearly $770 million in market value. The stock fell to approximately $21.50. This represented a distinct change in investor sentiment for the recently public company. The specific catalyst for the after-hours sell-off was not immediately clear.
The stock drop followed recent company announcements from its Config India conference. At the conference, Figma detailed an expansion of its AI-assisted software development tools. The company also announced 20 new partnerships. Figma focuses on integrating AI to enhance collaboration between design and coding teams. The company aims to broaden its user base beyond designers.