Figma General Counsel Sells 211,599 Shares for $6.3 Million
Key Points
Brendan Mulligan sold 211,599 shares on August 28, 2026, for an estimated value of ~$6.3 million.
The transaction size was equal to 23% of the stake held prior to the filing.
The disposal involved directly held equity, with the insider retaining 727,952 shares after the transaction.
The sale was executed under a Rule 10b5-1 trading plan, reflecting a pre-arranged liquidity schedule.
Brendan Mulligan, General Counsel and Secretary, reported a sale of ~212,000 shares of Figma, Inc. (NYSE:FIG) in an SEC Form 4 filing.
Transaction summary
| Metric | Value |
|---|---|
| Transaction value | $6.3 million |
| Shares sold | 211,599 |
| Post-transaction shares (directly held) | 727,952 |
| Post-transaction value | $20.98 million |
Transaction value based on SEC Form 4 weighted average sale price ($29.79); post-transaction value based on Aug. 28, 2026, market close ($28.82).
Key questions
- What are the structural details of the trading plan?
The sale was conducted under a Rule 10b5-1 plan that Brendan Mulligan adopted on May 29, 2026, which allows insiders to schedule future transactions to satisfy long-term liquidity requirements. - How does this disposal affect the insider's equity position?
Following the disposal of 211,599 shares, the General Counsel and Secretary maintains a direct ownership interest of 727,952 shares in the company. - What were the pricing specifics of the transaction?
The execution occurred in multiple tranches at prices ranging from $28.78 to $30.76, resulting in a weighted average execution price of $29.79 per share. - What was the performance of the stock at the time of the filing?
At the time of the transaction on Aug. 28, 2026, the company shares were priced at $29.79, reflecting a one-year total return of -60%.
Company Overview
| Metric | Value |
|---|---|
| Share Price (as of market close 2026-08-31) | $27.49 |
| Market Capitalization | $14.6 billion |
| Revenue (TTM) | $1.3 billion |
| Net Income (TTM) | -$1.5 billion |
Company Snapshot
- Figma develops and distributes a collaborative, browser-based design platform that enables teams to design, prototype, and build digital experiences through integrated tools, including Figma Design for collaborative design workflows, Dev Mode for design-to-code translation, and FigJam for ideation and alignment.
- The company operates a subscription-based business model, generating recurring revenue through tiered access to its platform with varying feature sets and capabilities designed to serve different user segments and organizational needs.
- Figma serves design teams, product managers, and developers across enterprises and mid-market organizations seeking collaborative design solutions that streamline product development workflows and reduce time-to-market for digital products.
Figma is a leading collaborative design platform with approximately 1,886 employees and a market capitalization of $14.6 billion as of Aug. 31, 2026. The company has achieved significant scale with TTM revenue of $1.3 billion, establishing itself as a critical infrastructure provider for digital product development teams globally. Figma's competitive advantage derives from its browser-based architecture, real-time collaboration capabilities, and integrated suite of design and development tools that address the full product creation lifecycle.
What this transaction means for investors
Brendan Mulligan's sale of Figma shares may alarm investors at first, as he sold 23% of his shares.
However, it may not be as concerning as it appears. Mulligan sold these shares under the Rule 10b5-1 framework, adopted in May. Thus, it was a pre-planned sale, more than likely driven by liquidity rather than by anything specific to the company or its financials that prompted him to exit.
The SaaS platform has also gained popularity for its ability to collaboratively design website and mobile app interfaces. In the first half of 2026, its revenue grew 47% year over year to $704 million, suggesting that AI has not hurt its platform.
Moreover, the stock declined dramatically after initially shooting higher following its July 2025 IPO. Hence, its once-elevated price-to-sales (P/S) ratio has fallen to less than 11, a valuation more attractive to prospective investors.
Indeed, situations always arise that could prompt an insider to unload shares. Nonetheless, given Figma's current condition, the stock looks more like a buy than a sell, likely meaning bearishness was not a factor in Mulligan’s insider sale.
Will Healy has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Figma. The Motley Fool has a disclosure policy.