Why There’s a Strong Bull Case
Following Figma’s recent IPO, the market has been flooded with strong analyses suggesting that the current market cap will grow even larger. Major investment institutions and analysts are highly evaluating the long-term growth potential based on AI innovation, platform expansion, and international market opportunities.
Core Bull Case Arguments
1. AI Innovation is Transforming the Entire Market
Complete Transformation into AI-Native Platform
In 2025, Figma has evolved from just a collaborative design tool to an AI-powered design assistant. The fact that 51% of users are developing AI agent products represents more than double the growth from last year’s 21%.
Creating New Revenue Models
They’re expanding from traditional seat-based subscriptions to AI credit consumption-based revenue. This is really important because it creates a structure where revenue grows based on usage.
Revolutionary AI Products
- Figma Make: Just input text and prototypes are automatically created. It reportedly reduces development time by 90%
- Code Layers: Designs are directly converted to code, integrating developer workflows
- AI Image Generation: Generate and edit images directly using ChatGPT-based technology
2. Expanding into Platform Ecosystem
Non-Designers Becoming Primary Customers
What’s amazing is that 67% of all users are non-designers. It’s spreading across entire product teams, creating enormous network effects.
TAM Expanding 10x
- Current: $33B (design software)
- Expanded: $200B+ (entire collaboration platform)
- Ultimate: $300B+ (entire creator economy)
3. Massive International Market Opportunity
Regional Monetization Gap
85% of global users are outside the US, but international revenue is only 53%. Closing this gap represents 2-3x monetization potential.
4. Enterprise Expansion Potential
Growth Opportunities Even Within Fortune 500
While 95% of companies use it, only 24% are $100K+ customers. Analysis shows potential to increase average customer revenue from $50K to $150K+.
Positive Outlook from Market Analysts
Price Target Forecasts
| Institution/Analyst | Target Price | Rationale |
|---|---|---|
| Barron’s | $160-200 | AI platform transition, enterprise expansion |
| Forbes | $275+ | Platform monopoly, ecosystem expansion |
| AInvest | $150-180 | International monetization, AI innovation |
| YouTube Analysts | $200+ | Long-term growth based on Netflix/Stripe cases |
Scenario-Based Forecasts
| Scenario | 2030 Target Price | Rationale |
|---|---|---|
| Conservative | $160 | Maintaining current 35% growth rate |
| Base | $220 | AI integration success, international expansion |
| Optimistic | $750+ | SaaS sector dominance, platform monopoly |
Specific Growth Drivers
AI Market Opportunity
- Global design software market expected to grow at 6.4% CAGR to $39.2B by 2033
- AI-integrated design tools alone expected to create a separate $50B+ market
- 51% of Figma users are building agentic AI, creating new revenue streams
Platform Expansion Effects
- Cross-sell opportunities increasing from current 76% to 90%+ could double revenue per customer
- Dev Mode entering the $20B developer tools market
- Figma Buzz expanding into the $15B marketing automation market
International Market Potential
- Asian markets seeing explosive demand for design tools in China/India
- Europe can justify premium pricing through enhanced GDPR compliance
- Major customer acquisition through local language support in Brazil, Mexico, etc.
Bull Case Financial Projections
2027-2030 Targets
- Revenue: $0.9B → $2.5-3B (35-40% annual growth)
- Users: 13M → 50M+ users
- ARPU: $70 → $120+ (AI credits, premium features)
- International Revenue Share: 53% → 70%+
Fair Valuation (Bull Case)
- 2027 P/S: 25-30x (mature SaaS company standard)
- Target Market Cap: $75-90B
- Stock Upside Potential: 30-60% additional growth from current levels
Conclusion: Highly Attractive Long-Term
The analysis that Figma’s current market cap will grow larger is quite convincing.
Key Growth Drivers:
- AI Innovation: Creating entirely new markets with agentic AI and automation tools
- Platformization: TAM expanding 10x from simple design tools to collaboration platforms
- Internationalization: Opportunity to close the gap between 85% global users vs 53% revenue
- Enterprise: Expansion within Fortune 500 and increased revenue per customer
From an Investment Perspective:
- Short-term (1-2 years): Buying opportunity at low points after valuation adjustment
- Medium-term (3-5 years): $75-90B market cap achievable if AI integration succeeds
- Long-term (5-10 years): Potential mega-cap entry above $100B if platform monopoly is achieved
While current prices are high, the market’s main Bull Case is that there’s sufficient upside potential considering long-term growth prospects. Especially if AI innovation and platform expansion succeed, it could be a really big opportunity.