Insider Trading February 24, 2026

Sequoia-Linked Director Purchases $36.5M of Figma Class A Shares

Reed Andrew Phillips increases indirect holdings in Figma amid mixed analyst reactions to strong quarterly results

By Jordan Park FIG
Sequoia-Linked Director Purchases $36.5M of Figma Class A Shares
FIG

Sequoia-affiliated director Reed Andrew Phillips bought roughly $36.5 million of Figma Inc. (FIG) Class A common stock across two days in late February 2026, adding 1,466,852 shares through SC Expansion Fund II Management, L.P. The insider acquisitions coincide with robust fourth-quarter results and forward guidance for fiscal 2026, even as the share price sits well below its 12-month high and is flagged as overvalued by InvestingPro analysis.

Key Points

  • Reed Andrew Phillips bought 1,466,852 shares of Figma Class A common stock through SC Expansion Fund II Management, L.P., on February 20 and February 23, 2026, at prices between $23.9503 and $25.9038 per share.
  • After these purchases, Phillips indirectly holds stakes in Figma across several Sequoia-managed funds and entities, including 22,152,394 shares via Sequoia Capital U.S. Growth Fund VIII, L.P.
  • Figma reported Q4 revenue of $303.8 million (up 40% year-over-year) and adjusted EPS of $0.08, and issued fiscal 2026 revenue guidance of about 30% year-over-year growth, prompting mixed analyst reactions.

Insider transactions

Director Reed Andrew Phillips made a series of purchases of Figma Inc. (EXCHANGE:FIG) Class A common stock totaling approximately $36.5 million, according to a Form 4 filed with the Securities and Exchange Commission. The transactions were executed on February 20 and February 23, 2026, through SC Expansion Fund II Management, L.P., and amounted to 1,466,852 shares.

The purchase prices recorded on the filing ranged from $23.9503 to $25.9038 per share. The filing breaks down the purchases by date: 554,103 shares were acquired on February 20; on February 23, two separate buys of 42,362 shares and 870,387 shares were reported.


Post-transaction holdings

Following these additions, Reed Andrew Phillips holds indirect positions in Figma across multiple Sequoia-related vehicles. The Form 4 lists the following indirect holdings:

  • 22,152,394 shares through Sequoia Capital U.S. Growth Fund VIII, L.P.
  • 1,077,911 shares through SC U.S. Growth IX Management, L.P.
  • 1,971,015 shares through SC US/E Growth X Management, L.P.
  • 60,000 shares through Sequoia Capital US/E Expansion Fund I, L.P.
  • 7,130,668 shares through Sequoia Grove II, LLC.
  • 145,329 shares through Sequoia Grove UK, L.P.

Market context and valuation signals

At the time the filing was reported, Figma shares were trading at $27.43, representing an approximate 76% decline over the past year. InvestingPro analysis referenced in the filing indicates the stock appears overvalued relative to its Fair Value estimate, while also noting the company possesses a strong balance sheet with more cash than debt. The filing references a Pro Research Report covering Figma and more than 1,400 other U.S. equities for investors seeking detailed analysis.


Recent operating results and guidance

Figma reported fourth-quarter revenue of $303.8 million, a 40% year-over-year increase that exceeded analyst expectations. The company posted adjusted earnings per share of $0.08, above the consensus figure of $0.06. For fiscal 2026, Figma provided guidance projecting roughly 30% year-over-year revenue growth, which the filing notes is about 7 percentage points higher than consensus projections.

The companys results and guidance prompted varied responses from equity research firms. Piper Sandler reiterated an Overweight rating with a $35 price target, citing strong guidance. In contrast, Stifel lowered its price target from $40 to $30 and maintained a Hold rating, attributing the change to concerns about AI margins. RBC Capital trimmed its price target to $31 from $38, citing valuation concerns while retaining a Sector Perform rating. The filing highlights that, despite the divergence in analyst views, Figmas accelerated revenue growth and robust guidance have drawn notable attention.


What this filing shows

The Form 4 documents an influential investor increasing exposure to Figma through a Sequoia-affiliated vehicle over two trading days in February 2026. All transaction dates, share quantities, per-share price range, and the exact indirect holdings listed above are drawn from the SEC filing and the companys reported quarterly results and guidance as noted in the filing.

Risks

  • The stock was trading at $27.43 and is down roughly 76% over the past year, indicating significant recent share-price weakness that could affect investor returns - impacts equity markets and technology sector investors.
  • InvestingPro analysis cited in the filing indicates the stock appears overvalued relative to its Fair Value estimate, posing valuation risk to prospective buyers - impacts valuation-sensitive investors and portfolio managers.
  • Analyst divergence on price targets and margin concerns - including worries about AI margins cited by Stifel and valuation concerns noted by RBC Capital - creates uncertainty around near-term price direction and market sentiment, affecting research-driven investment decisions.

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