D.A. Davidson sees Canva and Databricks as large software companies that could look to take advantage of a hot IPO market and speed up plans to go public.

The big opening pop is the latest indication that the tech IPO market has reopened following a multiyear lull that began in early 2022.

Design-software company Figma’s stock rocketed more than 200% above its initial public offering price, and was headed for the largest ever first-day gain of an IPO with $500 million or more in proceeds.

Danny Rimer, partner at Index Ventures, led Figma’s seed round in 2013, when the company’s stock was valued at just 9 cents per share. He said he has long been impressed by co-founder Dylan Field’s product vision, and agreed with Field’s thesis that design is “the most important determinant” of many consumer-facing tech businesses.