FingerMotion (FNGR) AI Stock Analysis

• Market Cap: $73.84M
• Dividend Yield: N/A
• Average Volume (3M): 331.17K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.06
• Revenue Growth: 15.09%
• EPS Growth: 13.28%
• Country: US
• Employees: 64
• Sector: Communication Services
• Sector Strength: 97
• Industry: Telecommunications Services
• EPS (TTM): -0.03
• Shares Outstanding: 61,281,307
• 10 Day Avg. Volume: 492,637
• 30 Day Avg. Volume: 331,167
• PEG Ratio: -0.37
• Price to Book (P/B): 4.65
• Price to Sales (P/S): 1.78
• P/FCF Ratio: -7.75
• Enterprise Value/Market Cap: 1.01
• Enterprise Value/Revenue: 2.24
• Enterprise Value/Gross Profit: 44.82
• Enterprise Value/Ebitda: -12.83
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 45 Neutral
• Price Target: $1.50 ▲(19.05% Upside)

The score is held down primarily by weak financial performance (declining revenue, very low margins, ongoing losses, and negative free cash flow). Technicals are slightly supportive near-term (above 20/50DMA) but lack longer-term confirmation (below 100/200DMA and MACD slightly negative). Valuation is also a headwind due to a negative P/E and no dividend yield provided.

Positive Factors

Low Financial Leverage

A very low debt-to-equity (~0.03) meaningfully reduces refinancing and interest-rate risk, giving management structural flexibility. This durable balance-sheet conservatism supports strategic actions (M&A, restructuring) without large fixed financing costs, preserving optionality.

Strategic Pivot and Diversification

Shifting capital from legacy telecom to the Command & Communication platform and pursuing acquisitions is a structural repositioning. If executed, diversification could improve revenue mix and margins over months, reducing reliance on a contracting core telecom product set.

Working Capital and Equity Cushion

A multi-million dollar working capital surplus and positive shareholders' equity provide a persistent solvency buffer. These balance-sheet cushions extend operational runway and enable deal activity or restructuring, mitigating immediate insolvency risk despite low cash.

Negative Factors

Declining Revenue Trend

A falling top line (TTM -7.6% and a steep Q3 YoY decline) signals weakening market traction and eroding scale. Structural revenue decline limits the firm’s ability to leverage fixed costs, undermines cash generation potential, and raises execution risk for any growth strategy.

Very Low Gross Margins and Persistent Losses

A ~5% gross margin and sustained negative net margin (~-16%) indicate weak pricing power or high direct costs in core offerings. Such compressed margins structurally constrain reinvestment capacity, make profitable scaling difficult, and lengthen the timeline to sustainable earnings.

Material Cash Burn and Liquidity Risk

Significant negative operating/free cash flow (≈-$7.2M TTM) combined with negligible cash on hand creates persistent funding need. Over months this forces recurring financing, potential dilution, or curtailed investment, threatening long-term operational continuity if cash generation doesn't improve.

FingerMotion Business Overview & Revenue Model

Company Description

FingerMotion, Inc., a mobile data specialist company, provides mobile payment and recharge platform solutions in China. The company offers telecommunication providers' products and services, including data plans, subscription plans, mobile phones, and loyalty points redemption services; bulk short message service and multimedia messaging services; and RCS platform, a proprietary business messaging platform that enables businesses and brands to communicate and service their customers on the 5G infrastructure. It also operates Sapientus, a proprietary big data insights platform that deliver data-driven for businesses in the insurance, healthcare, and solutions and insights financial services industries. FingerMotion, Inc. is headquartered in New York, New York.

How the Company Makes Money

FingerMotion generates revenue through multiple streams, primarily by offering mobile data services and analytics solutions to telecommunications companies. The company earns money by charging fees for its data management services, which allow carriers to optimize their mobile offerings and improve customer retention. Additionally, FingerMotion may generate revenue from partnerships with telecom operators, providing them with essential tools for data analysis and customer engagement. Key revenue contributions also come from the sale of value-added services that enhance the mobile experience for end users, such as personalized data plans and loyalty programs.

FingerMotion Financial Statement Overview

Summary

Overall fundamentals are weak: TTM revenue declined (-7.63%), gross margin is very low (~5%), and the company remains unprofitable with net losses (net margin ~-16%). Low leverage (debt-to-equity ~0.03) is a positive, but it is outweighed by materially negative operating/free cash flow (about -$7.2M) and continued cash burn.

Income Statement

TTM (Trailing-Twelve-Months) revenue declined (-7.63%) and profitability remains weak, with a very low gross margin (~5%) and continued operating and net losses (net margin ~-16%). While losses are narrower than the FY2023 trough (net margin ~-22%), the overall earnings profile is still structurally unprofitable and margins have compressed versus FY2024 levels.

Balance Sheet

Leverage is low in TTM (Trailing-Twelve-Months), with debt-to-equity around 0.03, providing balance-sheet flexibility and reducing refinancing risk. However, returns remain deeply negative (ROE ~-35% TTM), indicating shareholder capital is not being converted into profits, which limits the quality of the capital base despite modest debt.

Cash Flow

Cash generation is the key pressure point: TTM (Trailing-Twelve-Months) operating cash flow and free cash flow are both materially negative (about -$7.2M), and free cash flow has deteriorated (growth ~-13.6%). Cash burn persists even as accounting losses improve, signaling ongoing funding needs until the business reaches sustainable positive cash flow.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	35.61M	35.79M	34.05M	22.93M	16.68M
Gross Profit	2.76M	3.86M	2.32M	2.81M	1.65M
EBITDA	-5.67M	-3.62M	-6.79M	-4.71M	-4.08M
Net Income	-5.11M	-3.76M	-7.54M	-4.94M	-4.38M
Balance Sheet
Total Assets	48.82M	18.45M	17.55M	10.37M	7.34M
Cash, Cash Equivalents and Short-Term Investments	7.76M	6.71M	9.24M	461.93K	850.72K
Total Debt	1.26M	4.80K	3.39M	5.07K	1.71M
Total Liabilities	35.16M	6.75M	4.57M	5.28M	5.23M
Stockholders Equity	13.65M	11.69M	12.96M	5.08M	2.11M
Cash Flow
Free Cash Flow	-8.18M	-8.20M	-8.69M	-5.87M	-4.51M
Operating Cash Flow	-8.18M	-8.20M	-8.61M	-5.85M	-4.27M
Investing Cash Flow	-4.12K	-376.00	-74.82K	-26.07K	-238.49K
Financing Cash Flow	7.78M	-295.33K	17.34M	5.41M	5.17M

FingerMotion Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1.26
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For FNGR, the sentiment is Negative. The current price of 1.26 is above the 20-day moving average (MA) of 1.23, below the 50-day MA of 1.33, and below the 200-day MA of 1.82, indicating a bearish trend. The MACD of -0.02 indicates Negative momentum. The RSI at 45.32 is Neutral, neither overbought nor oversold. The STOCH value of 41.46 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for FNGR.

FingerMotion Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
RDCM	76 Outperform	$189.79M	18.71	10.54%	―	17.27%	39.41%
CXDO	67 Neutral	$192.68M	44.50	7.87%	―	12.91%	222.63%
Sector *	60 Neutral	$48.67B	4.58	-11.27%	4.14%	2.83%	-41.78%
UCL	56 Neutral	$58.21M	7.43	29.12%	―	-2.61%	85.42%
KORE	55 Neutral	$86.82M	-1.32	―	―	0.06%	55.55%
FNGR	45 Neutral	$73.84M	-13.31	-42.52%	―	15.09%	13.28%
IQST	45 Neutral	$11.06M	-0.87	-79.86%	―	43.19%	-63.65%

FingerMotion Corporate Events

FingerMotion Posts Q3 2026 Results Amid Strategic Pivot

On January 15, 2026, FingerMotion reported its financial results for the third quarter of fiscal 2026, covering the period ended November 30, 2025, showing a sharp contraction in its top line as it reallocated capital across business segments. Quarterly revenue fell 32% year over year to $5.80 million, driven largely by a 32% decline in its core Telecommunications Products & Services revenue to $5.76 million and a steep drop in DaGe Platform revenue amid capital constraints that curtailed operations and promotions, while the Command and Communication segment grew to $31,051 from $138 and the nascent Big Data unit generated $126. Gross profit declined 41% to $263,103 on $5.53 million of cost of revenue, operating expenses edged down 4.5% to $1.96 million, and net loss attributable to shareholders was essentially flat at $1.67 million, or a basic and diluted loss per share of $0.03. As of November 30, 2025, the company held just $24,214 in cash and cash equivalents but reported a working capital surplus of $7.26 million, shareholders’ equity of $16.34 million, total assets of $60.06 million against total liabilities of $43.71 million, and 61.2 million common shares outstanding. Management characterized the quarter as part of a strategic pivot toward a leaner, more diversified model, shifting resources from its traditional telecom business to its higher-growth Command and Communication platform and pursuing strategic acquisitions, a move that could reshape its revenue mix and margin profile but also underscores the pressure from tight liquidity on existing operations.

The most recent analyst rating on (FNGR) stock is a Hold with a $1.00 price target. To see the full list of analyst forecasts on FingerMotion stock, see the FNGR Stock Forecast page.

FingerMotion Announces Potential Telecom Acquisition Deal

On December 15, 2025, FingerMotion announced a non-binding term sheet with a voice and messaging telecom service provider for a potential acquisition. This move aligns with FingerMotion’s strategy to expand its telecom services and enhance value for shareholders and customers, though no definitive agreement has been reached yet.

The most recent analyst rating on (FNGR) stock is a Hold with a $1.50 price target. To see the full list of analyst forecasts on FingerMotion stock, see the FNGR Stock Forecast page.

FingerMotion Board Approves Dividend in Kind Warrants

On November 14, 2025, FingerMotion, Inc. issued 190,000 shares of common stock at $1.50 per share, raising $285,000 through a private placement, utilizing an exemption from the U.S. Securities Act for offshore transactions. On November 17, 2025, FingerMotion announced its Board of Directors preliminarily approved a dividend in kind of warrants for common stock to its shareholders, with plans to register these warrants with the SEC and list them on Nasdaq, pending regulatory review and market conditions.

The most recent analyst rating on (FNGR) stock is a Hold with a $1.50 price target. To see the full list of analyst forecasts on FingerMotion stock, see the FNGR Stock Forecast page.