FingerTango, Inc. (6860) AI Stock Analysis

• Market Cap: HK$379.34M
• Dividend Yield: N/A
• Average Volume (3M): 597.07K
• Price to Earnings (P/E): 12.4
• Beta (1Y): 0.13
• Revenue Growth: -25.66%
• EPS Growth: -23.36%
• Country: HK
• Employees: 245
• Sector: Communication Services
• Sector Strength: 97
• Industry: Electronic Gaming & Multimedia
• EPS (TTM): <0.01
• Shares Outstanding: 1,918,088,000
• 10 Day Avg. Volume: 961,300
• 30 Day Avg. Volume: 597,066
• PEG Ratio: 0.02
• Price to Book (P/B): 0.27
• Price to Sales (P/S): 0.36
• P/FCF Ratio: 58.62
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 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: 66 Neutral
• Price Target: HK$0.22 ▲(21.67% Upside)

The score is led by solid technical strength and a reasonable P/E, but is held back by weak cash generation (no positive operating/free cash flow) and declining revenue despite improving profitability and a strong, low-debt balance sheet.

Positive Factors

Strong balance sheet / low leverage

Low leverage and a strong equity base give FingerTango durable financial flexibility. Over the next 2-6 months this supports continued investment in game development, user acquisition, or M&A without immediate refinancing risk, and provides a buffer against industry cyclicality.

Improving profitability margins

Rising EBIT and net margins signal that cost controls and product profitability are improving. Sustained margin expansion increases free resources for content reinvestment and marketing, helping to offset revenue headwinds and improve long-term cash generation if top-line stabilizes.

Diversified monetization mix

A hybrid monetization model (IAP plus ads) and partnerships diversify revenue sources and reduce reliance on any single title. Structurally this aids resilience across user cohorts and geographies, enabling optimization of lifetime value and ad yield across different product cycles.

Negative Factors

Declining revenue trend

A roughly 25% year-over-year revenue decline is a durable risk: lower top-line undermines operating leverage, constrains reinvestment in new titles, and makes sustaining R&D and UA spend harder. If revenue contraction persists, margin gains may not offset lost scale.

Weak cash generation

No positive operating or free cash flow limits the company’s ability to self-fund growth, deferred content costs, or sustained marketing. Even with low debt, persistent negative cash flow may force external financing, slowing product cadence or diluting shareholders over time.

Volatile and negative EPS growth

Negative and volatile EPS growth indicates earnings quality and predictability issues. For a content-driven mobile games business, inconsistent profitability complicates long-term planning for live-ops, new title investment and talent retention, increasing execution risk over coming quarters.

FingerTango, Inc. Business Overview & Revenue Model

Company Description

FingerTango Inc., an investment holding company, develops and publishes mobile games in the People's Republic of China. The company publishes and sells simulation mobile games. It also engages in the technical support and development, internet culture, and internet and software technology development and service activities. As of December 31, 2021, the company had approximately 185.0 million cumulative registered users. FingerTango Inc. was founded in 2013 and is headquartered in Guangzhou, the People's Republic of China. FingerTango Inc. is a subsidiary of LJ Technology Holding Limited.

How the Company Makes Money

FingerTango generates revenue primarily through in-app purchases and advertising within its mobile games. The company offers free-to-play games that attract a large user base, and monetizes this audience by selling virtual goods, character upgrades, and premium features. Additionally, FingerTango partners with advertising networks to display ads in its games, earning revenue from impressions and clicks. Significant partnerships with other gaming companies and platforms also enhance its market presence and revenue opportunities, as they may collaborate on cross-promotional campaigns and co-develop new titles.

FingerTango, Inc. Financial Statement Overview

Summary

FingerTango, Inc. presents a mixed financial condition. The income statement shows improving profitability margins, but the declining revenue trend raises concerns. The balance sheet is strong with low leverage and high equity levels, providing a solid foundation. However, the cash flow statement indicates potential liquidity challenges, as the company struggles to generate positive cash flows.

Income Statement

The company shows a mixed picture. Revenue growth is volatile, with a decline from the previous year, yet there is a recovery in profitability with an improved EBIT and net profit margin. Gross profit margin remains relatively strong, indicating cost management effectiveness, but the declining revenue trend poses potential risks.

Balance Sheet

The balance sheet is robust with a strong equity position and low debt levels, as indicated by the low debt-to-equity ratio. Return on equity has improved significantly, suggesting better profitability and efficiency. The equity ratio indicates a stable financial structure with a high percentage of assets financed by equity.

Cash Flow

Cash flow analysis raises concerns due to the absence of positive operating cash flow and free cash flow. Despite a reduction in debt levels, there is limited cash generation capability. The lack of growth in free cash flow suggests potential liquidity issues.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	386.79M	609.15M	646.10M	832.51M	613.01M	748.23M
Gross Profit	197.77M	345.89M	371.95M	532.17M	361.25M	464.00M
EBITDA	5.29M	29.25M	31.68M	-111.32M	-519.80M	113.84M
Net Income	25.86M	32.84M	6.77M	-139.35M	-517.40M	127.64M
Balance Sheet
Total Assets	1.01B	1.00B	1.01B	1.06B	1.19B	1.64B
Cash, Cash Equivalents and Short-Term Investments	696.95M	648.74M	677.67M	758.64M	741.14M	701.59M
Total Debt	10.98M	14.47M	20.20M	26.57M	32.46M	3.63M
Total Liabilities	189.46M	180.84M	226.17M	278.45M	293.81M	209.88M
Stockholders Equity	823.31M	821.42M	785.73M	777.81M	894.30M	1.43B
Cash Flow
Free Cash Flow	34.48M	3.72M	-52.02M	17.95M	102.17M	-85.03M
Operating Cash Flow	34.92M	41.00M	-46.09M	28.00M	110.72M	-78.23M
Investing Cash Flow	-116.17M	-227.04M	-103.71M	35.50M	-58.00K	-142.30M
Financing Cash Flow	-7.03M	-7.40M	-6.37M	-5.90M	-11.81M	-8.00M

FingerTango, Inc. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.18
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:6860, the sentiment is Positive. The current price of 0.18 is below the 20-day moving average (MA) of 0.18, below the 50-day MA of 0.19, and above the 200-day MA of 0.18, indicating a bullish trend. The MACD of <0.01 indicates Negative momentum. The RSI at 64.01 is Neutral, neither overbought nor oversold. The STOCH value of 72.22 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:6860.

FingerTango, Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
6860	66 Neutral	HK$379.34M	12.44	3.47%	―	-25.66%	-23.36%
Sector *	60 Neutral	$48.67B	4.58	-11.27%	4.14%	2.83%	-41.78%
1961	46 Neutral	HK$198.26M	-3.06	-34.36%	―	-43.62%	22.41%
1022	46 Neutral	HK$1.14B	73.86	2.72%	―	183.41%	39.68%
0484	44 Neutral	HK$144.78M	-1.49	-15.08%	―	65.41%	-313.74%
1909	41 Neutral	HK$373.94M	-7.32	-36.46%	―	12.84%	-113.72%
6899	41 Neutral	HK$268.64M	-2.34	―	―	―	―

FingerTango, Inc. Corporate Events

FingerTango to Dispose of HK$89 Million Investment in Discloseable Transaction

FingerTango, Inc., a Hong Kong-listed investment-focused company, participates in managing and disposing of financial assets as part of its broader capital allocation strategy within the investment and asset management sector. The company has agreed to sell 59,672.888 Class L shares to an independent third-party purchaser for HK$89 million in cash, with HK$10 million payable upon completion and the remaining HK$79 million due within 90 days thereafter; the size of the transaction makes it a discloseable transaction under Hong Kong listing rules, signaling a notable rebalancing of FingerTango’s investment portfolio that may affect its financial position and capital deployment flexibility.

The most recent analyst rating on (HK:6860) stock is a Hold with a HK$0.21 price target. To see the full list of analyst forecasts on FingerTango, Inc. stock, see the HK:6860 Stock Forecast page.

FingerTango Inc. Donates HK$1 Million for Tai Po Fire Relief

FingerTango Inc. has announced a donation of HK$1 million to support fire rescue operations, relief efforts, and post-disaster recovery work in Tai Po District, Hong Kong, following a severe fire that resulted in heavy casualties and significant property losses. The company expresses its condolences to the victims and their families and commends the bravery of firefighters and rescuers. This initiative underscores FingerTango’s commitment to corporate social responsibility and its dedication to aiding affected communities in overcoming challenging times.

The most recent analyst rating on (HK:6860) stock is a Hold with a HK$0.21 price target. To see the full list of analyst forecasts on FingerTango, Inc. stock, see the HK:6860 Stock Forecast page.