FingerMotion, Inc. (NASDAQ: FNGR), a mobile data specialist company focused on innovative payment and recharge platform solutions in China, is gaining the attention of analysts and investors alike again.
In a recent report, a prominent analyst from The Benchmark Company initiated coverage on FingerMotion with a ‘Strong Buy’ rating, citing its robust growth potential and strategic positioning in the rapidly evolving telecommunications and data services sector.
This bullish outlook aligns with a surge in investor confidence, as retail and institutional players place massive bets on FNGR stock, fueling speculation of significant upside in 2025 and beyond, according to Public.com.
Analyst’s Rationale for the ‘Strong Buy’ Rating
According to the analyst’s forecast, FingerMotion’s diversified portfolio and innovative platforms position it as a leader in China’s mobile payment and telecommunications market.
The company’s offerings include mobile payment and recharge services, data plans, subscription plans, and value-added services such as its Rich Communication Services (RCS) platform and Sapientus, a proprietary big data insights platform.
These solutions cater to both individual consumers and corporate clients, leveraging the rollout of 5G infrastructure to enhance communication and data-driven decision-making.
The Benchmark Company highlighted several key factors supporting its ‘Strong Buy’ recommendation:
- Market Leadership in Mobile Payments: FingerMotion’s mobile payment and recharge platform has gained significant traction in China, where mobile data consumption is soaring. The company’s partnerships with major telecommunications providers enable it to offer seamless services, including data plans and loyalty point redemption, which drive customer retention and revenue growth.
- Innovative Technology Platforms: The Sapientus platform, which provides data-driven insights for industries such as insurance, healthcare, and financial services, positions FingerMotion to capitalize on the growing demand for big data analytics. Additionally, the RCS platform enhances business-to-consumer communication on 5G networks, offering a competitive edge in the messaging services market.
- Recent Contracts and Certifications: FingerMotion’s Advanced Mobile Integrated C2 Platform, developed in collaboration with JiuGe Technology, recently received national certification from China’s Ministry of Industry and Information Technology (MIIT) for integration with SAIC Maxus vehicles. This milestone enhances the company’s credibility and opens new revenue streams in the automotive and emergency response sectors.
- Favorable Valuation: Despite a volatile share price over the past year, with a 52-week range of $1.03 to $3.96, the analyst believes FNGR is undervalued relative to its growth prospects. The average one-year price target of $5.10, with forecasts ranging from $5.05 to $5.25, suggests significant upside potential from its current trading price of approximately $1.78 as of April 29, 2025.
The analyst’s report emphasizes FingerMotion’s ability to navigate competitive markets while delivering innovative solutions, making it a compelling investment opportunity for those seeking exposure to the telecommunications and technology sectors.
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Massive Bets Fuel Bullish Sentiment
The analyst’s optimism is echoed by a wave of investor enthusiasm, as retail and institutional investors place substantial bets on FingerMotion’s future.
We recently published an article on the massive call option bets in FingerMotion.
Retail investors are increasingly drawn to FNGR due to its potential for a short squeeze and its history of being targeted by alleged naked short selling.
In recent months, FNGR has seen a surge in trading volume and retail momentum, with the stock rising 37.98% over a two-week period ending April 29, 2025.
This rally follows a +329% gain in the past month and +114% year-to-date, reflecting strong bullish sentiment among investors.
The stock’s short interest remains elevated, with 5.96% of the float sold short and a days-to-cover ratio of 9.7, indicating potential for a squeeze if positive catalysts continue to drive buying pressure.
Retail investors, emboldened by past successes in stocks like AMC Entertainment and GameStop, are leveraging social media platforms like X to share their optimism.
Posts on X highlight the Benchmark Company’s ‘Strong Buy’ rating and speculate on FNGR’s potential to reach new highs, with some investors targeting a short squeeze triggered by regulatory scrutiny of naked short selling.
Institutional interest is also growing, with FingerMotion’s recent $5.0 million registered direct offering in December 2024 signaling confidence in its long-term growth strategy.
The company’s participation in high-profile events, such as the LD Micro Invitational XV and the 37th Annual ROTH Conference, further underscores its appeal to sophisticated investors.
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Challenges and Risks
Despite the bullish outlook, investors should remain mindful of potential risks.
FingerMotion’s earnings have declined by 10.4% per year over the past five years, and its operating margin of -20.0% and return on equity of -47.8% reflect ongoing profitability challenges.
The stock’s high volatility, with a weekly volatility of 13%, may also deter risk-averse investors.
Additionally, the lack of consistent analyst coverage and the absence of dividend payments could limit its appeal to certain investor groups.
Moreover, the company’s exposure to the Chinese market introduces regulatory and geopolitical risks that could impact its operations.
Investors are advised to conduct thorough research and consult with financial advisors before making investment decisions.
In other words, if you’re able to make gains from this play, take profits.
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Looking Ahead
FingerMotion’s ‘Strong Buy’ rating from The Benchmark Company, coupled with massive bets from retail and institutional investors, paints a bullish picture for FNGR stock in 2025.
The company’s innovative platforms, strategic partnerships, and recent certifications position it to capitalize on the growing demand for mobile payment and data services in China and beyond.
While risks remain, the combination of analyst confidence and retail momentum suggests that FingerMotion could be a breakout candidate in the telecommunications and technology sectors.
As the company prepares to release its next earnings report on May 28, 2025, investors will be closely watching for updates on revenue growth, profitability, and new contract wins.
For now, FingerMotion remains a high-conviction pick for those betting on its transformative potential in the mobile data and communications space.
But I’m curious to know what you think — leave your thoughts below.
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