UBS Upgrades FinVolution (FINV) Stock, Lifts PT
From Yahoo Finance: 2025-05-24 03:57:00
UBS upgraded FinVolution Group (FINV) stock to Buy from Neutral on May 23, with a new price target of $12.10, citing strong Q1 2025 results and margin expansion. The company beat earnings estimates despite soft loan volume.
The growth momentum in operating profit and margin expansion were supported by decreased funding costs and improved asset quality. FinVolution saw total transaction volume of RMB52.1 billion and outstanding loan balance of RMB74.1 billion, with YoY increases of 7.9% and 13.5%.
FinVolution Group remains optimistic about its diversified and resilient business, navigating global uncertainties with a strong balance sheet boasting RMB8.5 billion in liquidity. The company’s Local Excellence, Global Outlook strategy continues to deliver robust performance.
While acknowledging FINV’s growth potential, UBS believes other AI stocks offer greater returns with limited downside risk. For those seeking promising AI stocks, UBS recommends exploring alternatives with higher upside potential.