The initial euphoria has cooled a little after a good night’s sleep, but shares posted a new 52-week high Friday morning and the share price is still up about 8%. Analysts, however, remain cool.
Barclays initiated coverage on the stock in early September with an Equal Weight.
Evercore Partners reaffirmed its Equal Weight rating and have $4 price target on the stock.
Baird’s analyst thinks that Zynga remains in “recovery mode” following a layoff of 520 employees and that mobile games could be a win for the company, especially in the “mid-core” space between simple games like FarmVille and games for hard-core gamers, like Call of Duty and Grand Theft Auto.
Bloomberg cites a Piper Jaffray analyst who said, “With the exception of poker, Zynga has yet to publish a mobile game that can stay consistently popular over several months.” The company said in July that it no longer plans to seek a license to offer real-money poker in the U.S. Those plans could change, of course, if a federal law permitting real-money online gambling in all 50 states were ever enacted.
Zynga’s shares are up about 8% at $3.82 in mid-afternoon trading Friday, after posting a new 52-week high of $4.05. At its December 2011 initial public offering shares were priced at $11.
Want to Retire Early? Start Here (Sponsor)
Want retirement to come a few years earlier than you’d planned? Or are you ready to retire now, but want an extra set of eyes on your finances?
Now you can speak with up to 3 financial experts in your area for FREE. By simply clicking here you can begin to match with financial professionals who can help you build your plan to retire early. And the best part? The first conversation with them is free.
Click here to match with up to 3 financial pros who would be excited to help you make financial decisions.
Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.
Latest from 24/7
