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Zynga Going to Real Money Gambling from Virtual Farm Animals
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Before you slam this too much, this has been one of the logical markets for Zynga to go after. The company has all of these social platforms, so trying to capture real-dollar gaming (ergo gambling) makes sense. The question that will be the crux of the argument.
Zynga’s shares are mutilated and its growth has peaked in the near-term. We wonder if the company can properly manage real dollars in a gaming or gambling environment. Even if the company has online poker and slots now, Zynga’s fortunes were partially made due to virtual farm animals being so popular. Would Zynga consider switching to a model where they sell real farm animals too?
The market is rewarding the company today with gains of 6% to $2.45, but the 52-week range is $2.09 to $15.91. Zynga’s market cap is currently just above $1.9 billion.
JON C. OGG
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