Zynga Loses 20% Value Overnight, Drops to $1.8B

[Guest]

There is little doubt that social media and casual gaming are hot areas for money to be made in the future, but the leading companies in this space are having a tough time providing investor confidence.

Zynga Loses 20% Value Overnight, Drops to $1.8B : Read more

 

[spartanmk2]

Bazing, I dont care

 

[Thunderfox]

Good. Both of the companies were overvalued to begin with.

 

[teh_chem]

Heard Zynga is a pretty wretched place to work. That they have hellish release cycles.

Then again, when you shamelessly steal other game ideas, how hard could it be, really...?

 

[Guest]

The people at Zynga got over their heads with greed. Who in the right investor mind would say: "Yes, i can see a social game website being used in a different social network company, be worth more than $11 billion." Since it already has 330 million active users, how much more can you ask? Its not like every 7 billion person on earth has a computer, internet and time to actually use such medium.

 

[A Bad Day]

Damn if you can't meet the stock analysts' predictions, damn if you do (which would lead to prediction of even greater revenue).

 

[JOSHSKORN]

What's Zynga?

 

[Onus]

[citation][nom]JOSHSKORN[/nom]What's Zynga?[/citation]
My Universal Translator returned "Waste."

 

[esrever]

If you look at that logo the right way, its a dog trying to take a shit on something called zynga.

 

[Afrospinach]

[citation][nom]A Bad Day[/nom]Damn if you can't meet the stock analysts' predictions, damn if you do (which would lead to prediction of even greater revenue).[/citation]

Maybe the analysts are just a big consortium of short sellers manipulating market expectation for profit /tinfoilhat

 

[wildwell]

Yeah, Zynga's suppose to have a horrid work environment, especially if you were an employee that chose to hold his stock instead of cashing it out right after the IPO when so many other employees did.

 

[cookoy]

Easy come, easy go. The last one holding the bag eats shit.

 

[hetneo]

[citation][nom]afrospinach[/nom]Maybe the analysts are just a big consortium of short sellers manipulating market expectation for profit /tinfoilhat[/citation]
If you presume that such thing can be said only by conspiracy theorist/crazy person you are in for a big surprise when you find out that reality is much crazier. Whole theory of measuring economic strength of company using market share is tower hanging in thin air. Just like the tier 3 capital is profitable investment.

 

[may1]

I always knew, even before all the analysts started to say that social gaming and SNS sites will be the next big thing, that those services were truly overrated, and they will never even beat traditional gaming and communication services in terms of cashflow and profitability.

 

[JonathanR]

The only thing that surprises me here is that the company was so overvalued to begin with...

 

[bin1127]

and they say there is no tech bubble.

 

[luciferano]

Zynga is a company that doesn't sell any product. What did they expect to happen when they went public, that people would bat their eyes at the not having a selling product issue? Zynga relies on other companies' sites to use their F2P games and gets paid in advertisement revenue. They rely on people clicking on adds rather than actually selling a product. With people not clicking many ads, they were bound to fail. That's generally what happens to companies that don't sell anything.

That they relied on a social networking site is even more stupid. Those things come and go in a matter of a few years and even while they're there, they are not reliable sources of income.

 

[darkavenger123]

Serves them right....they screwed up Draw Something when they took it over and force you to login to Facebook and all sorts of crap. Can i sue them to get back my 2 bucks or something??