Zynga closed at $6.43 in the latest trading session, marking a +1.1% move from the prior day. This move outpaced the S&P 500's daily loss of 0.87%. Meanwhile, the Dow lost 0.08%, and the Nasdaq, a tech-heavy index, lost 0.43%.
Coming into today, shares of the maker of "FarmVille" and other online games had lost 8.62% in the past month. In that same time, the Consumer Discretionary sector lost 9.01%, while the S&P 500 gained 0.7%.
Wall Street will be looking for positivity from Zynga as it approaches its next earnings report date. The company is expected to report EPS of $0.08, up 100% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $720.94 million, up 3.15% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $0.40 per share and revenue of $2.82 billion, which would represent changes of +471.43% and +24.24%, respectively, from the prior year.
Any recent changes to analyst estimates for Zynga should also be noted by investors. Recent revisions tend to reflect the latest near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. Zynga currently has a Zacks Rank of #3 (Hold).
In terms of valuation, Zynga is currently trading at a Forward P/E ratio of 15.8. For comparison, its industry has an average Forward P/E of 17.85, which means Zynga is trading at a discount to the group.
The Gaming industry is part of the Consumer Discretionary sector. This group has a Zacks Industry Rank of 170, putting it in the bottom 34% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow ZNGA in the coming trading sessions, be sure to utilize Zacks.com.
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Zynga (ZNGA) Gains As Market Dips: What You Should Know
Zynga closed at $6.43 in the latest trading session, marking a +1.1% move from the prior day. This move outpaced the S&P 500's daily loss of 0.87%. Meanwhile, the Dow lost 0.08%, and the Nasdaq, a tech-heavy index, lost 0.43%.
Coming into today, shares of the maker of "FarmVille" and other online games had lost 8.62% in the past month. In that same time, the Consumer Discretionary sector lost 9.01%, while the S&P 500 gained 0.7%.
Wall Street will be looking for positivity from Zynga as it approaches its next earnings report date. The company is expected to report EPS of $0.08, up 100% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $720.94 million, up 3.15% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $0.40 per share and revenue of $2.82 billion, which would represent changes of +471.43% and +24.24%, respectively, from the prior year.
Any recent changes to analyst estimates for Zynga should also be noted by investors. Recent revisions tend to reflect the latest near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. Zynga currently has a Zacks Rank of #3 (Hold).
In terms of valuation, Zynga is currently trading at a Forward P/E ratio of 15.8. For comparison, its industry has an average Forward P/E of 17.85, which means Zynga is trading at a discount to the group.
The Gaming industry is part of the Consumer Discretionary sector. This group has a Zacks Industry Rank of 170, putting it in the bottom 34% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow ZNGA in the coming trading sessions, be sure to utilize Zacks.com.