Zynga's Q2 earnings fail to meet Wall Street estimates, stock plunges
$0.051 to $0.046 year-over-year in the second quarter. That essentially means that players are paying less money to play Zynga's games. Mark Pincus, Zynga's CEO, says that it has 33 million average daily players. Looking for the next big hit like its Words With Friends and Draw Something, Zynga has launched some new titles like The Ville and Bubble Safari, both of which have more than 6 million users.
The earnings report was released after hours. Zynga's stock, which closed at $5.08, was down 39% or $1.96 after hours to $3.96 after bottoming out at $2.93. The 52-week high is $15.91 while the current price would be a 52 week-low. Let's hope those OMGPOP guys got cash instead of stock for the purchase. Zynga blames Facebook for the shortfall in earnings saying that changes made by the site made it harder for players to find existing games. source: BuisinessInsider