Zynga Inc. (ZNGA) – Don’t Be So Quick to Call it Dead

Zynga Inc. (NASDAQ: ZNGA) is 48.04% higher on its value in year-to-date trading and has touched a low of $5.53 and a high of $10.69 in the current 52-week trading range. The ZNGA stock was last observed hovering at around $8.99 in the last trading session, with the day’s gains setting it 0.07% off its average median price target of $11.55 for the next 12 months. It is also 31.62% off the consensus price target high of $13.25 offered by 20 analysts, but current levels are -13.25% lower than the price target low of $8.00 for the same period.

Currently trading at $9.06, the stock is -4.38% and -5.57% below its SMA20 and SMA50 respectively. However, with a daily trading volume of 16.27 million and changing 0.78% at the moment leaves the stock 18.40% off its SMA200. ZNGA registered 56.48% gain for a year compared to 6-month gain of 29.99%. The firm has a 50-day simple moving average (SMA 50) of $9.53 and a 200-day simple moving average (SMA200) of $8.26.

The stock witnessed a -6.69% loss in the last 1 month and extending the period to 3 months gives it a -6.21%, and is -2.69% down over the last 5 days. If we measure the stock’s price variations over the week and the month, we find that the volatility rates stand at 2.57% over the week and 3.16% over the month.

Zynga Inc. (ZNGA) has around 1883 employees, a market worth around $9.67B and $1.61B in sales. Fwd P/E is 21.17. Profit margin for the company is -1.70%. Distance from 52-week low is 63.70% and -15.25% from its 52-week high. The company has generated returns on investments over the last 12 months (-10.90%).

Zynga Inc. (ZNGA) Analyst Forecasts

Analyst recommendations provided by FactSet shows that the consensus forecast for Zynga Inc. (ZNGA) is a “Overweight”. 20 analysts offering their recommendations for the stock have an average rating of 2.10, where 3 rate it as a Hold and 2 think it is a “Overweight”. 13 of the analysts rate the stock as a “Buy”. 1 analysts have rated the stock as a Sell or Underperform.

Zynga Inc. is expected to release its quarterly report on 10/28/2020 and quarterly earnings per share for the current quarter are estimated at $0.09 with sales reaching $625.5M over the same period.The EPS is expected to grow by 147.60% this year, but quarterly earnings will post 41.70% year-over-year. Quarterly sales are estimated to grow 62.50% in year-over-year returns.

Zynga Inc. (ZNGA) Top Institutional Holders

491 institutions hold shares in Zynga Inc. (ZNGA), with 82.98M shares held by insiders accounting for 7.72% while institutional investors hold 87.88% of the company’s shares. The shares outstanding are 1.08B, and float is at 1.00B with Short Float at 10.03%. Institutions hold 81.10% of the Float.

The top institutional shareholder in the company is Vanguard Group, Inc. (The) with over 86.95 million shares valued at $829.5 million. The investor’s holdings represent 8.08% of the ZNGA Shares outstanding. As of Jun 29, 2020, the second largest holder is Artisan Partners Limited Partnership with 64.41 million shares valued at $614.44 million to account for 5.99% of the shares outstanding. The other top investors are Blackrock Inc. which holds 49.85 million shares representing 4.64% and valued at over $475.58 million, while Price (T.Rowe) Associates Inc holds 4.31% of the shares totaling 46.32 million with a market value of $441.89 million.

Zynga Inc. (ZNGA) Insider Activity

A total of 154 insider transactions have happened at Zynga Inc. (ZNGA) in the last six months, with sales accounting for 82 and purchases happening 72 times. The most recent transaction is an insider sale by Bromberg Matthew S, the company’s Chief Operating Officer. SEC filings show that Bromberg Matthew S sold 12,000 shares of the company’s common stock on Aug 24 at a price of $9.22 per share for a total of $0.11 million. Following the sale, the insider now owns 0.91 million shares.

Zynga Inc. disclosed in a document filed with the SEC on Aug 18 that Buckley Jeffrey (Chief Accounting Officer) sold a total of 4,727 shares of the company’s common stock. The trade occurred on Aug 18 and was made at $9.42 per share for $44528.0. Following the transaction, the insider now directly holds 78959.0 shares of the ZNGA stock.

Still, SEC filings show that on Aug 17, Buckley Jeffrey (Chief Accounting Officer) disposed off 6,250 shares at an average price of $9.35 for $58438.0. The insider now directly holds 83,686 shares of Zynga Inc. (ZNGA).

Zynga Inc. (ZNGA): Who are the competitors?

The company’s main competitors (and peers) include Activision Blizzard Inc. (ATVI) that is trading 63.28% up over the past 12 months. Alphabet Inc. (GOOGL) is 37.28% up on the 1-year trading charts. Short interest in the company’s stock has risen 50.19% from the last report on Jul 14, 2020 to stand at a total of 50.18 million short shares sold with a short interest ratio of 4.78.