In the video below, Fool senior technology analyst Eric Bleeker discusses the wild trading action in Zynga (ZNGA) during the past two days. Yesterday, it soared more than 14% but sagged more than 8% today -- on little news.
The wild trading can be partly attributed to the company's association with Facebook (META -2.28%), which also traded up yesterday and dropped today. However, in the end, Eric thinks the most meaningful news for Zynga for the past couple of days might be peer Facebook-reliance gaming network Kabam announcing yesterday that it was profitable. That's a positive, since Kabam is moving from being a Facebook-heavy gaming company to a mobile player. However, Eric also warns that Kabam is less than one-fifth the size of Zynga. It's far more difficult to pull off a mobile transition for a company of Zynga's size than for a smaller $200 million one.
