Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, online social games operator Zynga (ZNGA) has received the dreaded one-star ranking.
With that in mind, let's take a closer look at Zynga and see what CAPS investors are saying about the stock right now.
Zynga facts
|
Headquarters (founded) |
San Francisco, Calif. (2007) |
|
Market Cap |
$2.8 billion |
|
Industry |
Home entertainment software |
|
Trailing-12-Month Revenue |
$1.3 billion |
|
Management |
Founder/Chairman/CEO Mark Pincus CFO Mark Vranesh |
|
Return on Equity (average, past 3 years) |
(2.9%) |
|
Cash/Debt |
$1.3 billion/$100.0 million |
|
Competitors |
DeNA Electronic Arts (EA -0.54%) Gameloft |
Sources: S&P Capital IQ and Motley Fool CAPS.
On CAPS, 50% of the 661 members who have rated Zynga believe the stock will underperform the S&P 500 going forward.
Just last week, one of those Fools, tunafizzle, summed up the Zynga bear case for our community:
Absurdly overvalued. Almost a billion shares out there, market cap is [$3 billion] for a company [whose] profits are negative and has zero products coming out. Any games they do generate revenue on are tied to [Facebook (META 1.54%)]. ... Lawsuits, over-valuation, no long term model will make this a penny stock soon. Short it long.
Want to see how well (or not so well) the stocks in this series are performing? Follow the TrackPoisedTo CAPS account.
