Did you miss a session from GamesBeat Summit Next 2022? All sessions are now available for viewing in our on-demand library. Click here to start watching.


Zynga Shares

Shares for social game-maker Zynga took a sharp 13 percent dive ($1.10 a share) shortly after the Nasdaq debut of social network Facebook.

Zynga’s stock hit a new low of $7.17 a share, and trading was halted on Friday. It resumed later that day and shares rose, but was halted a second time within the same day as stock went up.

Morningstar analyst James Krapfel, told Marketwatch, “It’s not too surprising that Facebook’s less than spectacular debut is having negative secondary effects on social media companies such as Zynga.”

Zynga is highly dependent on Facebook, as that’s where the majority of its games are distributed, and the companies have had a close relationship for years. However, other tech stocks were also hammered in early trading today. It might just be that a lackluster debut by Facebook has made everyone extra nervous about holding onto their internet stocks. If so, however, Zynga’s stock is taking the brunt of the beating.

 

GamesBeat's creed when covering the game industry is "where passion meets business." What does this mean? We want to tell you how the news matters to you -- not just as a decision-maker at a game studio, but also as a fan of games. Whether you read our articles, listen to our podcasts, or watch our videos, GamesBeat will help you learn about the industry and enjoy engaging with it. Discover our Briefings.