Wednesday, July 25, 2012

Company loss sends stock to GarbageVille




It’s not all fun and games in Facebook-land.  According to the New York Post Zynga, the No. 1 developer of games on the social network, shocked Wall Street yesterday with a second quarter loss of 3 cents a share and revenue that missed expectations.

The horrible results — which the company pegged, in part, to the disappointing performance of its “Draw Something” game, sent Zynga shares plunging 37 percent in after-hours trading to below $4 a share.  And since Zynga is a big traffic producer for Facebook, shares in the social network giant slipped nearly 8 percent in after-hours trading.

Zynga’s “FarmVille” and “CityVille” games have grown long in the tooth and are afterthoughts to many who have moved to mobile platforms....


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