ZNGA

Zynga Inc

TMT


Presented:04/29/2020
Price:$7.58
Cap:$7.24B
Current Price:$8.18
Cap:$9.30B

Presented

Date04/29/2020
Price$7.58
Market Cap$7.24B
Ent Value$5.12B
P/E Ratio223.6x
Book Value$2.08
Div Yield0%
Shares O/S955.77M
Ave Daily Vol22,353,080
Short Int4.38%

Current

Price$8.18
Market Cap$9.30B
Zynga, Inc. provides social game services. It develops, markets and operates social games as live services played on mobile platforms such as Apple's iOS operating system and Google's Android operating system, and social networking sites such as Facebook. It offers Chess with Friends, Crazy Cake Swap, Draw Something, FarmVille, Gems with Friends, Ice Age: Arctic Blast, Looney Tunes Dash, Speed Guess Something, What's The Phrase, Wizard of Oz Magic Match, Yummy Gummy, Free Slots, Black Diamond Casino, Hit It Rich, Zynga Poker and Willy Wonka Slots. The company was founded by Mark Jonathan Pincus on April 19, 2007 and is headquartered in San Francisco, CA.

Please note, this is an update to Zynga Inc (ZNGA) - Long, which was first presented on 11/14/2019.

Publicly traded companies mentioned herein: Alphabet Inc (GOOGL), Electronic Arts Inc (EA), Zynga Inc 

Highlights

The presenter remains long shares of Zynga Inc (ZNGA), comfortable that the Street may still have a fundamental misunderstanding of how the operating leverage in the business works. Historically, ZNGA has traded between 14x - 17x EBITDA. Applying a conservative 15x multiple to his 2021 EBITDA estimate of $571MM, the presenter has a price target of $10/share or ~30% upside from the current price of ~$7.57/share.

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Idea Discussion

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