Zynga Rebounds From Low in Two-Day Gain: San Francisco Mover
Zynga Inc. (ZNGA) gained 15 percent in two trading days, the biggest two-day move since February, as analysts highlighted growing traffic on Zynga.com and forthcoming game releases.
Shares of the San Francisco-based maker of social games climbed 4 percent to $5.78 at 4 p.m. in New York, adding to an 11 percent rise on June 15. Zynga had fallen to $4.98 at the June 12 close, the lowest closing price since the company sold shares at $10 each in an initial public offering in December.
Zynga.com, a website started earlier this year, grew to 20.1 million unique users in May, more than twice the 9.35 million the preceding month, according to data from ComScore Inc. The increase may be due to new types of promotions such as a toolbar displayed above Zynga games, Scott Devitt, an analyst at Morgan Stanley, said in a research note today.
Zynga.com is a game-playing hub separate from Facebook Inc. (FB)’s social network, where most Zynga games are played.
Zynga is holding an event at its headquarters on June 26 and is likely to introduce at least one “blockbuster new title,” analysts at Barclays Plc said in a note today.
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