Zynga got Zinged
It really wasn’t that long ago that Zynga was sitting proudly atop Facebook’s shoulders, looking at the world from above.
Zynga began trading on NASDAQ on 16th December 2011, debuting at $10. Its share price went up to $14 in March 2012. Around that time, they also announced the Acquisition of OMGPOP, makers of Draw Something. They were seemingly invincible.
Unfortunately, it seems that along with drawing something, they also drew the short end of the stick. Things just went south from there.
Their symbiotic relationship with Facebook meant that anything that hit Facebook would hit Zynga harder. And as Facebook stock tumbled, so did Zynga’s.
Today, they trade at about $2.22, and have just announced a series of layoffs of about 100+ employees (5% of staff).
What difference a year makes, eh?