d******8
发帖数: 1972 | 1 Wynn Resorts is in talks with Zynga, the world’s largest social gaming
developer, in order to create a strategic online partnership. [1] We believe
partnering with Zynga will give Wynn Resorts access to Zynga’s wider
customer base which is spread globally.
Zynga presently has about 232 million average monthly active users across
166 countries. Its games are accessible on social networks like Facebook and
mobile platforms globally. (See also our note: Zynga CEO Confirms Interest
in Online Gambling)
According to reports, at least 20 states are considering moves to legalize
online gambling after the Justice Department reinterpreted that an old
federal law only banned sports betting and not other forms of online
gambling. [1] In the future, if online gambling gets legalized in the U.S.,
this partnership could provide an edge to Wynn Resorts in entering this new
space.
This could also add a diverse revenue base for the casino operator and could
help it in targeting prospective customers. In the past, several large
casino companies including MGM Resorts International have pushed hard to
legalize Internet gambling in the U.S., however have failed in these
attempts. The recent developments do hint at the possibility of online
gambling finally attaining a legal approval. | d******8
发帖数: 1972 | 2 Zynga (ZNGA) - Speculative Buy
Zynga is the developer, marketer, and operator of several online social
interaction games, which are available on several mainstream platforms. Its
most popular games include Cityville, Farmville, and Mafia Wars. Established
in 2007, the San Francisco-headquartered Zynga made a quick entry to the
stock markets in 2011. Its IPO was initially priced at $10/share.
(Source: Finviz)
At the beginning of February, when Zynga was trading for as high as $13.4, I
suggested it as a sell since the stock was in the extremely overbought
territory. Since then, the stock lost about 25%, falling into the oversold
territory. The current price is below the IPO price. While, I tend stay away
from virtual companies with no solid business plan, Zynga looks like a good
deal after the recent sell-off. It does not have any debt, and each share
comes with a cash and equivalent of $2.5. I rate it as a speculative buy.
Zynga could be a good trade to buy below $10, and sell above $13. Do not
forget to cut your losses, if the stock falls below $9. |
|
