Zynga went public on Friday the 16th. Opened at $10, closed at $9.50
Groupon opened in November at $20 and closed at $26. (Up 30%)
LinkedIn opened at $45 and skyrocketed to $122 (Up 37%)
In my opinion, Zynga was lacking because it is too dependent on other things. FOr instance, Zynga is dependent on things like Facebook, or the entire mobile scene. They also priced their stock too high. Take cell phones out of the equation, where does Zynga fit in? Facebook. Take Facebook off the table, where does Zynga fit in? This is why LinkedIn and Groupon were able to hold their own during the opening day, and should remain solid as long as they dont become dependent on other things also.
Before I get too far off-track, I would like to mention that Zynga has done alot for the social gaming scene, however they will need to be innovative and keep people's interest if they want to be serious and remain in business. They won't be able to ride Facebook's coattails much longer if Facebook itself goes public and starts demanding more from Zynga. They've done a great job thus far, let's not get lazy.
Sources: CNet - Zynga Stock
CNet - LinkedIn Stock (November 2011)
CNet - Groupon (November 2011)
Groupon opened in November at $20 and closed at $26. (Up 30%)
LinkedIn opened at $45 and skyrocketed to $122 (Up 37%)
In my opinion, Zynga was lacking because it is too dependent on other things. FOr instance, Zynga is dependent on things like Facebook, or the entire mobile scene. They also priced their stock too high. Take cell phones out of the equation, where does Zynga fit in? Facebook. Take Facebook off the table, where does Zynga fit in? This is why LinkedIn and Groupon were able to hold their own during the opening day, and should remain solid as long as they dont become dependent on other things also.
Sources: CNet - Zynga Stock
CNet - LinkedIn Stock (November 2011)
CNet - Groupon (November 2011)
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