Zynga now "worthless" as stock price continues to tumble

JP Morgan analyst Doug Anmuth has effectively labelled social gaming firm Zynga as worthless”.

That is to say that its share value has now fallen so low – $2.35 per share, in fact – that it is no longer worth as much as its securities, which combined represent value of around $2.46 per share.

LA Times reports that this most recent deterioration in its share price comes as the company warns that its 2012 financial performance is likely to fall below previous predictions.

"The outlook for [the fourth quarter] is significantly lower than our expectations, which assumed some growth from newer titles launched this summer," Anmuth says.

"We expect fundamentals to remain weak over the next few quarters as the company faces several headwinds."

Other analysts are now predicting mass payoffs at the firm, which has of course already suffered a seemingly unending string of high-profile corporate departures.

About MCV Staff

Check Also

GamesAid announces first GamesAid Gala charity fundraiser event

GamesAid has announced that its first-ever gala event will take place later this year in London