Wedbush Analyst Michael Pachter On Zynga's Q4

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Wedbush Securities Analyst Michael Pachter told Benzinga what he wanted to see in Zynga Inc’s ZNGA Q4 report.


“We’re looking for them to tell us that they actually have a plan to generate revenue going forward,” said Pachter, “and that revenue is going to grow.”


Pachter felt that if the company can explain its plan for increasing revenue then the stock will go up, and, if not, the stock will fall.


“The CEO has been there for a year and a half,” and in that time “they have not launched anything that has moved the needle.” Pachter noted that revenues have been stable so the question remains on whether or not something will be introduced to grow revenue.


The analyst cited the company’s lack of transparency and that investor’s have not been able to see a path to profits. Pachter added, “It would be nice if they would tell us what all those people who work there do."


Heading into its earnings release, Zynga Inc traded at $2.67, down 4.99 percent.

Kevin Riley and Brianna Valleskey contributed to this report.

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Posted In: Analyst ColorExclusivesMichael PachterWedbush
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