Credit Suisse: Aiming For Higher Focus With Zynga

27% profit every 20 days?

This is what Nic Chahine averages with his option buys. Not selling covered calls or spreads… BUYING options. Most traders don’t even have a winning percentage of 27% buying options. He has an 83% win rate. Here’s how he does it.

In a report published Thursday, Credit Suisse analysts maintained an Underperform rating on

27% profit every 20 days?

ENTER TO WIN $500 IN STOCK OR CRYPTO

Enter your email and you'll also get Benzinga's ultimate morning update AND a free $30 gift card and more!

Zynga Inc

(NASDAQ: ZNGA), with a price target of $2.92, even after the company reported strong 1Q bookings and adjusted EBITDA.Zynga reported its 1Q15 bookings and adjusted EBITDA at $167.4mm and $2.1 mm, significantly better than its guidance of $140mm-$150mm and ($25)mm-($15)mm and Credit Suisse estimates of $157.2mm and ($11.0)mm, respectively. "While Zynga's user metrics fell short and conversion rate was in-line, ARPU exceeded our estimates and drove outperformance versus guidance and expectations on game bookings," the analysts said.Zynga's CEO Mark Pincus announced plans to narrow the company's development focus and implement a cost reduction program that is estimated to result in annualized savings of about $45 million, with the elimination of 18 percent of the workforce, as well as about $55 million in annualized savings via other cost trimming initiatives. The EPS estimates for 2015 and 2016 have been raised from -$0.01 to $0.02 and from $0.04 to $0.08, respectively."While our bottom line estimates for 2015 rise on the heels of this announcement, our out-year numbers remain essentially unchanged as we were already anticipating a recovery scenario for gross bookings. And we wait to see if the fruits of Zynga's recent development efforts and upcoming game releases (anticipated 6-8 per year) begin to exert a greater influence on the P&L," the analysts added.