- Zynga's recent earnings report pushed the stock price to an intraday post-earnings high of $7.76.
- While the earnings numbers were good, the large upward movement in stock price looks unsustainable in the short term.
- Management sentiment, the up gap, and a generally uneventful coming quarter all point to the stock continuing downward in the coming weeks.
- I like Zynga's long-term growth prospects, but this earnings report isn't the turning point for the stock; it's a profit-taking opportunity.
For further details see:
Zynga: At The Current Price, It's A Sell