Zynga Inc. (ZNGA) Trigger Multiple Signals Fast

On the technicals front, Zynga Inc. (NASDAQ:ZNGA) overall has 56.% Buy rating. The stock is also flashing a Buy from the Barchart TrendSpotter trading system. Traders hoping to speculate on the ZNGA’s short-term trajectory should know that short terms indicators for the stock averaged 60% Buy with an average daily trading volume over the past 20 days at 12394435 shares. ZNGA stock has overall a 0.5% Buy signal considering medium term indicators and the 50-day average daily volume remained almost 11805096 shares. It’s also worth noting that the stock, whose average daily volume over the 100 days prior to this writing was 12479919 shares, is 33% Buy on the basis of long term indicators.

The share price is currently staying around the first support level of $4.2. Below this, the next support is placed in the zone of $4.14. Till the time, the ZNGA stock trades above this level, bulls have nothing to fear. On momentum oscillators front, ‘RSI’ has touched 67.21 on daily chart, which may remain a cause for concern. If the price breaks below $4.14 level on closing basis, then we may see more profit booking and the stock may show further weakness. On the flipside, hitting the $4.34 mark may result into a pull-back move towards $4.42 level.

Zynga Inc. (ZNGA) is projected to climb by 9.62 percent over the next 12 months, according to price target estimates compiled by finviz. Meanwhile, they have set a $5.25price as 12-month high target. This represents a whopping 23.24 percent increase from where shares are trading today. The 12-month median price target assigned by the analysts stands at $4.75, which represents a return potential of 11.5 percent when compared to the closing price of the stock of $4.26 on Wednesday, January 23. The lowest price target for the stock is $3.8 — slightly more than -10.8 percent from ZNGA’s current share price.

Here’s a rundown of insider trading activity for sense of Zynga Inc. (NASDAQ:ZNGA). The earliest insider trade took place on 01/18/2019. Ryan Jeffrey Miles parted with a total of 127.19 thousand shares of company at average share price of $4.32. The total for the sales was set at $549.48 thousand. After this transaction, the Chief People Officer account balance stood at 1.72 thousand shares. The stock lost -1.39 percent since that insider sale. On 01/15/2019, Bromberg Matthew S, COO, sold 41.5 thousand shares at a price per share of $4.29. This removed 178.04 thousand shares from the insider’s fortune and the stock saw a -0.7 percent retreat in value since the news became public. This transaction left 470.82 thousand shares in the COO account. On 01/02/2019, Chief Accounting Officer Buckley Jeffrey performed a sale transaction worth $400 thousand. This sale at $4 each has eliminated 100 thousand shares from the insider’s portfolio position. Meanwhile, shares have recorded 6.5 percent increase since the transaction was reported. The insider now is left with 36.81 thousand shares remaining in the account. Ryan Jeffrey Miles, who performs the Chief People Officer job, sold 20 thousand shares for $74.8 thousand. The disposal occurred on 12/18/2018 was priced at $3.74 per share. The share price soared 13.9 percent since the reporting date. Ryan Jeffrey Miles now left with a stake of 128.91 thousand ZNGA stock worth $549.17 thousand after the insider selling.

ZNGA shares dropped -0.07 points or -1.62 percent on Wednesday to $4.26 with a light trade volume of 9.272 million shares. After opening the session at $4.35, the shares went as high as $4.355 and as low as $4.2141, the range within which the stock’s price traded throughout the day. The firm is left with a market cap of $3.69 billion and now has 865.94 million shares outstanding. Zynga Inc. (ZNGA) stock has gained 18.66 percent of market value in 21 trading days.

Analysts at Stephens, assumed coverage of Zynga Inc. (NASDAQ:ZNGA) with Equal-Weight recommendation, according to their opinion released on January 11. Macquarie analysts bumped their recommendation on ZNGA stock from Neutral to Outperform in a separate flash note to investors on December 11. Analysts at Barclays are sticking to their Underweight recommendation. However, on November 01, they lifted target price for these shares to $3.40 from $3.70. Analysts at Barclays, made their first call for the stock with a Underweight rating, according to a research note that dated back to November 01.

ZNGA stock has a trailing 3-year beta of 0.34, offering the possibility of a lower rate of return, but also posing less risk. The portion of a company’s profit allocated to each outstanding share of common stock was $0.03 a share in the trailing twelve months. The stock’s value has surged 8.4 percent year to date (YTD) against a rise of 14.21 percent in 12 month’s time. The company’s shares still trade -6.78 percent away from its 1-year high of $4.57 and 33.13 percent up from 52-week low of $3.20. The average consensus rating on the company is 2.4, on a scale where 5 equates to a unanimous sell rating. In short, the mean analyst recommendations are calling this stock a sell.

Shares of Zynga Inc. (ZNGA) are trading at a P/E ratio of 0 times earnings reported for the past 12 months. The industry ZNGA operates in has an average P/E of 41.42. Its P/E ratio went as low as 0X and as high as 0 over the 5-year span. Further, it is sporting a 4.14 on the Price-to-Sales ratio. Compare this with the industry average P/S of 8.2. 68 percent is the gross profit margin for Zynga Inc. and operating margin sits at 1.7 percent. Along with this, the net profit margin is 3.1 percent.

ZNGA will be declaring its Q4 financial results on February 06. Analysts are forecasting revenue to climb 16.3 percent to $260M in the next fiscal quarter, while earnings are seen soaring by nearly 0 percent to $0.04 per share. History has shown that shares in Zynga Inc. have gone up on 16 different earnings reaction days and are predicted to add 0.08 percent when the company reports upcoming earnings. In last reported earnings results, it earned $0.05 per share, better than the $0.04, adjusted, expected by Thomson Reuters consensus estimate. Revenue was $249M, in line with the $249M analysts expected. Earnings are estimated to increase by 125.8 percent this year, -2.41 percent next year and continue to increase by 30 percent annually for the next 5 years.