Zynga: Now Less Social

Updated

You know those friends who pollute your Facebook feed with updates from all the Zynga games they're playing? You might be seeing less of them soon.

Last week, via its corporate blog, Zynga announced enhanced features at Zynga.com that allow players to create distinct accounts at the site. No more mandatory Facebook log-ins, a big step for a company that last year derived 86% of revenue and 81% of its overall bookings from the social network.

Yet looking at the numbers, the bigger mistake would be not to act: Zynga has suffered losses in four the past five years, including the last two.


In the following video, Tim Beyers of Motley Fool Rule Breakers and Motley Fool Supernova says Zynga is smart to diversify but cautions that it could take years for investors to see the benefits. Do you agree? Disagree? Please weigh in using the comments box below.

Zynga's post-IPO performance has been dreadful, and investors are beginning to wonder if it's "game over" for this newly public company. Being so closely tied to the world's largest social network can be a blessing and a curse. You can learn everything you need to know about Zynga and whether it's a buy or a sell in our new premium research report. Don't even think about picking up shares before you read what our top analysts have to say about Zynga. Click here to access your copy.

The article Zynga: Now Less Social originally appeared on Fool.com.

Fool contributor Tim Beyers is a member of the Motley Fool Rule Breakers stock-picking team and the Motley Fool Supernova Odyssey I mission. He didn't own shares in any of the companies mentioned in this article at the time of publication. Check out Tim's Web home and portfolio holdings, or connect with him on Google+, Tumblr, or Twitter, where he goes by @milehighfool. You can also get his insights delivered directly to your RSS reader.The Motley Fool recommends and owns shares of Facebook. Try any of our Foolish newsletter services free for 30 days. We Fools don't all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

Copyright © 1995 - 2013 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.

Advertisement