In the tech penny stocks sector, Zynga (NASDAQ:ZNGA) is showing its true potential. A penny stocks favorite, it released its much anticipated fourth-quarter earnings last night. Are investors doing the happy dance today though?
Well yes, they are!
Penny Stocks: Zynga Q4 Results
ZNGA stock has been soaring since Wall Street closed on Wednesday. The San Fransisco gaming company unveiled its Q4 earnings report after the close. Despite it showing a mixed bag of results, the ZNGA penny stock has been gaining since as the company’s ‘future bookings’ highlight the true potential ahead.
Investors don’t appear phased by what the company didn’t do and are focused purely on what it is doing.
In brief, the results looked like this:
- Q4 net income came in at $559,000 USD, which translates as less than a penny per share for investors.
- Adjusted EBITDA was $37.1 million for the period
- Revenue reached $248.7 million
- Future bookings and business on tab came in a $267.3 million
Walls Street’s predictions for the quarter were somewhat different. It predicted EBITDA of roughly $50.8 million and revenue and future business below what the results posted.
Bookings and Future Growth
The earnings showed a strong bookings trend. Ending 2018 with faster-growing sales and bookings, this trend is now expected to continue into 2019. It also helped that the mobile videogame maker showed Q4 revenue growth higher than a forecast that had already been raised.
In a letter to investors released at the same time, the penny stock stated that it’s “turnaround is now complete.” It also assured investors that Zynga is “well positioned for significant growth in 2019 and beyond.”
The Zynga penny stock saw a dip in trade yesterday before announcing the results, hitting a low of $4.33 USD.
Now, in pre-market trade shares are valued at $4.84 and climbing. The gain represents an increase of 8%.
Are you an avid fan of the Zynga penny stock? Do you believe the company’s anticipated turnaround is indeed complete?
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