
Zynga stock finally roared out a the gate 'n on t' the trading floor yesterday at $10 a share, but investors weren't hugely impressed with the social gaming company. The stock started up a dollar at $11, 'n then dropped back down two, 'n then thirty, 'n then fifty cents during the day, leveling off at $9.50, which Forbes says be thanks mostly t' "a stabilizing bid by Zynga's underwriters," which means Zynga's investors stepped in 'n bought up enough stock t' keep the price up.
So what happened? Shortly put, Zynga's stock wasn't really worth what it be priced out at. An initial public offering be designed t' be priced a little low, in order t' drum up demand for a company's stock from the public (not t' mention raise some money). But Zynga went high 'n, as a result, didn't quite pillage the graph it wanted today.
They didn't sell the FarmVille, so t' speak -- ZNGA will likely be trading fine on Monday ('n $9.50 be fine for the highly competitive gaming industry; THQ be sitting down at 75 cents right now). But Zynga's hype phase appears t' be over. Now the company needs t' prove it can sell more than just cow clickers.
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