Zynga Inc (ZNGA)

[Trevor11]

ZNGA: HIGHER, FORCING SHORT SELLERS OUT






A SHORT SQUEEZE IN SHARES OF ZNGA.



IN RECENT ACTION, ZYNGA INC. (ZNGA) HAS MADE A MOVE OF +19.83% OVER THE PAST MONTH,

LIKELIHOOD OF A SHORT SQUEEZE IN SHARES OF ZNGA.




WWW.INVESTOPEDIA.COM

SHORT SQUEEZE (DEFINITION EXPLAINED)

WHAT IS A 'SHORT SQUEEZE'

A SHORT SQUEEZE IS A SITUATION IN WHICH A HEAVILY SHORTED STOCK OR COMMODITY MOVES SHARPLY HIGHER, FORCING MORE SHORT SELLERS TO CLOSE OUT THEIR SHORT POSITIONS AND ADDING TO THE UPWARD PRESSURE ON THE STOCK.

IT IMPLIES THAT SHORT SELLERS ARE BEING SQUEEZED OUT OF THEIR SHORT POSITIONS, USUALLY AT A LOSS, and is generally triggered by a positive development that suggests the stock may be embarking on a turnaround. Although the turnaround in the stock’s fortunes may only prove to be temporary, FEW SHORT SELLERS CAN AFFORD TO RISK RUNAWAY LOSSES ON THEIR SHORT POSITIONS AND MAY PREFER TO CLOSE THEM OUT EVEN IF IT MEANS TAKING A SUBSTANTIAL LOSS.

Source:

https://www.investopedia.com/terms/s/shortsqueeze.asp





WWW.STOCKNEWSJOURNAL.COM

HOME FINANCE ZYNGA (ZNGA): WHAT’S THE STORY?
•FINANCE
ZYNGA (ZNGA): WHAT’S THE STORY?
BY
KELVIN WILSON
-
MAY 29, 2018

ZYNGA INC. (ZNGA) IS AN INTERESTING PLAYER IN THE TECHNOLOGY SPACE, WITH A FOCUS ON MULTIMEDIA & GRAPHICS SOFTWARE. THE STOCK HAS BEEN ACTIVE on the tape, currently trading at $4.17, up from yesterday’s close by 0.72%. Given the stock’s recent action, it seemed like A GOOD TIME TO TAKE A CLOSER LOOK AT THE COMPANY’S RECENT DATA.
FUNDAMENTAL ANALYSIS


ZYNGA INC. (ZNGA) CURRENTLY TRADES WITH A MARKET CAPITALIZATION OF $3.55 BILLION. That value represents a market adjusting for revenues that have been growing by 15.13 % on a quarterly year/year basis as of the company’s last quarterly report.
You can get a sense of how sustainable that is by a levered free cash flow of $86.24 Million over the past twelve months. GENERALLY SPEAKING, EARNINGS ARE EXPECTED TO HOLD STEADY IN COMING QUARTERS. Analysts are forecasting earnings of $0.03 on a per share basis this quarter. Perhaps, that suggests something about why 1.40% of the outstanding share supply is held by institutional investors.


TECHNICAL ANALYSIS

As most professionals know, technical analysis can offer critical insights into what smart money and insiders think about a stock’s prospects going forward. Looking at the stock’s movement on the chart, Zynga Inc. recorded a 52-week high of $4.34. It is now trading 0.17% off that level. The stock is trading $3.73 its 50-day moving average by -0.44%. The stock carved out a 52-week low down at $3.20.
IN RECENT ACTION, ZYNGA INC. (ZNGA) HAS MADE A MOVE OF +19.83% OVER THE PAST MONTH, which has come on Strong relative transaction volume. Over the trailing year, the stock is underperforming the S&P 500 by 13.05, and it’s gotten there by action that has been less volatile on a day-to-day basis than most other stocks on the exchange. In terms of the mechanics underlying that movement, traders will want to note that the stock is trading on a float of 5.05% with $693.35 MILLION SITTING SHORT, betting on future declines.

That suggests something of the LIKELIHOOD OF A SHORT SQUEEZE IN SHARES OF ZNGA.


Source:

https://www.stocknewsjournal.com/2018/05/29/zynga-znga-whats-the-story/