Wedbush analyst Michael Pachter came out with his prediction on Zynga Inc (NASDAQ:ZNGA), as the company is scheduled to report its first quarter earnings results after the market close on Thursday, May 7. The analyst maintained an Outperform rating on the stock, while providing a $6.00 price target, implying an upside of 145% from current levels. Shares of Zynga Inc are currently trading at $2.47, up $0.02, or 0.82%.
Pachter noted, “We expect Q1 results towards the high-end of the guidance ranges. Our current estimates are for revenue of $165 million, bookings of $150 million, adjusted EBITDA of $(15) million, and EPS of $(0.02), versus consensus for bookings of $148 million and EPS of $(0.02), and guidance for revenue of $155 – 165 million, bookings of $140 – 150 million, adjusted EBITDA of $(25) – (15) million, and non-GAAP EPS of $(0.03) – (0.02).”
The analyst also observed, “Initial Q2:15 guidance will likely mirror Q1:15 guidance. The current consensus bookings estimate of $156 million appears to us too high, with consensus EPS in-line. Zynga’s existing portfolio of games will likely continue to trend incrementally lower in Q2, with the potential launch of Empires & Allies late in the quarter providing a boost to monetization.”
According to TipRanks.com, which measures analysts’ and bloggers’ success rate based on how their calls perform, analyst Michael Pachter has a total average return of 0.2% and a 46.9% success rate. Pachter has a -16.8% average return when recommending ZNGA, and is ranked #2306 out of 3584 analysts.