Zynga Down Nearly 40%, Facebook Also Takes a Hit

Investors are abandoning Zynga ZNGA in after hours trading after the company missed earnings and guided lower than expected. The company, which has been struggling to maintain its success at developing simplistic, mainstream-friendly Facebook FB games, is down nearly 40 percent today. The company reported a second-quarter EPS of $0.01 versus $0.06 estimates; revenues came in at $332 million versus $344.12 million estimates. Zynga's full-year EPS is just $0.04 to $0.09; the company had previously seen $0.23 to $0.29 versus $0.27 estimates. Since the announcement, Zynga shares have been tanking. Facebook is also taking a hit, dropping more than six percent in after hours trading. LinkedIn LNKD seems to have weathered the storm, however, as it is down less than one percent during this after hours session. Follow me @LouisBedigianBZ