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Let's be clear, active users were down only 4%.

• jstanderfer 15y ago
  If they were already public, this would likely cause a huge drop in the stock price. Similar to what happened to Netflix when they guided down on number of subscribers.
  • Joakal 15y ago
    Netflix had bad publicity surrounding price increases. Did Zynga do anything to cause the user base to decline?
    • jstanderfer 15y ago
      When you've sold yourself as a growth story, the reasons for the decline don't matter to Wall Street. Sell side analysts build complex earnings projections models based on estimated compounding growth rates. Even a slight reduction in the growth rate has a large impact on projected earnings a few years out and a negative growth rate blows up the entire model.
      • deleted 15y ago
        [deleted]
    • SwellJoe 15y ago
      Did Zynga do anything to cause the user base to decline? You mean, other than being evil incarnate?