Tuesday, July 21, 2015

Sell Zynga Inc $ZNGA, Buy King Digital Entertainment PLC $KING?


Zynga (NASDAQ:ZNGA) and King Digital Entertainment (NYSE:KING) have been ships passing in the night through most of their publicly traded lives, and that didn't exactly change when Morgan Stanley initiated coverage of the two mobile gaming giants last week.
Analyst Dean Prissman started coverage of Sugar Crush Saga publisher King with a bullish "overweight" rating and an $18 price target. It's a call that represents 22% in upside for the stock from where it was when the Morgan Stanley note was published. Prissman is impressed by King's ability to cross-promote its games across its growing network of more than 350 million players, something that is validated by checking the charts of the highest grossing games.  (more)

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