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Tue, June 26, 2012

Facebook and Zynga Shares on the Upswing -- Facebook Begins to Expand Ad Network


Published on 2012-06-26 05:28:01 - Market Wire
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June 26, 2012 08:20 ET

Facebook and Zynga Shares on the Upswing -- Facebook Begins to Expand Ad Network

Five Star Equities Provides Stock Research on Facebook and Zynga

NEW YORK, NY--(Marketwire - Jun 26, 2012) - Shares of social media giant Facebook, and Zynga have been on the upswing over the last week, the companies have jumped 10 percent and 8 percent, respectively. Facebook just last week began running ads on Zynga's website, which could be seen as the social network's first step in creating their own ad network similar to Google's AdSense service. Five Star Equities examines the outlook for companies in the Banking Industry and provides equity research on Facebook Inc. (NASDAQ: [ FB ]) and Zynga Inc. (NASDAQ: [ ZNGA ]).

Access to the full company reports can be found at:

[ www.FiveStarEquities.com/FB ]

[ www.FiveStarEquities.com/ZNGA ]

Facebook currently takes a 30 percent share of all revenues Zynga collects from their games on their social network. Facebook has been under pressure to show their revenues can grow enough to justify their lofty IPO valuation.

"This seems to be part of a move that the company is making to extend and learn about user behavior beyond the Facebook walls," said Herman Leung, an analyst at Susquehanna Financial Group. "This could certainly be a first step in creating its own ad network, building new revenue streams onto the platform.

Five Star Equities releases regular market updates on the Banking Industry so investors can stay ahead of the crowd and make the best investment decisions to maximize their returns. Take a few minutes to register with us free at [ www.FiveStarEquities.com ] and get exclusive access to our numerous stock reports and industry newsletters.

"Sponsored stories" from Facebook, which are advertisements triggered when a user "likes" a specific brand or business, are beginning to pop up on Zynga's site. "People may now see ads and sponsored stories from Facebook on Zynga.com," Annie Ta, a spokeswoman for Facebook, said in an e-mailed statement. "We don't share any information about people or advertisers with Zynga and advertisers do not have any new targeting criteria."

Facebook has also recently gained support from two major advertisers, Ford and Coca-Cola. According to a recent Wall Street Journal article both companies have separately said they saw value in the ads they placed on Facebook and Ford has stated it will expand social media advertisements. "If we can get 40-million plus fans, or even some subset of them talking positively about the things we're doing, ultimately that's a good thing for us," said Coca-Cola marketing chief Joe Tripodi.

Five Star Equities provides Market Research focused on equities that offer growth opportunities, value, and strong potential return. We strive to provide the most up-to-date market activities. We constantly create research reports and newsletters for our members. Five Star Equities has not been compensated by any of the above-mentioned companies. We act as an independent research portal and are aware that all investment entails inherent risks. Please view the full disclaimer at: [ www.FiveStarEquities.com/disclaimer ]