Zynga, Kors on IPO Earnings Forefront — Tuesday’s IP Market Recap

by Kyle Woodley | February 14, 2012 5:44 pm

InvestorPlace Market Recap[1]Zynga (NASDAQ:ZNGA[2]) was trading down in after-hours trading Tuesday after it posted a quarterly loss but beat Wall Street expectations[3].

In the online gaming company’s first report as a public company, it posted a net loss of $435 million, or $1.22 per share. However, adjusted earnings per share were 5 cents, beating estimates of 3 cents. Revenue was up 59% to $311 million, and bookings were up 26% to $306 million. Still, ZNGA shares were down almost 5% soon after the bell.

In other IPO earnings news, global fashion brand Michael Kors (NYSE:KORS[4]) jumped about 28% after its first earnings report as a publicly trading company[5] was a screaming success. The company’s revenues were up 68% on same-store sales increases of 38% and 34% in North America and Europe, respectively. Earnings of 28 cents per share were up 40% from a year ago and far ahead of analyst expectations for 9 cents.

Also, Zipcar (NASDAQ:ZIP[6]), which went public last April, lost 14% despite a strong earnings report. The company’s revenue was up 21% to $63 million, and earnings were up to 9 cents per share, reversing a loss of 17 cents the year before and topping estimates of a break-even quarter. However, concerns about European growth sent the stock lower.

Yahoo (NASDAQ:YHOO[7]) shares dropped about 4.7% after reports out Tuesday said the company’s talks about selling its Asian assets, Allibaba Group Holding Ltd. and Yahoo Japan, had stalled. The main hangup, according to AllThingsD[8], is the tax-efficiency of the deal.

Three Up

Three Down

Kyle Woodley[15] is the assistant editor of InvestorPlace.com[16]. As of this writing, he did not hold a position in any of the aforementioned securities. Check out recaps from previous trading days here[17].

  1. [Image]: http://investorplace.com/hot-topics/investorplace-market-recap/
  2. ZNGA: http://studio-5.financialcontent.com/investplace/quote?Symbol=ZNGA
  3. posted a quarterly loss but beat Wall Street expectations: http://investorplace.com/ipo-playbook/zyngas-game-is-on/
  4. KORS: http://studio-5.financialcontent.com/investplace/quote?Symbol=KORS
  5. first earnings report as a publicly trading company: http://investorplace.com/ipo-playbook/michael-kors-is-in-season-for-investors/
  6. ZIP: http://studio-5.financialcontent.com/investplace/quote?Symbol=ZIP
  7. YHOO: http://studio-5.financialcontent.com/investplace/quote?Symbol=YHOO
  8. according to AllThingsD: http://allthingsd.com/20120214/exclusive-yahoo-asia-deal-talks-off/
  9. LPSN: http://studio-5.financialcontent.com/investplace/quote?Symbol=LPSN
  10. FOSL: http://studio-5.financialcontent.com/investplace/quote?Symbol=FOSL
  11. RAX: http://studio-5.financialcontent.com/investplace/quote?Symbol=RAX
  12. MAS: http://studio-5.financialcontent.com/investplace/quote?Symbol=MAS
  13. WFR: http://studio-5.financialcontent.com/investplace/quote?Symbol=WFR
  14. GT: http://studio-5.financialcontent.com/investplace/quote?Symbol=GT
  15. Kyle Woodley: http://investorplace.com/author/kyle-woodley/
  16. InvestorPlace.com: http://investorplace.com/
  17. here: http://investorplace.com/hot-topics/investorplace-market-recap/

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