Why Zynga Stock Dropped 18% in November
Shares of Zynga (NASDAQ: ZNGA) fell 18.3% last month, according to data from S&P Global Market Intelligence. The stock initially surged on strong earnings results for the third quarter, but as the month progressed, the shares fell along with digital ad stocks, such as Meta Platforms, Snap, and Twitter.
The consumer price index rose 6.2% in October. This move caused bond yields to rise, which triggered a selloff in growth stocks. Higher inflation may raise concerns about the health of the economy and, therefore, the digital ad market, which contributed to Zynga's third-quarter results.
Source Fool.com