King Faces "Worst First Day" in US Trading History - Stock Drops 15%

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King Faces "Worst First Day" in US Trading History - Stock Drops 15%

candy crush saga terrible performance 2

The Candy Crush Saga maker has set a record for the worst first day performance of any US IPO.

Earlier, we heard that Candy Crush Saga maker King.com would start trading as an IPO on the New York stock exchange. Now, after just a single day of trading, King has set a new record... though it may not quite be the one they were hoping for. King's stock price dropped a whopping 15.56%, making it the worst first day performance of any IPO in US history.

King's stock price launched at $22.50 per share, but opened at just $20.50 and slowly dribbled down to a close of $19 by the end of the day.

The Renaissance Capital Twitter account has Tweeted a table with the top fifteen "worst first days", showing King right at the top with it's record-breaking loss. The second lowest was a company called "Genuity", who, in 2000, lost 14.5%. Interestingly, Zynga is in the number fifteen spot, with a first day loss of 5% stock price.

King has built up quite a name for itself as a copyright troll and bully, at first attempting to trademark the word "candy", and then trying to bully completely unrelated games into submission. This news should bring a smug look of satisfaction to the faces of those wronged by King, which seems to increase in number daily.

I can't help but smile just a little as I type out this story.

Source: Twitter

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That is all...okay no there's more. Anyway, I find this to be karmatic justice in all honesty. After everything that King pulled it looks like it's catching up to them. Anyway, I just find this to be pretty funny, especially since my mother was telling me on how they would do fine on their first day since Candy Crush is so popular...>.>

All I have to do now is find a 3-hour YouTube video montage/compilation of Nelson Muntz saying "Haw-Haw" over and over and over again.

Neta:
All I have to do now is find a 3-hour YouTube video montage/compilation of Nelson Muntz saying "Haw-Haw" over and over and over again.

Even better, I found a ten hour version:

Sweet, sweet justice. Hopefully this is just the beginning.

image

seriously after the whole copyright on Candy and the bloody word Saga, anything to make this company stumble and fall flat on it's face is welcoming. Though they probably still have a ton of cash from their game to last a while. If they are allowed to succeed then there will be more like them in the future, just like there are many companies like EA.

Apparently Facebook took a hit today as well.

...


Anyway, on topic, this is a joy, because all I can hope is that they understand their folly, and that other developers learn from their mistakes and NOT be copyright trolls. Trust me. The internet is a evil entity, and it's coming for you.

wackymon:
...


Anyway, on topic, this is a joy, because all I can hope is that they understand their folly, and that other developers learn from their mistakes and NOT be copyright trolls. Trust me. The internet is a evil entity, and it's coming for you.

Most investors don't care much for ethics and integrity. However, it seems like King massively overestimated its own value and investors don't want their shares. Maybe they don't see a future in King's business model and expect it to crash and burn soon.

bwahahahahahahaha oh my god yes i have been watching this "saga" evolve and my prayers are being answered :D

rofltehcat:

Most investors don't care much for ethics and integrity. However, it seems like King massively overestimated its own value and investors don't want their shares. Maybe they don't see a future in King's business model and expect it to crash and burn soon.

I think that has a lot to do with it, for they probably think King will do the exact same thing as Zynga and don't want that risk.

Sadly, whether or not they set the record, this first day stock drop isnt going to hurt them all that much.

Remember how far THQ had to fall before it finally sunk? King is nowhere near that bad.

gigastar:
Sadly, whether or not they set the record, this first day stock drop isnt going to hurt them all that much.

Remember how far THQ had to fall before it finally sunk? King is nowhere near that bad.

It's day one...check back in a month.

rofltehcat:

wackymon:
...


Anyway, on topic, this is a joy, because all I can hope is that they understand their folly, and that other developers learn from their mistakes and NOT be copyright trolls. Trust me. The internet is a evil entity, and it's coming for you.

Most investors don't care much for ethics and integrity. However, it seems like King massively overestimated its own value and investors don't want their shares. Maybe they don't see a future in King's business model and expect it to crash and burn soon.

Valid point, but my previous point still stands;

wackymon:

It's quite plausible that we'll be free from their tyranny. And maybe we'll be lucky and that evil cash cow they have will burn... Alright, apologies for my seeming hatred of them, but I honestly think they've made to many mistakes, and while having their money is a great thing, I don't think they are as capable of using it as they think, and they seem to be solely into this for the monetary value, so I hope that we'll have a great day in one form or another.

gigastar:
Sadly, whether or not they set the record, this first day stock drop isnt going to hurt them all that much.

Remember how far THQ had to fall before it finally sunk? King is nowhere near that bad.

While that is the case for THQ, there are some things you need to remember. First off, THQ had existed for over 2 decades before going defunct, while King is still fairly new. Two, the amount of games and franchises THQ had when compared to that of King. Three, THQ for a time had a long and stable model, that they promptly threw out around 2009, while King is following the exact same patterns as Zynga did. Sure King has a little while to go, but they are making mistakes that got THQ to go under long before THQ started doing that crap themselves.

Karma is a bitch. So is the stock market.

RealRed05:
Karma is a bitch.

Aww, dude, you've beaten me to it. Karma indeed is a bitch.

This is a real tone-setter for potential investors. I wonder if King's second impression will be better than its first...

The enemy is bleeding, but not broken nor vanquished.
We'll see if they continue to fall like Zynga; hopefully investors will remember the last time such a pointlessly ruthless company went up on the market; and how they basically swindled investors.

Suck a fat one King, hopefully their investors bail next.

Mobile bubble close to bursting? I, for one, hope so. Too exploitative and most F2P monetization takes precedence over quality game design, or any game design at all.

Oh, King will be fine...

the folks who bought stock before it opened will be panicking, but King will be fine...

once it's stock stops falling, which might not happen until it hits a hundredth of its opening price, but King will be fine...

until it fails to produce something equivalent to the game that made it one and a half billion dollars last year, which will cause investors to flee and the whole mess to collapse...

then King will not be fine.

And we will all giggle.

Burn. Just burn burn burn. Keep burning, and I will stand here and watch the pretty light show with marshmallows and a big smile on my face.

Genocidicles:

Neta:
All I have to do now is find a 3-hour YouTube video montage/compilation of Nelson Muntz saying "Haw-Haw" over and over and over again.

Even better, I found a ten hour version:

Sweet, sweet justice. Hopefully this is just the beginning.

That's all I came in here to post. Since my work has been done for me, here have a quote.

Captcha: Moot Point.

Shhh they'll know.

Second post in a row where I get a chance to use this:

Time for King to trademark the words "stock market disaster." Come on, you know you want to...

So King is going the route of Zynga while the stock market speculators are getting burnt. This is going to be a goood day indeed.

I really hope that they crash and burn, there destruction would serve as a great warning for other companies not to be assholes.

Neta:
All I have to do now is find a 3-hour YouTube video montage/compilation of Nelson Muntz saying "Haw-Haw" over and over and over again.

I prefer the full account of Joker laughing, myself.

OT: Hmmm... Shitty practices and shitty business lead to shitty stock reports. Do I sense a pattern here? My god, could it mean that...being an asshole in the business world has CONSEQUENCES?! Perish the thought! (Or, more relevently, time for me to laugh maniacally at this, the King of Fools.)

Didn't, at some point, King say their company was worth 6 billion? Or some figure like that, prior to launching the IPO?

Here's to hoping King's saga ends with some good old Ragnarok.

I know this sentiment has been echoed already, but seriously:

image

King and companies like them are a cancer on this industry and I hope they join the likes of Zynga in irrelevance. They deserve it.

As happy as I am to see them hurt, it's worth noting that the stock market in general isn't doing well right now. There's a good chance this has nothing to do with them, and just reflects bad IPO timing.

Justice!

Sweet, juicy, justice!

It tastes like an orange.

For a company who's biggest success involves a "Crush", they shouldn't be surprised to have a "Crash" on the stock market.

Looks like they are down another 2-3% already today althoughit is climbing (boo!).

http://finance.yahoo.com/q?d=t&s=KING

CriticalMiss:
Looks like they are down another 2-3% already today althoughit is climbing (boo!).

http://finance.yahoo.com/q?d=t&s=KING

I particularly like the headline of CNBC's article:

"Stocks fluctuate after economic reports; and King Digital extends drop"

http://www.cnbc.com/id/101530904?__source=yahoo%257cfinance%257cheadline%257cheadline%257cstory&par=yahoo&doc=101530904%257cStocks+fluctuate+after+ec

Apparently King's continuing decline is significant enough to warrant the sharing of the headline with overall economic turmoil.

I'm just waiting for the financial sites to start using the term "freefall". :D

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