NEW YORK (Stockpickr) -- Perhaps the stock market isn't such a mystery. A recent IPO could have created an unusual anomaly whereby a new entrant was wildly overvalued while proven, longstanding operators were seemingly being ignored.
Thankfully, investors came to their senses and quickly unloaded shares of new IPO Zynga (ZNGA). Shares fell roughly 10% in their first five trading sessions.
Leading up to its IPO, Zynga garnered lots of buzz -- and for good reason. People like games, especially on new platforms such as Facebook. And considering we'll be wasting many hours in the future on such distractions, it pays to find the winning investment angle to profit from the ongoing trend. The good news: You can find great investment opportunities among the established video game firms. These firms already learned the secret to industry success: franchises.
2012 Stock Predictions and Outlook
|Your one-stop shop for 2012 stock recommendations and market predictions.
Select the service that is right for you!COMPARE ALL SERVICES
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
- Real Money + Doug Kass Plus 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV