By Max McDonnell:
King Digital Entertainment (KING) opened for its first day of trading last Wednesday, and what a disappointment. King Digital Entertainment is the company behind the popular mobile game Candy Crush Saga, and at the end of the day is a one trick pony. The company offered 22,200,000 shares at $22.5, giving the company a valuation of $7.1 billion.
Now KING put up a diluted earnings per share of $1.75 in 2013 and a net income of $568 million, which is nothing to sniff at. Keep in mind the almighty Zynga (ZNGA) couldn't even turn a profit last year. Still, no successful organization can have a single point of failure and for King Digital Entertainment it's Candy Crush Saga.
The fact that King Digital Entertainment could be valued in the same ballpark as popular game makers Hasbro (HAS) - $7.23 billion and Electronic Arts (EA) - $8.83 billion while
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