Facebook Inc (FB), Zynga Inc (ZNGA), Groupon Inc (GRPN): Are These Companies “Stronger Than Ever”?

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Are they stronger?

I don’t think that Zynga Inc (NASDAQ:ZNGA) was ever strong. How can you have a strong business when you are almost completely dependent on other businesses? It has done nothing to change that, meaning that it is just as weak now as it was before. Groupon has acquired approximately 17 million users since the beginning of 2012, bringing its total to over 50 million. Facebook Inc (NASDAQ:FB), on the other hand, has 1.1 billion users. The numbers for both companies are probably exaggerated, of course. Can we really count people’s dogs, cats, fish, and long lost siblings that were never born as actual users?

“I can’t speak to the stock price, but I do feel strongly that we are a better positioned, stronger company than we were a year ago,” said Facebook’s chief operating officer, Sheryl Sandberg. Why do I agree? CEO Mark Zuckerberg has made it obvious that the company has a new mission – to keep up with shifting user habits and hold a dominant grasp on smartphones and tablets. Facebook is figuring out how to do mobile, which is huge.

The foolish bottom line

So, have these companies really become stronger? I believe that Groupon Inc (NASDAQ:GRPN) and Facebook have made some moves, changed their directions, or simply become stronger with the help of their users. I simply don’t see how Zynga Inc (NASDAQ:ZNGA) will find a long-term answer with its dependency issues, though. With as prevalent as the mobile market has become, however, Facebook Inc (NASDAQ:FB) and Groupon Inc (NASDAQ:GRPN) could find plenty of opportunities if they continue to maximize their efforts in that area

The article Are These Companies “Stronger Than Ever”? originally appeared on Fool.com and is written by Tyler Wofford.

Tyler Wofford has no position in any stocks mentioned. The Motley Fool recommends Facebook. The Motley Fool owns shares of Facebook. Tyler is a member of The Motley Fool Blog Network — entries represent the personal opinion of the blogger and are not formally edited.

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