Tuesday, November 30, 2010

Shanda's (NASDAQ:SNDA) Acquisition of Eyedentity Positive for Top and Bottom Line

Shanda Interactive's (NASDAQ:SNDA) acquisition of Eyedentity Games should help the company overcome some of the negative and generate growth. It's yet to be determined whether that growth will be enough to meet the expectations of the Street.

Auriga noted several positive things in the game market:

"1) Dragon Nest continues to perform well, 2) Mir II has been stabilizing, and 3) the acquisition of Eyedentity Games, Dragon Nest's developer, can be positive to both top and bottom line, we believe it is a challenge for the positives to offset the negative and generate growth expected by the Street."

Shanda Interactive (NASDAQ:SNDA) has a "Buy" rating maintained on them by Auriga. They closed Monday at $40 even, gaining $0.16, or 0.40 percent. They have a price target of $51 placed on them.

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