LinkedIn Corp. (LNKD) Rating Lowered to Hold at Zacks Investment Research
LinkedIn Corp. (NYSE:LNKD) was downgraded by Zacks Investment Research from a “strong-buy” rating to a “hold” rating in a report released on Wednesday.
According to Zacks, “LinkedIn, along with its subsidiaries, offers an online platform for professionals to enhance their network in the virtual world. Of late, estimates for this professional networking behemoth have remained stable. We believe that LinkedIn’s initiatives to bolster advertising revenues through product launches and partnership programs have been commendable. We also expect advertisers to take note of the company’s growing user base. Additionally, by selling itself to Microsoft, LinkedIn has unlocked value for its shareholders and is likely to grow faster than its competitors with the help of Microsoft’s cloud capabilities. On the flip side, continued investments to provide new and improved products and services might hurt LinkedIn’s profits in the short term. However, over the long term, these investments will drive member growth and user engagement.”
Other equities research analysts have also recently issued research reports about the stock. Cantor Fitzgerald reiterated a “hold” rating on shares of LinkedIn Corp. in a report on Saturday, July 9th. Axiom Securities cut shares of LinkedIn Corp. from a “buy” rating to a “hold” rating in a report on Tuesday, June 14th. Piper Jaffray Cos. cut shares of LinkedIn Corp. from an “overweight” rating to a “neutral” rating and raised their target price for the stock from $180.00 to $196.00 in a report on Monday, June 13th. Avondale Partners cut shares of LinkedIn Corp. from a “market perform” rating to an “underperform” rating and raised their target price for the stock from $140.00 to $196.00 in a report on Monday, June 13th. Finally, Needham & Company LLC cut shares of LinkedIn Corp. from a “buy” rating to a “hold” rating in a report on Tuesday, June 14th. Three research analysts have rated the stock with a sell rating, thirty-four have issued a hold rating and nine have issued a buy rating to the company’s stock. The stock currently has a consensus rating of “Hold” and a consensus price target of $199.29.
Shares of LinkedIn Corp. (NYSE:LNKD) traded up 0.04% during midday trading on Wednesday, reaching $192.30. 263,652 shares of the company’s stock were exchanged. The firm has a 50 day moving average of $192.25 and a 200-day moving average of $162.46. The stock’s market cap is $25.91 billion. LinkedIn Corp. has a one year low of $98.25 and a one year high of $258.39.
LinkedIn Corp. (NYSE:LNKD) last posted its quarterly earnings results on Thursday, August 4th. The social networking company reported $1.13 EPS for the quarter, beating the Zacks’ consensus estimate of $0.78 by $0.35. LinkedIn Corp. had a negative net margin of 6.23% and a positive return on equity of 0.47%. The firm had revenue of $933 million for the quarter, compared to analysts’ expectations of $898.30 million. During the same quarter in the prior year, the company posted $0.55 earnings per share. The business’s revenue for the quarter was up 31.0% on a year-over-year basis. On average, equities research analysts anticipate that LinkedIn Corp. will post $3.84 earnings per share for the current year.
In other LinkedIn Corp. news, VP Susan J.S. Taylor sold 426 shares of the company’s stock in a transaction on Tuesday, August 16th. The shares were sold at an average price of $190.45, for a total transaction of $81,131.70. Following the completion of the transaction, the vice president now directly owns 11,428 shares in the company, valued at $2,176,462.60. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, SVP Michael Gamson sold 2,596 shares of the stock in a transaction dated Monday, July 18th. The shares were sold at an average price of $189.36, for a total transaction of $491,578.56. Following the completion of the sale, the senior vice president now owns 70,041 shares of the company’s stock, valued at $13,262,963.76. The disclosure for this sale can be found here. Company insiders own 12.72% of the company’s stock.
Large investors have recently modified their holdings of the stock. Harris Associates L P acquired a new stake in shares of LinkedIn Corp. during the second quarter worth approximately $511,098,000. Pentwater Capital Management LP acquired a new stake in shares of LinkedIn Corp. during the second quarter worth approximately $492,334,000. Carmignac Gestion boosted its stake in shares of LinkedIn Corp. by 126.0% in the second quarter. Carmignac Gestion now owns 2,150,209 shares of the social networking company’s stock worth $406,927,000 after buying an additional 1,198,639 shares during the period. Farallon Capital Management LLC acquired a new stake in shares of LinkedIn Corp. during the second quarter worth approximately $174,110,000. Finally, Westchester Capital Management LLC acquired a new stake in shares of LinkedIn Corp. during the second quarter worth approximately $166,215,000. Institutional investors and hedge funds own 65.51% of the company’s stock.
About LinkedIn Corp.
LinkedIn Corporation (LinkedIn) is a professional network on the Internet with approximately 400 million members in over 200 countries and territories. The Company provides the majority of its products at no cost to its members. It offers approximately three product lines: Talent Solutions, which includes Hiring, and Learning and Development; Marketing Solutions and Premium Subscriptions.
For more information about research offerings from Zacks Investment Research, visit Zacks.com
Receive News & Ratings for LinkedIn Corp. Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for LinkedIn Corp. and related companies with MarketBeat.com's FREE daily email newsletter.