This Day On The Street
Continue to site right-arrow
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
TheStreet Open House

Top 3 Internet Stocks For The Second Quarter (Update 1)

Stocks in this article: PCLN AMZN LNKD


LinkedIn, which reported better-than-expected first-quarter results in May, may see some foreign currency headwinds this quarter, as approximately 20% of its revenues come from Europe. Citi rates LinkedIn shares "buy" with a $125 price target.

Despite clouds of economic uncertainty in Europe, though, growth in the U.S. is still strong, albeit decelerating. "In the U.S., growth in the average number of Unique Visitors to LinkedIn decelerated to 15% Y/Y in Q2TD vs. Q1's 22% Y/Y increase, 'tho comps are tougher by about 25-pts - a thus largely positive trend, in our opinion," Mahaney said in his note.

He did note that engagement amongst users is up, as Total Minutes, Page Views, and Site Visits experienced accelerating growth in the quarter.

Job postings are also on the rise, increasing about 24% sequentially. "All in, we'd characterize such job postings growth as a neutral to positive read-thru supporting our revenue growth assumptions."

Analysts polled by Thomson Reuters expect LinkedIn to earn 16 cents a share on $216.08 million in revenue. The company will report its second-quarter results on Aug.3.

LinkedIn has only reported quarterly earnings three times since going public. "We note that since LNKD reported Q1 EPS, shares are down 7% (from May 4th to July 9th), vs. a 1% increase in the S&P 500 over the same period," Mahaney wrote. He believes expectations are muted going into the earnings report.

LinkedIn shares have jumped 66.97% year-to-date, the best among the group.

LNKD Chart LNKD data by YCharts

Interested in more on LinkedIn? See TheStreet Ratings' report card for this stock.

Check out our new tech blog, Tech Trends. Follow TheStreet Tech on your wireless devices.

-- Written by Chris Ciaccia in New York

>Contact by Email.

4 of 4

Check Out Our Best Services for Investors

Action Alerts PLUS

Jim Cramer and Stephanie Link reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

Jim Cramer's protégé, David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
Try it NOW
Try it NOW
Try it NOW

Check Out Our Best Services for Investors

Dividend Stock Advisor

Jim Cramer's protégé, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
Try it NOW
Try it NOW
Try it NOW
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!


DOW 17,164.95 -251.90 -1.45%
S&P 500 1,994.99 -26.26 -1.30%
NASDAQ 4,635.24 -48.1670 -1.03%

Partners Compare Online Brokers

Free Reports

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs