NEW YORK (TheStreet) -- Shares of LinkedIn (LNKD) were tumbling, down 5.19% to $215.37 in pre-market trading Friday, after the professional networking site released its latest quarterly earnings results late Thursday.
LinkedIn shares initially jumped on the second quarter earnings beat, but fell after revealing poorer performance from its core businesses including display ads, according to The Wall Street Journal.
LinkedIn's monthly unique user total came in flat from the prior quarter with an average of 97 million members.
After factoring in the strong growth for the newly acquired Lynda.com business, LinkedIn's guidance was trimmed and not lifted, according to Colin Gillis at BGC Partners, The Journal reports.
In May, the company bought training video site Lynda for $1.5 billion.
For the second quarter, the company earned 55 cents per share on revenue of $711.7 million. Business from Lynda.com added $18 million in sales for the second quarter.
Wall Street was expecting LinkedIn to post a profit of 30 cents per share on revenue of $679.8 million for the period.
In the same period a year ago, the company earned 51 cents a share on revenue of $533.88 million.
Looking ahead, LinkedIn said it increased its full year earnings guidance to $2.19 from $1.90 per share and upped its revenue forecast to $2.94 billion from its prior $2.9 billion estimate.
LinkedIn helps manage professional identity, ability to build and engage with professional networks, access to knowledge, insights and opportunities and ubiquitous access. The company is based in Mountain View, Calif.
Separately, TheStreet Ratings team rates LINKEDIN CORP as a Hold with a ratings score of C-. TheStreet Ratings Team has this to say about their recommendation:
"We rate LINKEDIN CORP (LNKD) a HOLD. The primary factors that have impacted our rating are mixed, some indicating strength, some showing weaknesses, with little evidence to justify the expectation of either a positive or negative performance for this stock relative to most other stocks. The company's strengths can be seen in multiple areas, such as its robust revenue growth, solid stock price performance and good cash flow from operations. However, as a counter to these strengths, we also find weaknesses including deteriorating net income, disappointing return on equity and feeble growth in the company's earnings per share."
You can view the full analysis from the report here: LNKD Ratings Report
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