Trade-Ideas LLC identified

LinkedIn

(

LNKD

) as a post-market leader candidate. In addition to specific proprietary factors, Trade-Ideas identified LinkedIn as such a stock due to the following factors:

  • LNKD has an average dollar-volume (as measured by average daily share volume multiplied by share price) of $351.9 million.
  • LNKD is up 3.2% today from today's close.

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More details on LNKD:

LinkedIn Corporation, together with its subsidiaries, operates an online professional network worldwide. Currently there are 20 analysts that rate LinkedIn a buy, no analysts rate it a sell, and 7 rate it a hold.

The average volume for LinkedIn has been 1.6 million shares per day over the past 30 days. LinkedIn has a market cap of $24.1 billion and is part of the technology sector and internet industry. The stock has a beta of 0.96 and a short float of 3.5% with 2.44 days to cover. Shares are down 7.2% year-to-date as of the close of trading on Wednesday.

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TheStreetRatings.com

Analysis:

TheStreet Quant Ratings

rates LinkedIn as a

hold

. The company's strengths can be seen in multiple areas, such as its robust revenue growth, largely solid financial position with reasonable debt levels by most measures 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.

Highlights from the ratings report include:

  • The revenue growth came in higher than the industry average of 10.2%. Since the same quarter one year prior, revenues rose by 33.3%. This growth in revenue does not appear to have trickled down to the company's bottom line, displayed by a decline in earnings per share.
  • Although LNKD's debt-to-equity ratio of 0.26 is very low, it is currently higher than that of the industry average. Along with this, the company maintains a quick ratio of 3.50, which clearly demonstrates the ability to cover short-term cash needs.
  • The gross profit margin for LINKEDIN CORP is currently very high, coming in at 85.94%. Regardless of LNKD's high profit margin, it has managed to decrease from the same period last year. Despite the mixed results of the gross profit margin, LNKD's net profit margin of -9.51% significantly underperformed when compared to the industry average.
  • The company, on the basis of change in net income from the same quarter one year ago, has significantly underperformed when compared to that of the S&P 500 and the Internet Software & Services industry. The net income has significantly decreased by 6452.0% when compared to the same quarter one year ago, falling from -$1.03 million to -$67.75 million.
  • The company's current return on equity has slightly decreased from the same quarter one year prior. This implies a minor weakness in the organization. Compared to other companies in the Internet Software & Services industry and the overall market, LINKEDIN CORP's return on equity significantly trails that of both the industry average and the S&P 500.

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