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

Updated from July 12 to include expected stock price reaction for Amazon and LinkedIn.

NEW YORK ( TheStreet) -- Even with the global economy slowing due to weakening numbers out of China and continued austerity measures in Europe, Citigroup likes Amazon ( AMZN), Priceline ( PCLN) and LinkedIn ( LNKD) as its top three large cap Internet names for the second-quarter earnings season.

Analyst Mark Mahaney believes that valuations for the Internet names are now "neutral," as he slashed second-quarter and full-year earnings estimates for Amazon, Priceline, LinkedIn, as well as Groupon ( GRPN) and eBay ( EBAY), explaining that " m acro & FX create greater than normal risk this EPS season." Mahaney took down earnings estimates between 1% and 3% for the companies.

Despite these concerns, the analyst says that recent weakness in the price action of certain names is providing attractive entry points, as earnings season kicks off.

Here are Citigroup's top three Internet large cap names for the second quarter earnings season of 2012.

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