Cantor Sets Expectations On LinkedIn Ahead Of 3Q14 Earnings
In a research report issued today, Cantor analyst Youssef Squali maintained a Buy rating on LinkedIn Corp (NYSE:LNKD) with a $250 price target, ahead of the company’s third-quarter results, which should show continued momentum, according to the analyst.
Squali noted, “We expect LinkedIn to post strong 3Q results on Thursday, October 30, driven by double-digit growth across all three business segments. We remain positive on the stock long-term, given the company’s large addressable markets, its well established business model, and a still nascent but promising opportunity in sales and marketing solutions.”
The analyst added, “LNKD is trading at 7.9x CY:15 revenue and 29.6x EV/EBITDA, toward the high end of the group, but which we believe is justified considering its growth/margin profile. Our FY:14 $250 PT is based on a 10-year DCF. Risks include weakening macro environment, reduced engagement, and increasing competition.”
According to TipRanks.com, which measures analysts’ and bloggers’ success rate based on how their calls perform, analyst Youssef Squali has a total average return of 28.9% and a 70.2% success rate. Squali has a 6.0% average return when recommending LNKD, and is ranked #3 out of 3347 analysts.