Stifel Resumes Coverage On LinkedIn With Buy Rating, $250 Target; Shares Up ~1%

Stifel analyst Scott Devitt resumed coverage on LinkedIn Corporation

with a Buy rating and a price target of $250 Wednesday morning. Devitt pointed out that the core business posted impressive results. One of the components of the business, Talent Solutions, beat expectations when it's growth did not slow, as evidenced by second quarter results. This component, along with the potential for deeper client relationships, will have a key role in the company's future expansion. Furthermore, the launch of Sales Navigator is expected to have positive reverberations in the online sales market. The report also identified potential risks, including “Cyclical pressures on recruitment activity, uncertain ceiling on target addressable market opportunities, engagement gap vs. other social media services, transition to a more content-focused marketing platform, and potential competition from larger technology companies making a push into professional networking”.