LinkedIn Is Getting Twittered: Here's Why

Yesterday it was Twitter, today it is LinkedIn. Moments ago, the professional social network reported EPS that just barely beat at $0.39 vs expectations of $0.38, while revenue printed at $447.2 MM vs $437.6 MM expected. However, it is this excerpt from the LNKD release that is causing the stock to be TWTRed 10% after hours.

LinkedIn is providing guidance for the first quarter and full year of 2014:

  • Q1 2014 Guidance: Revenue is expected to range between $455 million and $460 million. Adjusted EBITDA is expected to range between $106 million and $108 million. The company expects depreciation and amortization to be approximately $48 million, and stock-based compensation to be approximately $68 million.
  • Full Year 2014 Guidance: Revenue is expected to range between $2.02 billion and $2.05 billion. Adjusted EBITDA is expected to be approximately $490 million. The company expects depreciation and amortization to be approximately $225 million, and stock-based compensation to be approximately $325 million.

And since the street was looking for $470 million for Q1 revenue, and $2.17 billion for full year, the stock is currently getting monkeyhammered.

Of course, with LTM PE before earnings in the four-digit range before earnings, this 10% drop means the company is back to being a blue-light special bargain… somewhere in the ultra high triple digit PE range.


    



via Zero Hedge http://ift.tt/1d00uOf Tyler Durden

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