LinkedIn Stock Drops 30% After Release of Earnings Guidance

LinkedIn (NYSE:LNKD) stock prices fell 30 percent in after-hours trading on Thursday, after the company’s fourth quarter earnings guidance was released.
According to an article on TechCrunch:

The job networking site said that revenue for first quarter of 2016 is expected to be $820 million and adjusted earnings per share will be 55 cents. For the full year, revenue is forecasted to be about $3.6 billion. Investors were discouraged by these numbers, because they were expecting $867 million in revenue for the current quarter and $3.9 billion for the full year.
Yet the latest quarter, surpassed expectations. LinkedIn brought in $862 million in the fourth quarter, compared to Wall Street predictions of $858 million, and a 34% year-over-year increase from last year. Adjusted earnings per share was 94 cents, well above the 78 cents expected.
The company says it now has 414 million members, with 100 million unique visitors each month. 57% of active users are on mobile.

 
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