Wunderlich Securities Reiterates Buy Rating, $250 PT on LinkedIn After Common Stock Offering

In a report published Wednesday, Wunderlich Securities analyst Blake T. Harper reiterated a Buy rating and $250.00 price target on LinkedIn Corp. (NYSE: LNKD).

In the report, Wunderlich Securities noted, “The company plans to raise $1 billion in cash with an option for another $150 million, which we would expect to be filled. Given the strong performance of the stock (up 114% YTD and 447% from the IPO price in May 2011) and the valuation (trading at 9.9x EV/S and 35x EV/EBITDA based on our FY13 estimates), the company is opportunistically increasing its financial strength and flexibility by tapping the capital markets for a second follow on offering. We expect the cash to help fuel the company's expansion plans, and we believe investors should continue to benefit from upside in the shares as the company executes its plan and invests in future growth of the business.”

LinkedIn Corp. closed on Tuesday at $246.13.