Reportedly, LinkedIn (LNKD - Analyst Report) has launched a job search app for Apple’s (AAPL - Analyst Report) iPhone to cater to the growing number of its members who search for jobs via mobile devices. Notably, 41% of LinkedIn’s traffic comes from mobile which it expects to hit 50% in the near term. Although currently available for iPhone users in the U.S., the Android version is expected to be released later this year, per sources.
The standalone job search app helps users to search and apply for new jobs. The app allows users to improve their search for jobs by applying filters such as title, location, and more. Moreover, LinkedIn suggests relevant jobs to users based on their search metrics.
The uniqueness of the app lies in the fact that the job searches and applications made by an individual are not disclosed or shared via the LinkedIn network. LinkedIn’s initiatives to increase user engagement by adding new features are commendable and are expected to bode well for its Talent Solutions segment.
It is worth noting that LinkedIn derives 58% of its total revenue from Talent Solutions. The revenue contribution from this segment jumped 49.7% year over year in the last-reported quarter (first-quarter 2014).
Nonetheless, continued investments to provide new and improved products and services might affect LinkedIn’s profitability. Though impacting the company’s operational performance in the short run, these investments drive member growth and user engagement over the long term. We remain encouraged by the 45–50% top-line growth recorded in the past few quarters.
LinkedIn thus, remains a pioneer and a leading professional networking company with a wide industry reach that enables it to explore and tap into every opportunity to connect the global workforce.
Currently, LinkedIn has a Zacks Rank #3 (Hold). Some better-ranked technology stocks include Micron Technology (MU - Analyst Report) and Juniper Networks (JNPR - Analyst Report). While Micron sports a Zacks Rank #1 (Strong Buy), Juniper has a Zacks Rank #2 (Buy).