LinkedIn, the professional social media network, was up 6 percent in afternoon trading on Wednesday, chiefly due to the favourable ratings by investment bank Jefferies & Co.

The stock traded a fraction above $114 after the investment bank raised its ratings on LNKD stock from hold to buy. The bank says the company is expected to function more and prosper in the coming months.

LinkedIn is likely to continue to perform in the near term,” Jefferies analysts Brian Pitz and Brian Fitzgerald said in a joint report. They expect LinkedIn to “beat and raise earnings based on conservative guidance,” continue to take market share and “provides the most differentiated, effective products out there.”

The company works in different domains on the same platform and has a solid source of income from dedicated subscriptions and advertisement sales. Though it is primarily a free social network that any professional can join, there are modes of services that the company provides for nominal fees.

The major income sources to LinkedIn are recruitment solutions to different companies for hiring HR, advertisement sales and premium subscription membership. Due to the presence of almost all top-level companies at the network, it has become synonymous to job portal. Millions of people get hired via LinkedIn every year.

Among potential threat to LinkedIn in the coming years, according to both Pitz and Fitzgerald, was the economy that might force companies to cut on advertisement expenditure. Moreover, sales of its recruitment solutions might also slow down if the economy hurdles.

LinkedIn went public in summers last year at the face value of $45 but rose to $122 the same day and ended the day’s trade at $93. At its current $114.15 stock value, it has gained 150 percentage points since the IPO and becomes the successful public limited social networking company.

Other social networking companies like Facebook, Groupon and Zynga are still down from their IPO price in double-figure percentage points.