Invest Intelligence When It Realy Matters
LinkedIn Insiders Head for the Exit Gates
Several months ago, I wrote a short piece discussing what I believed to be illegal business practices used by LinkedIn.
In an earlier note, we released a detailed analysis of LinkedIn, focusing in its IPO valuation, business risks, the IPO valuation process and several other topics critical for investors interested in shares of this social media firm and others like it.
You will recall that LinkedIn sold about 8% of its total outstanding shares to the public in its IPO debut. In other words, the float was 8%.
As of today, seven months later, the number of shares available in the market is approximately 40%. Meanwhile, the share price of LinkedIn has declined by about 22%, or about 12% after adjusting for the decline in the Nasdaq.