

LinkedIn Shares Tumble After ‘Lockup’ Expires - rgarcia
http://www.bloomberg.com/news/2011-11-21/linkedin-falls-to-lowest-level-in-five-months-after-lockup-period-expires.html

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paul
Misleading headline. At the moment, LinkedIn is down 2.78%, the dow is down
2.11%, and Google is down 2.54%, not a huge difference.

This headline could be "Google Shares Tumble After LinkedIn Lockup Expires"
and it would be just as accurate.

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dman
I am not sure that Financial news headlines try to be rigorous about
causality. If you monitor news stories on Bloomberg from 15 minutes before the
market you can often see the causality bounce around all over the place.

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vsl2
A big fall after releasing millions of shares to the market isn't surprising,
particularly given the small initial float at IPO.

I guess we'll see what LinkedIn's real market valuation is because though its
definitely worth something, $10B it is not. And if the overall market
continues to decline, tech companies such as LinkedIn are going to get
hammered the most as investors start to really ask themselves what companies
will make it through the mess the best (probably the big blue chip ones).

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lpolovets
(Disclosure: I used to work for LinkedIn)

The stock closed down 2.78% while the market as a whole dropped 2.11%. How is
that considered a tumble?

Cherry-picking the lowest price of the day seems misleading.

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mcphilip
The article was published at 1 pm CT. The stock was down over 7% around that
time[1]. The article didn't cherry-pick the days lows since it was published
at the days lows. Still, this is a great example of how intraday market
commentary is often invalidated in a matter of minutes.

[1] <http://finance.yahoo.com/q?s=lnkd>

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guimarin
I wonder whether the stock is still overpriced, even at $70? seems to have
rebounded a few bucks since the article. This might even be a good time to
buy, if you think the company went down too much.

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pbreit
It is a common misconception that lockup expiration day typically means a
large drop in a stock's price. While there is certainly additional selling
pressure, the affect of expiration is usually already priced in to some
extent.

This article perpetuates the myth since as many have pointed out, after an
initial artificial drop, the final close was about the same as markets
overall.

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muzz
Misconceptions maybe about the magnitude of the drop, but not the existence of
it. The gap down at the open, not to mention declines the previous days, was
textbook.

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pbreit
Not really:
[http://finance.yahoo.com/echarts?s=LNKD+Interactive#symbol=l...](http://finance.yahoo.com/echarts?s=LNKD+Interactive#symbol=lnkd;range=5d;compare=ebay+yhoo+goog;indicator=volume;charttype=area;crosshair=on;ohlcvalues=0;logscale=off;source=);

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tkrajcar
Three whole percent?! Zzz.

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muzz
The real story would be the ~30% decline in the past month, but that maybe
that would be a less-sensational headline.

[http://finance.yahoo.com/q/bc?t=3m&s=LNKD&l=on&z...](http://finance.yahoo.com/q/bc?t=3m&s=LNKD&l=on&z=l&q=l&c=xlk&c=%5EGSPC&c=%5EIXIC&c=%5EDJI)

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billpatrianakos
The whole market got hit pretty badly today. This is nothing more than an
unfortunate coincidence. Boo! Misleading! I call bullshit on this story. Let's
see what happens on a day where things are fairly stable for the markets.

