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Strategies & Market Trends : The Residential Real Estate Post-Crash Index-Moderated -- Ignore unavailable to you. Want to Upgrade?

To: patron_anejo_por_favor who wrote (56244)	1/10/2012 5:44:02 PM
From: Smiling Bob	Respond to of 119361

Want immorality and immortality? Visit Wall Street Mathemagicians and alchemists they are ------- Tuesday, January 10, 2012 ET LinkedIn Stakeholders Stand Pat With Bad Math By Dimitra DeFotis Beware the headline that says a large hedge fund or institutional investor whittled its stake in LinkedIn. It probably did nothing of the sort. In November 2011, following the May IPO of the business networking site, employees at LinkedIn ( LNKD), were allowed to monetize their holdings within a brokerage account, according to a spokesman. Many did so, and were required to exchange their B shares, with 10 votes, to A shares, with one vote. The total number of LinkedIn A shares increased from 9.4 million shares on Sep. 30, 2011 to 40.6 million on December 31. And the number of A shares is used to calculate the percentage change in holdings from quarter to quarter – notably for the big stakeholders under the watchful eye of the Securities and Exchange Commission. Now come a host quarterly ownership updates with the SEC that, based on the larger number of A shares floating around, make stakes look smaller. The math may technically be right, but in many cases — Tiger Global Management and Morgan Stanley being two examples – actual shares positions didn’t change. News reports Friday and Monday erroneously indicated significant ownership reductions at each firm. It’s more likely investors like hedge fund giant Tiger Global will hold on. Tiger poured money into LinkedIn before the May 2011 public offering at $45. The stock is up 46% from that level to near $65.85. (It doubled on the first day.) And Wall Street is replete with bulls: <strong>Collins Stewart</strong> put a buy rating on the stock in late December, with a price target of $86, and praised LinkedIn’s passive recruiting capabilities and said it could expand into markets like temp staffing. <strong>Telsey Advisory Group</strong> was a little more cautious in issuing a price target of $74 to $76 in late December. Analysts there expressed concern about how LinkedIn will make money on its participants. Both <strong>Morgan Stanley</strong> and <strong>J.P. Morgan</strong> upgraded the stock in early December to Overweight. Copyright 2012 Dow Jones & Company, Inc. All Rights Reserved This copy is for your personal, non-commercial use only. Distribution and use of this material are governed by our Subscriber Agreement and by copyright law. For non-personal use or to order multiple copies, please contact Dow Jones Reprints at 1-800-843-0008 or visit www.djreprints.com