Internet, Linkedin Ipo | featured news

LinkedIn’s stock opened at $83 after its IPO was priced at $45 and reached an intra-day high of around $123 on the first day. And then a month of carnage started which saw the stock plummeting by 51% from its all-time high. Even though the stock has impressively recovered, climbing almost 75% from its June 20 lows of $60, we remain fundamentally bearish on LinkedIn.

Jim Cramer got really angry on CNBC yesterday. The LinkedIn (LNKD) IPO got him in a tizzy. Why? Because he said that the underwriters for the offering (Morgan Stanley (MS), B of A Merrill (BAC), and JP Morgan Chase (JPM)) decided to play the old “dot com” games of only releasing an artificially small amount of shares on the market, in hopes of creating a feeding frenzy.

LinkedIn shares skyrocketed more than 80% to trade at about $86 a share, and at a high of $92.99 a share, on Thursday as the social networking site launched its initial public offering.

Professional networking site LinkedIn raised its price range for its IPO this week by 30%, valuing the company at $4 billion, a strong indication that demand is running high for the new stock.

Professional networking website LinkedIn Corp. plans to sell shares to investors for $32 to $35 each in an initial public offering, one of the first for a major U.S. social networking site.