Yesterday we reported that LinkedIn, a social networking site, which competes with Google+ and Facebook, and links professionals to companies in need of their talents, reported a nice gain on their earnings report. While Facebook Inc (NASDAQ:FB)’s stock has continued in a downward death spiral, ever since the company’s failed IPO earlier this year, LinkedIn stock continues to enjoy a nice ride on an economic updraft. Facebook Inc (NASDAQ:FB)’s IPO could well be the undoing of the social networking giant, as it has yet to recover to its initial price. Facebook Inc (NASDAQ:FB) wasn’t the only company hurt by the technical issues that day, as investment firms, like Knight Capital Group Inc. (NYSE:KCG), reported losses as high as $34 million.
Don Reisinger, of CNET, reports that Linkedin Corporation (NYSE:LNKD)’s shares were up more than 10% in premarket trading this morning, to $102.90. The stock has continued to rise, since the opening of the market, and investors are very happy with the company’s performance. Since the beginning of the year, LinkedIn’s shares have risen 70%, putting a nice premium on their returns.
While LinkedIn continues to rise in price, Facebook Inc (NASDAQ:FB)’s stock has dropped to yet another record low of $20.04, a nearly 50% decrease from its initial price of $38 per share. In early trading, the stock rose 1% to $20.24, yet there is much work to be done, before tha company can claim stability.
Keeping investors reassured will be tough challenge in the days ahead, as the WSJ has reported that Fidelity, one of its largest investors, has sold 1.9 million shares of their stake in Facebook. When these large investment firms get out of a company, the smaller companies usually follow suit.
As Linkedin Corporation (NYSE:LNKD) continues to enjoy a sunny economic climate, it’s important to remember that they have a long way to go still. The company’s 52 week high water mark stands at $120.63, and they are not quite back to that point yet. However, investors seem to be giving them a thumbs up, as each day they present solid trading on the floor. This is a stark contrast to Facebook, whom many investors appear to be shunning.