LinkedIn is the most popular social media network that specializes in connecting professionals together. The platform has grown significantly during its 20-year history and now supports more than 830 million users across the globe.
LinkedIn is a privately-owned company, which means that there are limited ways to gain investment exposure to the social media platform directly. There has never been a LinkedIn IPO date announced, which means there’s also no LinkedIn ticker symbol to be found on the stock exchange.
However, investors can still gain exposure to LinkedIn by purchasing shares in its parent company. This article will cover everything that investors need to know about how to invest in LinkedIn.
About LinkedIn
LinkedIn came to be in 2002 after its founder, Reid Hoffman, had the idea for a social network that could connect professionals together from any conceivable industry. The platform pre-dates other leading social media sites of the time, including both Facebook and MySpace, which are thought to have popularized the social network movement.
The platform officially launched in 2003 and managed to hit 1 million active users before the end of the year. It added a variety of key features during its opening years, including LinkedIn Premium — a paid membership that enabled better connectivity between businesses, employees, and prospective customers.
The way that LinkedIn can connect companies with new job candidates has been one of its most enduring features. Professionals can advertise themselves on a mass scale to companies in their industry, and companies are able to cast their net wider than ever before in the process of filling open positions.
LinkedIn was purchased by Microsoft (NASDAQ:MSFT) in 2018 for a $26 billion figure. As of July 2023, the platform had amassed 830 million users and it continues to grow its revenue figures year-over-year. Since Microsoft completed its acquisition, LinkedIn’s annual net revenue has grown by 162%.
LinkedIn annual net revenue showing a 162% increase after Microsoft acquired the company, via Statista
How to invest in LinkedIn?
LinkedIn is not a publicly traded company, however, investors can gain exposure through buying shares in its parent company, Microsoft (NASDAQ:MSFT). LinkedIn contributed almost 7% of Microsoft’s total worldwide revenue in 2022, showing that it has become a key component of the tech giant’s business model in recent years.
As things stand, buying MSFT shares is the best way to gain investment exposure to LinkedIn.
Will there be a LinkedIn IPO?
It’s currently unlikely that Microsoft will announce a LinkedIn IPO date in the near future, as its takeover of the company has been successful so far. LinkedIn generated 50% of Microsoft’s takeover fee in annual revenue in 2022 alone, and Microsoft has overseen a 66% increase to LinkedIn’s total active user base.
There is a chance that Microsoft could announce a LinkedIn IPO date in the near future if it ever decides to raise funds publicly for the social media platform. However, this seems unlikely at the moment due to the positive performance of the current set-up.
How to invest in LinkedIn FAQs
Is LinkedIn on the stock market?
LinkedIn is not on the stock market as it is privately owned by Microsoft. This restricts the number of ways that investors can gain exposure. However, Microsoft can be found on the NASDAQ stock exchange under the ticker symbol, MSFT, and buying MSFT shares can provide indirect exposure to LinkedIn.
Who owns LinkedIn now?
LinkedIn is owned by its parent company, Microsoft, which is the second most valuable company in the world when measuring market cap.
When is the LinkedIn IPO date?
There are currently no plans to announce a LinkedIn IPO date. Microsoft reserves the right to announce a LinkedIn IPO date at its own discretion, but it is widely thought that this is unlikely to occur in the near future.
The bottom line: LinkedIn is not a publicly traded company but you can gain exposure through buying MSFT shares
Since Microsoft acquired LinkedIn in 2018 for a $26 billion fee, the best way to gain investment exposure to the social media platform is by purchasing MSFT stock. LinkedIn has never been a publicly traded company, yet it contributed 7% of Microsoft’s total revenue in 2022 and remains an important subsidiary of its parent company.
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Source: https://coincodex.com/article/33332/linkedin-stock/