LinkedIn CEO Not Worried About Stock Valuation
LinkedIn Chief Executive Jeff Weiner is not concerned about the current high valuation of his company, he told CNBC Thursday.
The initial public offeringopened Thursday at $83, valuing LinkedIn at $8 billion. The stock price was nearly double the original price of $45 a share.
"We leave the valuation to the good folks at CNBC, the marketplace, etc.," he told CNBC. "We're going to continue to focus on the plan. The better we execute, the more likely the fundamentals will take care of themselves."
He would not comment on whether the business social networking company, with 100 million members, was initially undervalued or whether it is now overvalued.
You can't draw any conclusions on the company's valuation based on the the open, he added.
Interest in the stock was so great on the floor of the New York Stock Exchange the first trade, by Weiner, could not take place until about 30 minutes after the market open.
"At the end of the day it’s not about the share price today, it’s about us continuing to execute on the long-term plan," the LinkedIn CEO said.
Expect more social networking company IPOs, he said. "I think these social platforms are here to stay. The fundamentals of this group of companies are very different from what we saw in the 1990s" during the Internet bubble.