Hot Stocks: Why LinkedIn Is More than Just a "Bubble"

LinkedIn Corp. (NYSE: LNKD ) has had quite a ride since its initial public offering last week. The stock surged 109% in its first day of trading to a peak of $122.70 a share, but has since tumbled back to close yesterday (Thursday) at $78.63. Optimism about the potential for new-wave social media companies and a genuine thirst among investors desperate for a serious growth play drove LinkedIn's meteoric rise. But profit-taking and fears that the stock had entered "bubble" territory led to a quick drop.