Is LinkedIn For Microsoft What YouTube Is For Alphabet?
Summary
- After a solid YTD performance, MSFT trades at all-time highs and carries a notable valuation premium, deterring from large-scale accumulation.
- Still, the company remains one of the most high-conviction holdings for the long term due to its reliably strong fundamentals.
- MSFT acquired LinkedIn in 2016 for $26.2 billion, one of the largest tech acquisitions in history. On a TTM basis, LinkedIn now contributed $17.4 billion in revenue to MSFT.
- LinkedIn stands out in user monetization, profiting from and competing in Hiring, Ad-Heavy Social Media, Paid Premium Subscription Services, and Learning.
- Follow me on what LinkedIn means for Microsoft compared to YouTube for Alphabet, and where the professional network stands against Meta.
Analyst’s Disclosure:I/we have a beneficial long position in the shares of MSFT, GOOGL either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.
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