| Resumo: | The aim of this dissertation was to reach Linkedln's Equity Fair Value. Through an analysis of all methods available, the ones chosen were Adjusted Present Value and Relative Valuation through a combination of Equity Multiples, Transaction Multiples, Trading Multiples and Social Network Specific Multiples (Monthly Active Users). Adjusted Present Value valuation yielded a per share value for Linkedln of $ 186,77. As for Relative Valuation, Equity Multiplies showed an average price target of $ 143, Transaction Multiples gave a $ 87,57 valuation, Trading Multiples averaged $ 216,14 and Monthly Active Users a quite distant $ 6,35. ln order to achieve more robustness in this forecast, sensitivity analysis were run, including multiple scenario analysis, to test different revenue projections, and variations on specific variables. Finally, a comparison was run against J. P. Morgan's report to measure up this dissertation's conclusions to an actual investment bank analysis. This dissertations final conclusion was to propose a Sell recommendation on Linkedln who presented a closing price on December 1st 2015 of $ 249,82. Which is in contrast with J. P. Morgan's Buy recommendation of $ 300 price target.
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