In this edition of The Motley Fool's "Ask a Fool" series, Motley Fool analysts Jason Moser and Brendan Mathews take a question from a reader who asks: "Any ideas how far LinkedIn might drop? I would like to add more, but I'm still waiting."
Jason mentions some excellent words of advice that his father offered him at a young age: "You'll never buy at the bottom and you'll never sell at the top. Accept it, and you're a step ahead of the game."
Trying to call a bottom on any stock is tantamount to market timing, and that's just not what we do. While it's true that LinkedIn faces a big challenge in engagement, and growth is starting to slow in the company's biggest moneymaker -- the licenses it sells -- it really is the only company doing what it does. And, it has a management team behind it all that really is setting this business up for long-term success.
What investors can do is look at LinkedIn today and try to determine whether or not today's price offers a good shot at beating the market during the coming five years. Then invest accordingly.
Brendan Mathews has no position in any stocks mentioned. Jason Moser owns shares of LinkedIn. The Motley Fool recommends LinkedIn. The Motley Fool owns shares of LinkedIn. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.