The First Trust DJ Internet Fund ETF (NYSEarca: FDN), which tracks a group of internet stocks, decreased 7.0% Friday. LNKD makes up 3.6% of FDN’s portfolio.
Additionally, the broader SPDR Morgan Stanley Technology ETF (NYSEArca: MTK), which tracks the Morgan Stanley Technology Index, fell 5.0%. LNKD makes up 2.6% of MTK’s portfolio.
“The market right now seems to be in a spot where the ice is a little bit thin and investors seem to be punishing stocks that are falling out of favor, whether it is caused by direct earnings or guidance,” Gordon Charlop, a managing director at Rosenblatt Securities, told Reuters. “LinkedIn and Tableau are names that are leaders. Those two names are important names, widely held, widely followed, and the disruption we saw in those prices affected stocks in that sector, without a doubt.”
Tableau (NYSE: DATA) also saw shares plummet 47.8% after weak guidance ahead.
Global X Social Media Index ETF
Max Chen contributed to this article.