The good, the bad and the ugly of finance truly shows in the stock market. Which is why LinkedIn has publicly given up its stocks to Microsoft.

After a share take over from Microsoft, LinkedIn is taking a step back. LinkedIn is known for being the most used social network site for job applicants and human resource. When the company agreed to the acquisition, it publicly has given up.

The reason being is that LinkedIn has not even met its beginning of the year share price as of yet. LinkedIn stocks were beginning to look bleak. When Microsoft stepped in, it solves a problem for the tech company. According to Forbes, when LinkedIn saw its shares plummet, it has experienced its lowest of lows. It was not internal turmoil or instability in the company and its market that drove LinkedIn to give up. In fact, Reid Hoffman made sure the company is stable and consistent in its main goal. It may have generated a strong niche for job seekers and career advancement.

The problem lies in the sales report. It only reported a 34% increase in fourth quarter sales as its online ad sales grew 20%, or roughly half its previous rate of growth. These are different numbers compared to the numbers the company has enjoyed in the previous years. It was experiencing a slow decline. It then ripped off Hoffman's net worth.

Now, after a four month stay in the stock market lows, LinkedIn is back at around $200 from $100. Microsoft's takeover shows investors were wrong to give up on LinkedIn. LinkedIn's failure stemmed from issuing soft earnings and guidance into a panicking market. This prompts investors to look for stability and growth in long term value.

So Microsoft is now buying LinkedIn shares for $26.2 billion, according to CNBC. LinkedIn shares have since then jumped 47%.