Investment giant Fidelity has revealed in a new securities filing that it values its shares in X, previously known as Twitter, at 71.5% less than they were when Elon Musk initially purchased the social media company back in October 2022.
Fidelity’s recent disclosure signifies a persisting trend that has systematically decreased X’s estimated worth over the past year, amidst a series of crises, a significant portion of which stem from owner Elon Musk’s actions.
According to Fidelity’s Blue Chip Growth Fund’s filing dated December 30, which reported data through November 30, Fidelity assessed its X shares to be valued at just below $5.6 million. The fund specified that its stake in X constitutes less than .01% of the fund’s total worth, which is in excess of $49 billion.
This notably contrasts from the $19.66 million valuation the Fidelity fund had placed on its stake around the time Musk was closing his acquisition deal with Twitter, and is 14.5% below the $6.55 million that the fund asserted its shares were worth last April.
Fidelity’s recent filing was initially reported by Axios.
Fidelity did marginally elevate its approximated valuation of X a few times during the last summer, coinciding with Linda Yaccarino’s appointment as X’s CEO. However, following that period, Fidelity has persistently slashed the estimated value of its X shares.
As X is a privately held entity, Fidelity’s evaluations have become a highly observed measure of X’s financial health, and also mirror the perceptions of Musk’s own investors.
