Mutual fund Fidelity, which owns stake in social media platform, marks down value of its shares in disclosure obtained by Axios

The social media platform X has lost 71% of its value since it was bought by Elon Musk, according to the mutual fund Fidelity.

Fidelity, which owns a stake in X Holdings, said in a disclosure obtained by Axios that it had marked down the value of its shares by 71.5% since Musk’s purchase.

Musk acquired Twitter for $44bn in October 2022 and renamed the platform X in July 2023. Fidelity’s estimate would place the value of X at about $12.5bn.

The number of monthly users of X dropped by 15% in the first year since Musk’s takeover amid concerns over a rise in hate speech on the platform.

  • NegativeInf@lemmy.world
    4·
    1 year ago

    Sounds more like the market wanted to play Elon for the fool he is. Especially considering the depreciation thus far. But hey, I don’t think he bought it for money. I think he bought it to silence his critics, destabilize an organizing platform, and get buddy buddy with the “right” people by allowing Nazis and crypto fascists back on the platform.

    • FlowVoid@lemmy.worldEnglish
      22·
      1 year ago

      It’s not just Elon. If any company is being bought out at $X/share, then the stock price will quickly approach $X.

      Once someone is willing to buy at $X, everyone else won’t sell for much less than $X. Imagine you have an old vinyl record and today you learned that some people are paying $100 for it. Maybe it wasn’t worth much to you yesterday, but now it’s worth a lot to you too.