Fidelity has reduced X’s valuation by 79% since Musk’s $44 billion purchase

Company X (formerly known as Twitter), which Elon Musk acquired for $44 billion, is now worth less than a quarter of that amount, according to a new report from investor Fidelity.

The investment firm that helped Musk buy the social network now values ​​its stake in X at about $4.19 million, according to recently released data from Fidelity Blue Chip Growth Fund . At the end of August, the fund had cut the valuation of its interest in X by 78.7%.

For reference, Fidelity’s first investment through the Blue Chip Fund was $19.66 million. This is not the first time that Fidelity has cut the value of its interest in X. At the end of July, the company valued its shares at $5.5 million.

This 78.7% drop in value means that Fidelity currently values ​​X’s total value at around $9.4 billion – more than 4 times less than what Musk paid.