Updated Aug 30, 2023 - Economy

Elon Musk's X is gaining value, Fidelity says

Photo illustration of Elon Musk.

Photo illustration: Shoshana Gordon/Axios. Photo: Christian Marquardt - Pool/Getty Images

Fidelity marked up the value of its shares in X/Twitter for the third consecutive month — while still holding them at a deep discount, according to new disclosures.

By the numbers: Fidelity increased the valuation by 8% during the month ending July 31, following an 11% bump for June.

  • The investment giant is holding the shares at a 58% discount, per the disclosure Wednesday.
  • Fidelity helped finance Elon Musk's purchase of Twitter for $44 billion last October, and either marked down the stock or held it flat during the subsequent six months.

Behind the scenes: Despite being an investor in the privately held business, Fidelity doesn't necessarily have much, if any, insider information on the company's financial situation.

  • It remarks all of its private company shares on a lagging monthly basis without explaining its calculations. Other holders of X shares value the company differently.
  • In terms of publicly traded comps, Meta stock rose 11% in July while Snap shares dropped more than 4%.
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