Fidelity‘S Blue Chip Growth Fund FBGRX reduced its stake Xformerly known as Twitter, by 5.7% in February, signaling a substantial decline since then Elon Musk bought the social media company.
According to Bloomberg, Fidelity, which gained a stake in X as part of Musk’s $44 billion acquisition in October 2022, valued its position at $5.28 million as of Feb. 29, down from $5 .6 million dollars the previous month.
The outlet reported that Fidelity’s stake in X has plummeted 73% since Musk’s purchase, indicating a significant decline in the company’s value.
Despite this decline, the fund reported no change in its position in X.
Also Read: Musk’s Twitter May Expand Sports Betting Presence Through Partnership With This Company
X has been trying to regain advertisers’ trust after Musk’s tumultuous takeover. Bloomberg previously reported that the company’s ad sales fell short of its $3 billion target last year, estimated at about $2.5 billion.
Last year in December, Fidelity increased the value of X Holdings by 11%.
The Fidelity Blue Chip Growth Fund also owns shares of major private companies such as SpaceX, Fanatics, Stripe, Reddit, Epic Games, Redwood Materials, and more.
Read now: The X Marks the Spot: Elon Musk’s Ownership Triggers Dramatic Valuation Collapse
This content was partially produced with the help of artificial intelligence tools and was reviewed and published by Benzinga editors.
Photo: Shutterstock