X Valued Itself At $19 Billion, Which is Less Than Half Of What Elon Musk Paid

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X Valued Itself At $19 Billion, Which is Less Than Half Of What Elon Musk Paid

Social 2 Mins Read October 31, 2023 Posted by Soumava Goswami

On Monday, social media company X internally valued itself at $19 billion, which was a 55% drop from what Elon Musk paid last year $44 billion. This came after there were sweeping changes in the company, including its name change as well as various revenue struggles.

The company also handed various stock grants to employees that showed that the value of X is worth $19 billion. In October 2022, Musk purchased the majority of Twitter at $44 billion.

Furthermore, the employees also received equities in the social media company at $45 per share in the form of restricted stock units. However, these employees will still receive $54.20 for any outstanding shares that they receive as grants from the company even before Musk took over. To take the company private in 2022, Elon Musk paid $54.20 per share.

Musk repeatedly said before that he thinks he overpaid for Twitter.

According to Forbes.com,

?In April, during an interview with conservative media personality Tucker Carlson, he admitted the purchase was not currently ?financially smart? and said the company was worth about half of what he paid for it. In a March internal memo that was leaked to the press, Musk suggested the company was worth less than $20 billion.?

Since taking over Twitter, Musk made various polarizing decisions like renaming the platform to X, changing the meditation rules of the site, charging users to get verification checks, etc. Furthermore, there are also changes related to how much a user can view on the social media platform or how many direct messages a user can send.

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Inspired by The Social Network, Soumava loves to find ways to make small businesses successful – he spends most of his time analyzing case studies of successful small businesses. With 5+ years of experience in flourishing with a small MarTech company, he knows countless tricks that work in favor of small businesses. His keen interest in finance is what fuels his passion for giving the best advice for small business operations. He loves to invest his time familiarizing himself with the latest business trends and brainstorming ways to apply them. From handling customer feedback to making the right business decisions, you’ll find all the answers with him!

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