Shares distributed by the management of X.com to its employees give an idea of the current value of the social network.
A year ago, Elon Musk officially became the boss of Twitter, which has since become X, by paying the astronomical sum of 44 billion dollars. An amount already judged at the time to be too high in relation to the real value of the platform, a value which was then constantly estimated downward by analysts over time. And today, it is no longer hypotheses, but figures, which support this idea.
A share at 45 dollars
It is difficult to establish the real value of a company when it is not listed on the stock exchange, and even more so when it is subject to so many controversies like social network was worth less than before, no one had been able to support the reasoning with concrete facts.
However, there were certain clues, such as advertising revenues falling by half, or even declining attendance. But there was a lack of information to give a precise picture, until this week, with the granting of shares to employees.
A share at 45 dollars
Indeed, Fortune reports that, following Elon Musk’s desire to offer his employees at X the same type of remuneration as that offered at SpaceX, the employees have just received titles. The latter were valued at $45 per share, which, compared to the number of shares in the capital, gives a total valuation for the social network of $19 billion.
The fall is therefore great since the 44 billion dollars paid in 2022, with a decline of 55% in value. However, X.com management may present this valuation as temporary, due to the long-term change in the platform model, intended to accommodate many types of services in the future, such as online banking. .
Source : The Verge, Fortune
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