Half Value – Elon’s Twitter Valuation 💸

Half Value – Elon’s Twitter Valuation

Elon Musk always has some bold claims that come with him, and it is a part of why he is extremely successful as a businessman. Ambition takes some very far, and ambition made Musk the richest man in the world. However, ambition has also caused Musk to lose that spot as his Twitter venture has not fared well.

Ever since taking over Twitter, Musk has had to deal with a share of controversies that some could say are of his own fault. His innate personality comes with risk to any platform where opinions are shared freely, and this caused many companies who run ads on the platform to pull them altogether, which is the major source of revenue for the business. New features regarding a blue check subscription to address that revenue issue were instantly misused, with companies losing value as fake and troll tweets were circulated. Mass layoffs ensued along with resignations, and the nature of these layoffs along with rumored working conditions were rather contentious. Musk openly sharing polarizing political beliefs didn’t help all that much, and many users ended up leaving the app by the end.

All of this has brought Twitter’s value to less than half of the $44 billion Musk paid to acquire the app. In an email sent to employees on Friday, Elon Musk valued the company at about $20 billion, and this was clear due to the topic the email was discussing. Twitter is running a new stock compensation program for its employees, and the stock awards that will be granted are under the $20 billion valuation. Musk said in the email that Twitter was about to run out of money, and that rapid changes like the layoffs were necessary to keep the company afloat. In classic Musk fashion though, there is good reason to be optimistic as he views a path to a $250 billion valuation, which would be out of this world.

Want to learn how to invest? Download the Invstr app, where you can play Fantasy Finance and manage a virtual investment portfolio or open a brokerage account and invest for real. Take our interactive investing course on Invstr Academy and become a better investor today!

I am not a financial advisor and my comments should never be taken as financial advice. Investments come with risk, so always do your research and analysis beforehand.

Share:

More Posts

ESG and Ukraine’s War ⚔

1 June, 2023

The Russian invasion has raised questions about the balance between ethical investments and geopolitical realities.

Load More
Get your daily Invstr Crunch

Get the market news and updates you need, delivered to your inbox or available on our daily podcast.

Facebook Twitter Youtube Instagram Snapchat Tiktok
learn
products
plan
Who we are
blog

Risk Disclosure:

Invstr is not a bank and banking services are provided by Vast Bank, N.A.

Brokerage and Banking services are currently only available to U.S. residents.

Invstr app and web services are provided by Invstr Ltd. Advisory services are provided by Invstr Financial LLC, an investment adviser registered with the Securities Exchange Commission (SEC) details of which can be obtained here. Securities brokerage and custody services are provided by Apex Clearing, a broker dealer registered with the SEC and a member of FINRA and SIPC. There is no bank guarantee on securities and securities may lose value.

Investing involves risk and can lead to losses. Past performance does not guarantee future results.

Invstr app and web services are provided by Invstr Ltd. Invstr+ advisory services are provided by Invstr Financial LLC, an investment adviser registered with the Securities Exchange Commission (SEC). Securities brokerage and custody services are provided by Apex Clearing, a broker dealer registered with the SEC and a member of FINRA and SIPC. There is no bank guarantee on securities and securities may lose value. Vast Bank N.A. a nationally chartered bank and member of the FDIC, provides the banking products, including the products and services related to digital asset accounts. As with any asset, the value of Digital assets can go up or down and there can be a substantial risk that you lose money buying or holding digital assets. You should carefully consider whether trading or holding Digital assets is suitable for you in light of your financial condition. Your digital account does not support wallet to wallet transferring of your digital assets (i.e. cryptocurrencies) outside the platform. Any Digital Assets in your digital asset account are not insured by any government entities, including but not limited to FDIC or SIPC. The Invstr Visa® Debit Card is issued by Vast Bank, N.A. pursuant to a license from Visa U.S.A Inc and may be used everywhere Visa debit cards are accepted. Invstr Ltd, Invstr Financial LLC and Invstr Securities Ltd are subsidiaries of Marketspringpad Holdings (collectively “Invstr”) and Invstr is solely responsible for the application services and website content.

Watchlists provided when users first access the service are not a recommendation to invest. Instead they are provided to help users better navigate the service. Users are free to edit and create their own watchlists. From time to time, Invstr will suggest instruments solely based on an individual’s interest and the interest levels of the Invstr community. The statistical and portfolio builder models generated by Invstr do not reflect actual investment results and are not guarantees of future results. Comments provided by Invstr leaders, influencers or members of the Invstr Community are not recommendations and should not be construed as such. Invstr does not endorse the content or the positions posted by them. Their investment approach, and that of the models provided by Invstr, may be different from yours and may not be appropriate for you.