• Recent filings show that Fidelity has once again increased the valuation of its shares in X and xAI.
• It was the second month in a row that the valuations of these two Musk companies increased.
• xAI recently raised $6 billion in new funding with participation from Fidelity.

Fidelity has raised the valuation of two tech companies controlled by Elon Musk even further, according to recent filings.

This was the second consecutive month that the mutual fund giant increased the value of its shares in xAI and social media platform X, filings show.

The Fidelity Blue Chip Growth Fund valued its xAI shares at $79,857,865 at the end of November, according to a monthly report published in late December. That’s a 6.4% increase from October, when the fund valued its stake in xAI at $75,062,706, and an increase from September, when it was valued at $44,152,362.

The fund’s annual report, released at the end of September, said it owned 3,688,585 xAI shares at the end of July, which were purchased on May 13 for $44,152,000.

However, xAI recently closed a highly anticipated funding round in which Fidelity participated along with A16z, BlackRock, Kingdom Holding, Lightspeed and other investors. xAI confirmed the $6 billion round in a blog post on December 23rd.

It’s unclear how many shares of xAI the Blue Chip Growth Fund currently owns, but previous filings showed the price rose from $11.96 to $20.35 apiece from September to October.

Musk’s X deal recovered some losses

Fidelity’s Blue Chip Growth Fund also increased the value of its shares in X to $5,797,734 in November, according to the filings. That’s about a 5% increase from October, when the shares were valued at $5,530,358, and a 39% increase from September, when Fidelity valued its stake in X at $4,185,614.

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Musk’s 2022 acquisition was considered one of the most overhyped technology acquisitions in recent memory. But the deal has brought significant benefits to Musk. After using X to help Donald Trump’s reelection, he is expected to wield significant influence in the new Trump administration.

X has also been a lucrative source of training data for xAI, which has used content from the social media platform to develop powerful AI models that compete with similar offerings from OpenAI, Google and other technology companies.

But the X deal still hasn’t worked out well for investors, at least not yet.

Despite two consecutive months of increases, Fidelity still values ​​its X stake far lower than it did at the end of 2022, when Musk bought X for $44 billion. Previous filings show Fidelity’s Blue Chip Growth Fund invested $19.66 million at the time.

Fidelity representatives declined to comment Monday. Representatives for X and Musk did not respond to requests for comment.

Correction: December 31, 2024 – An earlier version of this story incorrectly stated the number of consecutive times Fidelity increased the value of its shares in xAI and X. The correct number is two months in a row.