Fidelity Investments downgraded its valuation of Snapchat, which counts the mutual funds giant as one of its largest investors, dropping a month-over-month assessment of the value of its investment by just 2%.
The Dec. 31 valuation the shares in Snapchat inside the Fidelity Blue Chip Growth Fund, one of the funds that invested in Snapchat, inched down to $17 million, according to a Bloomberg report, down from $17.4 million at the end of November. In addition, it was the second such downgrade Snapchat shares had gotten from Fidelity in the past three months.
Snapchat has received a valuation of $16 billion. The company is also facing a more challenged atmosphere for its tech sector, whether in the private sector or on Wall Street. Rivals like Twitter and Yahoo have also been hurting as of late amid a larger fight for ad dollars and eyeballs with bigger giants like Facebook and Google.
Correction: The original version of this story contained a significant data error that was originally reported by Bloomberg and repeated, with attribution, here but quickly amended: Fidelity’s valuation of Snapchat dropped just 2%, not 63%, thus not constituting the “big hit” first mentioned in the original headline of this story.