Trump’s Truth Social shares are plunging again, erasing billions of dollars in value
Go Deeper.
Create an account or log in to save stories.
Like this?
Thanks for liking this story! We have added it to a list of your favorite stories.
About two weeks since its meteoric debut, shares of Truth Social are slumping, wiping out billions of dollars in value in former President's Trump's stake.
Shares of Trump Media & Technology Group — the company behind Truth Social — lost 8 percent on Monday after already losing 12 percent on Friday.
It's now trading at its lowest level since the company's trading debut on March 26. Trading has been remarkably volatile since its debut, with some big swings.
The sharp declines over the past two days will take a big bite out of Trump's paper gains.
Turn Up Your Support
MPR News helps you turn down the noise and build shared understanding. Turn up your support for this public resource and keep trusted journalism accessible to all.
The former president owns a majority stake in the company and his stake was valued at about $2.9 billion on Monday, down from a peak of over $6 billion after its debut on its trading debut.
That's still an eyebrow-raising valuation for former president's stake considering Trump Media lost $58 million last year and had revenue of just over $4 million.
Under his current agreement, Trump is not allowed to sell his shares until September, but he can seek permission from Trump Media's board to unload some of his stake earlier.
The board is made up of people Trump knows well, including his son, Donald J. Trump Jr., and former administration officials.
Analysts had cautioned that Trump Media shares were were trading completely divorced from its actual financial health.
But shares are being sustained by thousands of individual investors, many who are believed to be strong Trump supporters.
Copyright 2024 NPR. To see more, visit https://www.npr.org.