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Trump Media and Technology Group The stock hit another post-merger low on Tuesday, continuing its decline. Second day in a row with all-time lows.
The company behind former President Donald Trump’s social network Truth Social saw its share price fall by as much as 4 percent on Tuesday, reaching a new low of $21.33. In less than five months, Trump Media shares have fallen by around 63 percent, giving the company a market capitalization of $4.29 billion.
After years of delays, Trump Media debuted on the Nasdaq on March 26 under the ticker symbol DJT after completing its Merger with Digital World Acquisition Corp., an acquisition special purpose vehicle, or SPAC.
Since then, the stock particularly fleetingfluctuates greatly from day to day, increasing – or decreasing – the company’s market value by billions. Trump Media’s stock is referred to as a “meme stock”, How GameStop, AMCAnd Redditbecause trading in its shares is largely based on sentiment rather than on the company’s actual operating results or prospects.
At the height of the hype immediately after its debut, Trump Media had a market value of around $8 billion – almost twice as much as it is today.
In recent months, Trump Media has fluctuated greatly due to its ties to the former president and Republican presidential candidate, who is a Majority owner of the companyThe stock rose and fell on Conviction in his New York hush money trial and his Debate performance against President Joe Biden in June and last month Assassination at a campaign rally in Pennsylvania.
But the shares have been trending downward for several weeks as the company reported a net loss of $16.4 million and a 30% drop in sales in the second quarter.
Their free fall continued on Monday, as the Democratic National Convention began in Chicago and Vice President Kamala Harris was set to officially accept the party’s nomination for president on Thursday. Shares closed Monday at $22.24.
