This photo illustration shows an image of former President Donald Trump reflected on a phone screen displaying the Truth Social app on February 21, 2022 in Washington, DC.
Stefani Reynolds | AFP | Getty Images
A week long sale of Trump media Prices picked up steam Thursday afternoon, with shares of former President Donald Trump’s company falling about 13% in another volatile trading session.
The company behind the conservative social media app Truth Social, which trades on the Nasdaq as DJT, was trading at around $27.50 per share as of midday.
That price is more than 40% lower than in early June, when Trump Media stock was trading at just over $49 per share.
The company’s falling price comes at a time of massive trading activity. More than 8.3 million shares of Trump Media had already changed hands as of midday (ET) Thursday, a number more than double the average volume and highly unusual for a company that generates very little revenue.
Even on paper, the share price decline represents a massive loss for Trump, the majority owner of Trump Media.
Trump’s 114,750,000 shares of the company, valued at more than $5.6 billion at the start of the month, would be worth about $3.2 billion based on Thursday’s stock moves.
Trump Media has been in crisis since May 30, when a New York jury convicted the former president and presumptive Republican presidential nominee on 34 counts of falsifying business records.
That downward trend accelerated on Tuesday, coinciding with a deadline for the company related to the Securities and Exchange Commission’s expected approval of its registration statement.
The stock fell nearly 10% in Tuesday’s session, more than double its average trading volume. After the bell, Trump Media announced that the SEC had declared its registration statement effective. Following the announcement, the stock plunged more than 17% in after-hours trading.
The development authorizes early investors in Trump Media to exercise warrants they hold in the company and allows shareholders to publicly resell the securities covered by the registration statement.
This is developing news. Please check back for updates.
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2024-06-20 16:18:00
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