Truth Social parent company stock prices fall to new low after public trading debut
Stock prices for the parent company of
Donald Trump
‘s social media platform
Truth Social
hit a new low the first day of the
Democratic National Convention.
Trump Media & Technology Group
closed at $22.24 Monday, down 3.56% from the previous close and the lowest close since the company went public in March. The last lowest closing price was $22.84 on April 16, the second day of
Trump’s New York criminal trial
where a jury found him guilty of
34 counts of falsifying business records
.
Trump Media, trading under ticker DJT, has seen
near-steady falling stock prices
since mid-July. The new low comes as the Trump campaign has
struggled
to find its footing against the Democrats’ new candidate Vice President
Kamala Harris
. Earlier this month, the company reported more than $16 million in losses and less than $1 million in revenue in the second financial quarter.
Trump Media did not immediately respond to USA TODAY’s request for comment.
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Trump Media stock price
Trump Media compared to a meme stock for volatility, overvaluation
Trump Media
has long been compared to a meme stock, as experts say prices rise and fall largely due to retail investors’ coordination and attention.
The company was founded in 2021 after Trump was booted from other social media companies following the
Jan. 6 riot on the U.S. Capitol
. The company went public in March through a merger with shell company Digital World Acquisition Corp., a
special purpose acquisition company, or SPAC
. Despite a splashy debut, the stock prices have whiplashed wildly, often in coordination with the rollercoaster of a news cycle for Trump this year.
Experts have also said the stock is overvalued by conventional Wall Street standards compared with other social media companies.
In May, Trump Media
reported a net loss of $327.6 million
in the first quarter of 2024 and brought in $770,500 in revenue, according to a filing. In August, the company reported more than $16 million in losses and less than $1 million in revenue in the second financial quarter. Regulatory filings show the company was operating at a loss in 2023, making about $4 million in revenue while losing more than $58 million.
This article originally appeared on USA TODAY:
Donald Trump’s Truth Social company stock prices close at new low
