Truth Social Stock Craters, Closes Day Down Over 23%

Reuters reports:

Shares of Donald Trump’s social media company plunged more than 23% on Monday, wiping out the gains from its debut last week, after disclosing millions in losses and saying it would struggle to meet its financial liabilities going forward. Trump Media & Technology Group lost more than $58 million in 2023, the company said in a filing, sending shares reeling less than a week after the Truth Social parent went public through a high-profile blank-check merger. The stock surged on March 26 on its debut, fueled by retail buyers, including some supporters of the former president.

Axios reports:

Former President Trump’s net worth fell by more than $1 billion on Monday, as shares of his social media company plunged 21.5%. The value of Trump’s stake in the company fell on Monday from $4.89 billion to $3.84 billion. At one point the decline was even steeper, as shares were off more than 25% before a mild rebound. The bottom line: Trump lost a ton of paper value on Monday. But the more remarkable story might be how much he has left, given how poorly the underlying business has performed.

The stock is continuing to slide in after-close trading.

“Monday’s freefall came after Trump Media unveiled its full-year 2023 results for the first time, revealing full-year revenues of $4.1 million on a net loss of $58.2 million, with fourth-quarter sales of roughly $750,000.” #ETTDhttps://t.co/hhaT9k8uB7

— The Lincoln Project (@ProjectLincoln) April 1, 2024