Trump Media's 69% plunge wipes out billions before lockups end

Published On Sep 5, 2024, 11:26 AM

The stock price of Trump Media & Technology Group Corp. has plummeted 69% since its peak in May 2024, reducing its market capitalization from nearly $10 billion to under $3.4 billion. The decline is accelerating ahead of the expiration of the lockup period for insiders to sell their shares. Retail traders are reacting to Trump's activities on other platforms, particularly a return to X (formerly Twitter), as his opposing candidate Kamala Harris gains momentum in the polls. The company has reported significant losses, raising concerns about its valuation given that it earned less than $1 million in revenue while facing a $16 million loss in the second quarter. The volatility of the stock continues to draw attention, with its price swings comparable to cryptocurrencies.