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Former President Donald Trump’s financial stake in Truth Social has taken a significant hit, with its value dropping by $900 million since Vice President Kamala Harris announced her 2024 presidential bid on July 21. The stock of Trump Media & Technology Group, which owns Truth Social, has fallen by about 23% in that period, including a notable drop on Thursday, as reported by CNN.
On July 19, before President Joe Biden‘s exit from the race and endorsement of Harris, Trump’s stake was valued at just over $4 billion.By Thursday, the value had fallen to approximately $3.1 billion. This decline reflects a broader trend of volatility for Trump Media’s share price, which has been heavily influenced by political developments and market fluctuations.
The recent selloff highlights the stock’s role as a barometer for Trump’s potential return to the White House, with Truth Social expected to be a key platform for presidential communications if he wins. Polls showing a tight race between Trump and Harris have further impacted investor sentiment.
In June, Trump Media’s stock briefly surged following Biden’s poor debate performance and again last month after Trump survived an assassination attempt in Pennsylvania. However, the company has faced persistent challenges.
Truth Social’s user engagement has been declining. Data from Comscore, cited by CNN, reveals that unique visitors to the platform fell by 38% year-over-year in June, marking its third consecutive month of declines.
Trump Media’s stock, which went public in late March, has experienced extreme volatility, with analysts comparing it to a “meme stock” driven by market speculation rather than solid financial performance. Despite the downturn, Trump Media remains valued at $5.1 billion.
Trump retains significant control over the company, holding 114.75 million shares and serving as chairman, while Truth Social remains a minor player in the social media landscape. Bloomberg estimates Trump’s net worth at $5.9 billion. Critics argue that Trump Media’s high valuation is not supported by its modest revenue of $4.1 million last year, especially when compared to established companies like JetBlue, which is valued at $2.2 billion but generated 2,300 times more revenue.
On July 19, before President Joe Biden‘s exit from the race and endorsement of Harris, Trump’s stake was valued at just over $4 billion.By Thursday, the value had fallen to approximately $3.1 billion. This decline reflects a broader trend of volatility for Trump Media’s share price, which has been heavily influenced by political developments and market fluctuations.
The recent selloff highlights the stock’s role as a barometer for Trump’s potential return to the White House, with Truth Social expected to be a key platform for presidential communications if he wins. Polls showing a tight race between Trump and Harris have further impacted investor sentiment.
In June, Trump Media’s stock briefly surged following Biden’s poor debate performance and again last month after Trump survived an assassination attempt in Pennsylvania. However, the company has faced persistent challenges.
Truth Social’s user engagement has been declining. Data from Comscore, cited by CNN, reveals that unique visitors to the platform fell by 38% year-over-year in June, marking its third consecutive month of declines.
Trump Media’s stock, which went public in late March, has experienced extreme volatility, with analysts comparing it to a “meme stock” driven by market speculation rather than solid financial performance. Despite the downturn, Trump Media remains valued at $5.1 billion.
Trump retains significant control over the company, holding 114.75 million shares and serving as chairman, while Truth Social remains a minor player in the social media landscape. Bloomberg estimates Trump’s net worth at $5.9 billion. Critics argue that Trump Media’s high valuation is not supported by its modest revenue of $4.1 million last year, especially when compared to established companies like JetBlue, which is valued at $2.2 billion but generated 2,300 times more revenue.
