Donald Trump's Truth Social Stock Continues to Rapidly Fall, Wiping Out Billions of Dollars in Value

By Jace Dela Cruz

Apr 09, 2024 05:43 AM EDT

Shares of Trump Media & Technology Group, the social media company that former President Donald Trump recently took public, continue to rapidly fall. 

DORAL, FLORIDA - APRIL 07: Former U.S. President Donald Trump looks on at the 18th green during day three of the LIV Golf Invitational - Miami at Trump National Doral Miami on April 07, 2024 in Doral, Florida.
(Photo : Megan Briggs/Getty Images)

Trump Media Shares Plunges by 8%

According to NPR, the shares of the parent company of Truth Social plunged 8% on Monday after already losing 12% on Friday. This downward trend has brought the stock to its lowest level since its initial trading on March 26. 

CNN reported that these recent sharp declines shrunk Donald Trump's stake in the company to about $2.9 billion, down from a peak of $5.2 billion based on the closing high of $66.22 on March 27, the day after its trading debut.

Trump owns a significant stake of 78.8 million shares in the company that was launched in 2021. Last week, Trump Media disclosed that it had lost $58 million last year and had revenue of just $4.1 million.

READ NEXT: Donald Trump's Truth Social Stock Skyrockets on Its First Day of Trading on Nasdaq   

Donald Trump Agreement With Trump Media

Under his current agreement, Donald Trump is prohibited from selling his shares until September. However, he can request permission from the Trump Media board to unload a portion of his stake earlier.

The board is comprised of individuals who are closely associated with Trump, such as his son, Donald J. Trump Jr., and former administration officials. 

Shares are reportedly being sustained by thousands of investors, many of whom are believed to be strong supporters of the former president.

READ MORE: Donald Trump's Media Company Sues 2 Co-Founders, Seeking to Void Their Shares in Trump Media

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