Business Donald Trump Social Media

Financial Analysts Warn That Trump Media Is On The Verge Of Going Down The Drain

If you happen to own any shares of Trump Media & Technology Group, you should dump them as soon as possible before the price collapses completely and you lose every penny of your investment, financial analysts are warning.

Forbes Senior Editor Dan Alexander says Trump Media is “bleeding money,” telling CNN host Erin Burnett, “It is a sad story. And the trouble here is that if you look at the fundamentals of the company — it’s poised to go down a lot more.”

When it was first offered on the stock market in late March, Trump Media reached a high of over $79 a share. It now stands at $23.77.

The company has even admitted that its financial situation could easily lead to bankruptcy, noting in a filing, “A number of companies that were associated with President Donald J. Trump have filed for bankruptcy,” reads one of the sections of the document. “There can be no assurances that TMTG will not also become bankrupt.”

That, according to Alexander, means Trump Media stock “should fall by at least another 90% before the metrics start to make any amount of sense.”

“For people who are just blindly putting their faith in Trump and in the company — that means that they can stand to lose a lot of money,” Alexander added.

The company was mainly set up to benefit Trump, Alexander went on to explain.

“Meanwhile, the retail shareholders were putting up huge sums to buy in. The ultimate effect is that they put in the cash and the other people walk away with the shares.”

As Rick Wilson rightly observed several years ago, everything Donald Trump touches dies. Including his so-called “media company.”

Business Donald Trump Social Media

Truth Social Stock Price Plunges To New Low As Trump Goes On Trial In New York

Stock in the Trump Media & Technology Group that owns the Truth Social internet site has plunged to a new low as the disgraced former president goes on trial in New York on charges of illegally paying hush money to a woman he allegedly had an affair with before the 2016 election.

When the NASDAQ stock exchange opened this morning, the stock went into freefall and stood at 27.44 as of 11:22 a.m., a new low since the stock began trading on March 26. On that day, was valued at 26.83 per share.

A report that the company has filed to sell more stock is also dragging down the price of shares, with CNBC reporting, “The company’s intent to issue more common stock was made public Monday morning in a ‘preliminary prospectus filed to the Securities and Exchange Commission. The shares cannot be issued until a registration statement with the SEC goes into effect.”

“The company also seeks to offer the resale of up to 146.1 million shares of stock from ‘selling securityholders,’ 114.8 million of which are held by Trump himself. Trump owns 78.8 million shares of the company, and stands to obtain 36 million “earnout shares” if the stock stays above a certain price for enough trading days,” the report added.

Earlier this month, the company revealed it had lost $58 million despite paying out millions in bonuses to top Trump Media executives.

Business Donald Trump Social Media

Nervous Trump Tries To Prop Up Failing Truth Social Site With Thursday Morning Internet Postings

As bad financial news continues to pour in for Donald Trump and his teetering Truth Social site, the failed former president took to social media Thursday morning in a desperate attempt to prop up his latest flagging business venture.

With multiple reports of massive financial losses for Truth Social making headlines, the disgraced ex-president resorted to his usual strategy of bombast and outright lies as a defense.

“All of the competitors to TRUTH SOCIAL, especially those in the Radical Left Democrats Party who are failing at every level, like to use their vaunted ‘disinformation machine’ to try and convince people, and it is not easy to do, that TRUTH is not such a big deal and doesn’t “get the word out” as well as various others, which they know to be false. I THINK TRUTH IS AMAZING!’ he wrote. “First of all, it is very solid, having over $200,000,000 in CASH and ZERO DEBT.”

Trump then claimed the reason Truth Social will succeed is because it’s connected to him, even though the long trail of failed businesses carrying his name suggests otherwise.

“More importantly, it is the primary way I get the word out and, for better or worse, people want to hear what I have to say, perhaps, according to experts, more than anyone else in the World. My TV ratings are by far the highest, and my Rallies are not equaled, even close, anywhere or by anyone. Look, I had hundreds of millions of followers on various platforms, and could have them back again, but was cancelled for largely political reasons. Those platforms all want me back…They need me back! On Truth I have 7,000,000 followers……”

In a second post, Trump claimed press reports of Truth Social’s financial struggles were “fake news.”

“So don’t believe the FAKE NEWS. Until I came along and exposed them, they were respected and believed. Now they are the exact opposite. With the Russia, Russia, Russia HOAX. and all of the others, people get it. Look, using TRUTH, I became the Republican Nominee for President of the United States, and in record time! When I ENDORSE a politician on TRUTH, they almost ALWAYS WIN. If it didn’t work, or properly get the word out, I wouldn’t use it – But it does work, and work really well – And the fun is just getting started!!!”

But as Fortune noted earlier this week, the underlying financial health of Truth Social has dragged down its stock price.

“Trump Media’s shares soared in their first couple days of trading — surpassing $79 at one point Tuesday — but have since fallen closer to their initial offering price of $49.95. As of midday Monday, Trump Media’s stock plunged more than 23% to below $48, meaning a lot of early investors are taking a hit.”

It will be interesting to see if Trump Media shares continue to tank on Wall Street today. If they do, the Truth Social could soon become nothing but a memory.


Business Donald Trump Social Media

Trump’s Truth Social Stock Tanks After Report Reveals Site Lost $58 Million In 2023

Just last week, Donald Trump’s new media venture which backs his Truth Social site was flying high, earning him billions on paper and leading some to suggest he might use the rising value of the stock as collateral for a bond to cover the massive court-imposed fines that have been assessed against him.

However, an SEC filing from Trump Media & Technology Group shows that Truth Social lost a massive $58 million in 2023, and that sent shares of the once-rising stock plummeting. As of Noon Monday, the price of a share was down nearly 20%, which suggests the stock is in freefall and not likely to recover, especially since it’s now clear that the venture is a failure.

The collapse of Trump Media & Technology Group’s stock price was predicted by those in the know, including Emily Stewart of Business Insider.

For one thing, TMTG, which owns the conservative Twitter copycat Truth Social, makes basically nothing. According to a new financial filing from the company released on Monday, its total revenue was $4.1 million in 2023. Extrapolate that out, and the stock is trading at something like 2,000 times the company’s annual revenue. That is, um, high. Apple, for example, trades at about seven times its total revenue. And given TMTG’s paltry revenue, it actually lost $58 million last year.

Despite his claims over the years, Donald Trump has never actually been successful at anything other than hyping himself and getting suckers to give him large sums of money that he quickly burns through, leaving everyone but himself wondering what became of their investment.

How could Truth Social, which has a smaller base of followers than both Facebook and Twitter, hope to compete? While the Trump name may have once held some allure, it hasn’t now for years, and with every angry posting Donald makes online, more people are alienated and abandon him.

It turns out that being “anti-woke” doesn’t pay well, Stewart explains in her article.

As much as people say they want to shop and invest their values, it often doesn’t turn out to be the case. Instead, most people opt for the convenient option and whatever they’re most used to doing already. There’s a reason most boycotts don’t work — people are busy and tired. It’s true on the left as well. Dig deep enough, and every company in the world can probably give you a reason not to want to give them your money.

Donald Trump has the stench of a loser all over him. He’s becoming more irrelevant by the day, and if he loses to President Joe Biden in November, don’t be surprised if he winds up filing for personal bankruptcy, even if he has to do so from prison.

Business Donald Trump Social Media

Trump’s Truth Social Stock Shares Could Be Worth ‘Almost Zero’ In 6 Months

The stock of failed former president Donald Trump’s Truth Social site skyrocketed in value this week, rising from $8.23 a share to $66.22 at the close of trading on Wednesday, boosting the value of Trump’s Media & Technology Group to a market value of $9.4 billion. Since Trump owns 58% of the company, that means he’s now worth $5.2 billion, at least on paper.

And therein lies the rub, according to New York Times Pulitzer Prize-winning reporter Suzanne Craig, who explained on MSNBC’s “The Last Word” that the Donald’s billionaire status is illusory and could plummet even quicker than it rose.

“It’s a very volatile and high-risk stock, so it could be anywhere from worth a lot more in six months to almost zero in six months, we don’t know,” she said.

The meteoric rise of Trump’s social media stock comes at a time when he’s desperate for money to pay massive defamation and fraud judgments against him, and Craig noted he may still not be able to raise the funds he needs to meet his court obligations.

“We don’t know where he’s going to get the money from. He said that he’s going to put up cash, but you can get cash from a lot of places.”

The disgraced ex-president might try to leverage his stock holdings into some sort of loan, but that also seems dicey, Craig explained.

“Who knows what [the shares] are going to be worth in six months. There is speculation he’ll get a loan off those shares. I don’t know who would lend him money on those, because you don’t know what it’s going to be worth down the road.”