Achi news desk-
CNN
–
Shares of Truth Social owner Trump Media & Technology Group fell 12% on Friday, sinking to their lowest level since the company went public last week.
The sale wiped nearly $2 billion off the value of former President Donald Trump’s stake in the company this week.
Trump Media shares rose to as high as $79.38 on March 26, the day trading began on the Nasdaq under the ticker symbol “DJT.”
Since then, the Truth Social owner’s share price has plunged 49% to Friday’s closing price of $40.49.
Trump Media shares have lost about a third of their value this week. Despite this week’s losses, shares of Trump Media are still up more than 130% so far this year.
Trump’s personal stake in the company is now worth about $3.2 billion. That’s down from $4.9 billion at the end of last week.
Trump Media recently revealed that they lost $58 million last year on very light revenue of just $4.1 million. The financial results underline concerns raised by some experts that the company is vastly overvalued by Wall Street.
Barry Diller, the billionaire chairman of Expedia and owner of People Magazine IAC, told CNBC on Thursday that Trump Media is a “scam” and people who buy the stock are “dopes.”
“I mean, it’s ridiculous,” Diller said on CNBC. “The company has no revenue.”
A Trump Media spokesperson denied the company’s critics.
“It’s no surprise to see die-hard Trump haters and left-wing flacks blowing a casket now that Truth Social has become a public company that, to this day, refuses to suppress political expression that contradicts the narratives they want enforcement,” said Shannon Devine, a spokeswoman for Trump Media, in a statement to CNN
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