The stock price for Donald Trump’s social media company, Trump Media & Technology Group, took another hit on Monday, dropping nearly 60% below its peak set late last month. The company’s stock was down 16.8% at $27.10 in midday trading, a significant decline from its high of nearly $80 after merging with a shell company to go public on the Nasdaq.
Critics have pointed out that the stock price had soared far beyond the company’s actual value, leading to the sharp decline. Additionally, Trump Media filed documents with the SEC on Monday that could potentially allow for the sale of millions of shares in the future. This move may have also contributed to the drop in stock price.
The filing includes shares held by investors, company insiders, and even former President Donald Trump himself. However, Trump and other key figures in the company are currently under a lock-up agreement that restricts them from selling their shares for several months.
The decrease in stock price not only impacts shareholders, many of whom are small investors, but also has a significant financial impact on Trump himself. At its current price, Trump’s potential ownership of nearly 114.8 million shares would be worth $3.15 billion, down from nearly $7.6 billion in March.
Meanwhile, Trump faced another challenge on Monday as he arrived at a New York court for the start of jury selection in his hush-money trial, marking the first trial of any former U.S. president. The ongoing developments surrounding Trump Media’s stock price and Trump’s legal battles continue to draw attention and speculation.