Former President Donald Trump saw a significant drop in his net worth on Thursday, with shares of Trump Media & Technology Group, the parent company of social media platform Truth Social, falling over 13% to $27.17. This decrease in share price caused Trump’s nearly 65% stake in the company, totaling 114.75 million shares, to decrease in value from $3.5 billion to $3.1 billion. Since the beginning of the month, Trump Media’s share price has decreased by about 43%, leading to a $2.4 billion drop in the value of Trump’s stake in the company, which was initially valued at $5.6 billion.
Forbes estimates that Trump’s current net worth is $5 billion after it saw an almost 8% drop on Thursday. This is a significant decrease from when Trump Media went public on March 26, causing Trump’s net worth to grow by $4.1 billion when the company’s share price peaked at $79.38. However, using metrics such as average revenue per user and price-to-sales ratio, Forbes estimates that Trump Media is worth between $40 million and $90 million. The company’s decline in share price adds to an earlier dip earlier in the week when shares fell nearly 10% on Tuesday. Since going public, Trump Media has experienced volatile stock movement, including a nearly 20% drop in the weeks following Trump’s conviction in his hush money trial.
This decrease in Trump’s net worth is significant and comes at a time when his social media venture is facing challenges. As shares of Trump Media continue to fall, Trump’s stake in the company is decreasing in value, impacting his overall wealth. The company’s initial success when it went public has been overshadowed by a series of declines in share price, indicating potential struggles for Trump’s venture in the social media space. The volatility in Trump Media’s stock movement highlights the uncertainty surrounding the company and its future prospects in the competitive social media market.
Despite the setbacks faced by Trump Media, the company’s performance in the coming weeks will be closely watched to determine its long-term viability. As Trump’s net worth takes a hit due to the declining value of his stake in the company, there may be concerns about the overall success of his social media venture. The ongoing challenges faced by Trump Media underscore the difficulties of launching and maintaining a successful social media platform in a crowded market, and the impact of these struggles on Trump’s personal wealth. Moving forward, it remains to be seen whether Trump Media will be able to overcome these obstacles and establish itself as a competitive player in the social media industry.
