Former President Donald Trump’s net worth took a hit on Thursday, dropping about $475 million as shares of Trump Media and Technology Group, the parent company of social media platform Truth Social, continued to slide. The company’s share price fell by over 13% to $27.17, resulting in a decrease in the value of Trump’s stake in the company by more than $2 billion this month. His nearly 65% stake in the company, totaling 114.75 million shares, now sits at $3.1 billion, down from $3.5 billion.
Trump Media’s share price has seen a significant decline of about 43% since the beginning of the month when it was just over $49. This has led to Trump’s overall stake in the company, initially valued at $5.6 billion, dropping by approximately $2.4 billion. This has had a significant impact on Trump’s net worth, which Forbes now estimates to be $5 billion after the nearly 8% drop on Thursday. This is a stark contrast to the $4.1 billion increase in Trump’s net worth when Trump Media went public on March 26, with the company’s share price peaking at $79.38.
Trump Media’s recent decline comes on the heels of another drop earlier in the week when the company’s shares fell by nearly 10% on Tuesday. The company went public through a merger with Digital World Acquisition Corp, bypassing traditional regulatory hurdles associated with public offerings. Trump’s company has experienced volatile stock movement since then, including a nearly 20% drop in the weeks following his conviction in his hush money trial. Despite these setbacks, Forbes estimates the value of Trump Media to be between $40 million and $90 million using metrics commonly used for other social media companies.
The overall performance of Trump Media and Technology Group has had a significant impact on Trump’s financial standing, with his net worth fluctuating based on the success of the company’s stock. The recent decline in share price has resulted in a substantial decrease in the value of Trump’s stake in the company, impacting his overall net worth. This adds to the uncertainty surrounding Trump’s business ventures and investments, as the performance of Trump Media continues to be closely watched by investors and analysts.
The fluctuating fortunes of Trump Media highlight the challenges that Trump faces in the business world, especially in the fast-paced and competitive tech industry. The decline in share price and the subsequent drop in Trump’s net worth underscore the risks associated with investing in new ventures, particularly those tied to high-profile figures like former presidents. The future performance of Trump Media will likely continue to have a significant impact on Trump’s financial standing and overall business reputation.
