The value of Donald Trump's stake in Trump Media & Technology Group has fallen by $900 million since Kamala Harris entered the White House race. The company's stock price has fallen about 23% since then. CNN reports this.
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Trump's dominant stake in the conservative social media company was worth $4 billion as of July 19, the last trading day before Joe Biden dropped out of the presidential race and endorsed Harris. Trump's stake is now worth $3.1 billion.
Trump Media shares have become a proxy for Trump's White House return for Wall Street traders, as the company's social media asset, Truth Social, could become a platform for presidential communications if Trump wins.
According to Comscore data analyzed by TheRighting, unique visitors to Truth Social fell 38% in June from a year ago, marking the third straight month of decline for the platform.
Trump Media’s stock price briefly rebounded in June after Biden’s disastrous debate performance. The stock rose again last month after Trump survived an assassination attempt in Pennsylvania.
Trump Media’s stock price has seen extreme turbulence since going public in late March. Experts say Trump Media is a meme stock, trading on hype and momentum rather than fundamentals.
Trump dominates the company, owns 114.75 million shares, is its CEO, and is Truth Social’s most popular user. Bloomberg estimates Trump's net worth at $5.9 billion.
Even after the recent sell-off, Trump Media is still valued at $5.1 billion.
Some experts warn that the company is vastly overvalued because it generates very little revenue and Truth Social remains a tiny player in the social media market.