Donald Trump’s net worth has been declining in recent days, and the same trend can be observed with Trump Media shares.
Trump has been removed from the Bloomberg Billionaires Index, a daily list of the world’s 500 wealthiest individuals, following a significant decline in the stock price of Trump Media. Trump Media is the parent company of Truth Social, the former president’s social media platform.
The stock experienced a 12% decline on Friday and an additional 8% drop on Monday. Although it initially fell by as much as 4.8% on Tuesday, it managed to rebound and ended the day with a 0.8% increase, closing at $37.47. However, despite this slight recovery, the stock remains more than 50% below its peak in late March.
On Tuesday, the stock price of Trump Media dropped below $35.50 for the first time since its merger with the public shell company Digital World Acquisition Corp. The company started trading under the ticker DJT on March 26.
The company’s market value has taken a hit in the past two weeks, resulting in a loss of billions of dollars. This comes after the company was initially valued at almost $8 billion following its stock market debut.
How much is Donald Trump worth?
The stock of Trump Media has experienced significant fluctuations since its introduction, resulting in noticeable changes in the net worth of the former president in recent weeks.
Trump Media, in which Donald Trump is the majority owner with approximately 60% ownership and 78.75 million shares, experienced a significant increase in value following its initial public offering. As a result, his stake in the company reached a staggering $6 billion, securing him a coveted position on the prestigious Bloomberg Billionaires Index.
DJT stock experiences turbulence: Expect more volatility ahead for Trump’s soaring Truth Social.
On paper, the value of his stake is currently estimated to be around $3 billion as of Tuesday. However, Trump is unable to sell his shares until September, pending approval from the Trump Media board.
According to Forbes, Donald Trump has an estimated net worth of $4.8 billion, as of Tuesday afternoon. This places him as the 653rd richest individual in the world. The Bloomberg Billionaires Index, which measures personal wealth based on market fluctuations, economic factors, and Bloomberg reporting, includes individuals with a minimum net worth of $5.81 billion.
How much is Trump Media worth?
Despite experiencing a recent decline, the company still carries a hefty price tag of $5 billion. It is worth noting, however, that this valuation seems quite high considering the company’s financial performance. In 2023, the company reported a loss of over $58 million, with a revenue of just $4 million.
According to experts, Trump Media has been deemed overvalued when compared to other social media platforms. This is partly due to the significant investments made by Trump supporters. Just before the company went public, an auditing firm issued a warning highlighting the company’s operating losses, which cast doubt on its ability to sustain itself in the long run.
In a recent post on Truth Social, Trump voiced his support for the company, asserting his confidence in its stability and rapid growth.
One post enthusiastically declares, “I wouldn’t use it if it didn’t work or effectively spread the word. But it does work, and it works incredibly well. And the excitement is only just beginning!”
Trump is no longer listed on the Bloomberg Billionaires Index due to a significant drop in the stock value of Truth Social.
