• Thu. Jun 13th, 2024

Trump Media and Technology Group Surges in Interest on Stock Market, Raising Market Worth to $9 Billion

BySamantha Johnson

Mar 27, 2024
Stock market debut of Donald Trump’s media firm sees substantial growth

The much-anticipated listing of Trump Media & Technology Group on the stock market has generated a surge in interest, with shares surging to an opening price of over $70. This valuation gives the company a market worth of over $9 billion, bringing in significant revenue for the former president.

However, analysts are questioning whether this valuation is justified, given that Truth Social, Trump Media’s flagship platform, only generated $3.3 million in revenue in the first nine months of 2021 and suffered losses of nearly $50 million. Despite claims of 8.9 million created accounts since its launch in 2022, it is unclear how many are active users.

Trump, who owns more than half of the company’s shares, is currently unable to sell his holdings due to legal restrictions for at least six months. While his allies on the board could potentially change this rule to allow him access to his windfall immediately, analysts believe this is unlikely to happen soon.

The merger between Trump Media and Digital World Acquisition Corp was first announced in 2021 and was delayed due to government investigations earlier this year. However, after resolving these delays, the transaction was able to move forward successfully.

Despite lingering questions about the company’s value and operational performance, this successful listing on the stock market marks a significant milestone for Trump Media. Many individual investors who were reportedly Trump supporters showed their support by investing in Digital World shareholders.

Overall, while there are concerns about Trump Media’s actual worth and performance as a company, its successful debut on the stock market is undoubtedly a major achievement for both Donald Trump and his business ventures.

By Samantha Johnson

As a dedicated content writer at newsanguinely.com, I weave words into compelling stories that captivate and inform our readers. With a passion for storytelling and a keen eye for detail, I craft engaging articles that shed light on the latest news and trends. When I'm not typing away at my keyboard, you can find me exploring new ideas, researching diverse topics, and striving to deliver content that resonates with our audience. Join me on this journey as we uncover the stories that matter most.

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