Shares of Trump Media & Technology Group, the company that controls the social media platform Truth founded by former US President Donald Trump, are falling sharply. They are currently trading at their lowest levels since their stock market debut in April of this year. The sharp decline has seen the former US president disappear from the Bloomberg Billionaires Index, a list of the world's 500 richest people.
While Trump’s stock was up 7% on Monday, that didn’t do much to improve its overall situation. Since peaking at $66 a share on March 27 of this year, the company has lost nearly three-quarters (72%) of its value.
Another potentially decisive duel will take place in Philadelphia on TuesdayJIM LO SCALZO/PAP/EPA
Financial blow
The sell-off is a huge financial blow to Trump. The former president’s dominant holding of 114.75 million shares was valued at $6.2 billion as of May 9. That value has now fallen to about $2.1 billion, knocking Trump off the Bloomberg Billionaires Index, which ranks the 500 richest people in the world.
“Stock market analysts have repeatedly stressed that Trump Media's high valuation defies logic. The company is losing money, generating very little revenue, and Truth Social remains a relatively small entity in the social media market,” CNN writes.
“If it wasn't a Trump company, the stock would be trading at $1,” Matthew Tuttle, CEO of investment firm Tuttle Capital Management, told CNN.
Analysts explain that the declines are related to the increasingly fierce fight for the presidency in the United States. “These stocks are completely geared towards a Trump win,” Tuttle said. “If Trump wins, it could be a profitable company. But if he loses, I don't know how it's going to work,” he pointed out.
Former US President Donald TrumpJUSTIN LANE/PAP/EPA
First debate
Across the ocean, the countdown to the debate between Donald Trump and Kamala Harris. The debate will begin on Tuesday at 9 p.m. local time, which is 3 a.m. Wednesday in Poland. It will be broadcast on ABC.
The campaigns of both candidates had already agreed on the rules several weeks earlier. They will be similar to those that were in force during Donald Trump's June clash with Joe Biden. America is eagerly awaiting this clash because of the impression it will make Kamala Harriscould have a significant impact on the final outcome of the fight for the White House.
Read more: The Trump-Harris debate is on Tuesday. The US vice president has been preparing for several days, and the former president – not at all >>>
Main image source: JUSTIN LANE/PAP/EPA