Shares of Trump Media, trading as DJT on the Nasdaq, hit their lowest price in over a year on Monday after receiving approval for insiders, including Donald Trump, to sell their stakes in Truth Social. The stock has been on a decline for the past six days, dropping over 80% since its debut in March. The company’s market capitalization has shrunk from $10 billion to approximately $2.5 billion, with Trump’s stake now worth less than $1.5 billion.
Trading volume has increased significantly since the expiration of lockup agreements for insiders, with millions of shares changing hands in recent days. While Trump has stated he will not sell his stake, other early investors, including ARC Global and United Atlantic Ventures, have not made similar commitments. A Delaware judge ruled that Trump Media breached an agreement with ARC Global and owes it more stock, potentially increasing ARC’s stake in the company.
The stock briefly saw an increase after Trump’s announcement that he would not sell his stake, but has since continued to decline. Trump, a major draw for Truth Social users and retail investors, has been a key figure in the company’s performance. This story is ongoing, and updates are expected.
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