Trump Media’s Share Price Declines Amid Insider Selling

Shares of the company, which operates the Truth Social app, ended the day at $12.15, marking their lowest close since Trump Media's stock-market debut in March.

Shares of former U.S. President Donald Trump’s media company tumbled 10% to a new low on Monday, extending recent losses after restrictions on insider selling expired.

Six straight sessions of declines in Trump Media & Technology Group, which is 57% owned by the Republican presidential candidate, have left its market capitalization at $2.4 billion.

Shares of the company, which operates the Truth Social app, ended the day at $12.15, marking their lowest close since Trump Media’s stock-market debut in March.

The stock has now declined 17% since the restrictions on insider selling were lifted on Thursday.

Trump Media saw its value balloon to nearly $10 billion following its Wall Street debut, buoyed by Trump supporters and retail traders who viewed it as a speculative bet on his chances of securing a second term as president.

However, since then, Trump Media shares have steadily lost ground, with share declines accelerating after President Joe Biden announced his reelection bid on July 21.

Losses in the stock in recent months have significantly outpaced a reduction in betting-market odds that Trump would win the election.

Trump leads among likely voters in the battleground states of Arizona, Georgia, and North Carolina, surpassing U.S. Vice President Kamala Harris, as shown in a New York Times/Siena College poll released on Monday.

In an interview on Sunday, Trump stated he would not make a fourth consecutive run for the U.S. presidency if he loses the Nov. 5 election.

As of Monday, PredictIt contracts for a Trump election victory were trading at 46 cents, with a potential payout of $1. Trump contracts peaked at 69 cents in mid-July. Contracts for a Harris victory were at 57 cents, remaining little changed over the past two weeks.

Trump, whose stake in Trump Media is now worth roughly $1.4 billion, said on Sept. 13 he did not plan to sell his shares, shifting the focus to other major stakeholders who could cash out.

United Atlantic Ventures and Patrick Orlando, whose fund ARC Global Investments II sponsored the blank-check company that merged with Trump Media in March, together own about 11% of Trump Media shares, according to a company filing.