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The stock price Trump Media In the roughly three weeks since a New York jury found the company’s largest shareholder, former President Donald Trump, guilty of criminal charges, its shares have nearly halved.
Shares of the Truth Social operator, which trades as DJT on the Nasdaq Stock Market, closed Friday’s trading session at $27.66 a share.
That represents a 46% drop from Trump Media’s closing price of $51.84 on May 30, the day Trump was convicted of 34 felony counts of falsifying business records.
Trump Media shares closed up more than 3% on Friday, taking a breather after weeks of declines.
Trump Media & Technology Group Stock Price
It’s not clear whether the guilty plea itself contributed to the decline, but the company acknowledged in a regulatory filing that “an unfavorable outcome in one or more of the ongoing litigation involving President Donald J. Trump could have an adverse effect on TMTG and its Truth Social platform.”
Analysts attributed the downward trend in stock prices to additional stock registrations by Trump Media, which were declared effective by the Securities and Exchange Commission after the close of trading on Tuesday.
The SEC’s approval would allow the company’s early investors to resell certain shares or exercise warrants, which could dilute the company’s stock price.
The company said it could realize up to $247 million if all the warrants are exercised and cashed in. But that still sent Trump Media shares plummeting as much as 17% in after-hours trading on Tuesday.
in press release The company announced Friday afternoon that it expects to receive more than $69.4 million from the cash exercise of the warrants on Thursday and Friday alone.
The company’s shares have fallen more than 25% this week. Most of the decline came during a volatile trading session on Thursday, when shares fell nearly 15%, and on Tuesday, when shares closed down nearly 10%. The stock market was closed on Wednesday in observance of Juneteenth Day.
Trump Media’s shares have been volatile since its initial public offering in late March as retail investors and short sellers bought and sold the company’s shares in connection with the controversial Republican presidential nominee.
The stock was identified in April as the most expensive U.S. stock to short.
