Trump Media shares plummet, costing former president more than $1 billion in net worth
The Truth Social parent company's stock had its worst day ever on Wednesday after rallying in recent weeks
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Trump Media & Technology Group shares reversed course this week after rallying for over a month, and the correction shed more than $1 billion from the net worth of former President Trump, the company's majority shareholder.
The stock, which trades under the ticker DJT, plummeted 22% on Wednesday, marking its worst day ever. The declines continued on Thursday, and shares of the Truth Social parent company were halted twice in the morning due to volatility.
The Truth social network logo. (Reuters/Dado Ruvic/Illustration / Reuters Photos)
| Ticker | Security | Last | Change | Change % |
|---|---|---|---|---|
| DJT | TRUMP MEDIA & TECHNOLOGY GROUP CORP | 35.34 | -4.69 | -11.72% |
Shares of DJT were down more than 13% as of noon ET on Thursday, to $34.76.
Still, Trump Media shares are up nearly 120% over the past month, which caused Trump's net worth to nearly double to $8 billion, according to Forbes, which tracks the wealth of the world's richest people.
Former President Trump gestures while walking onstage for a campaign rally in Coachella, California, on Oct. 12. (Mario Tama/Getty Images / Getty Images)
Trump Media saw its value balloon to more than $10 billion earlier this month, as the Republican presidential nominee's campaign continues to build momentum against his opponent, Vice President Kamala Harris.
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The stock is popular among retail traders and is seen as a speculative bet on Trump's chances of securing a second four-year term as president.
Former President Trump and Vice President Kamala Harris are shown on screen in the spin room during the second presidential debate at the Pennsylvania Convention Center in Philadelphia on Sept. 10. (Hannah Beier/Bloomberg via Getty Images / Getty Images)
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The reason behind DJT's sudden decline this week is unclear, given that the company has not made any major announcements and there has not been a significant shift in polling for the presidential election in recent days, which continues to show that the race between Trump and Harris is neck and neck.
Reuters contributed to this report.