Trump’s media stock plunges after posting a big loss for 2023
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S E E D E D C O N T E N T
Shares of Truth Social owner Trump Media & Technology Group plunged Monday after the company disclosed that it lost more than $58 million and generated very little revenue in 2023.
The figures underscore why some experts warn Trump Media’s multibillion-dollar valuation defies logic and is reminiscent of the meme stock craze.
Not only that, but revenue tumbled 39% year-over-year in the fourth quarter to just $751,500. That’s not what investors want to see from any start-up, especially one valued at these levels.
The losses are so severe that Trump Media’s accountants warned they “raise substantial doubt about its ability to continue as a going concern,” which is Wall Street for: We may not be able to stay in business.
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Shares of Truth Social owner Trump Media & Technology Group plunged Monday after the company disclosed that it lost more than $58 million and generated very little revenue in 2023.
The figures underscore why some experts warn Trump Media’s multibillion-dollar valuation defies logic and is reminiscent of the meme stock craze.
Not only that, but revenue tumbled 39% year-over-year in the fourth quarter to just $751,500. That’s not what investors want to see from any start-up, especially one valued at these levels.
The losses are so severe that Trump Media’s accountants warned they “raise substantial doubt about its ability to continue as a going concern,” which is Wall Street for: We may not be able to stay in business.
“…they “raise substantial doubt about its ability to continue as a going concern,”…
…and hopefully we can expect his political future will have a similar outcome. Substance over symbolism, fact over fiction, reality over emotion…
Let him become a martyr to his sycophants, but let history dictate just how deleterious, just how divisive, and just how dangerous his words, actions, and intentions were.
I guess we now know a good time to short the stock: last Thursday. Happened quicker than I thought it would.
Well, there is always the chance that more irrationally exuberant Trump supporters will invest their little money in DJT and push it back up to give another shot for the short sellers.
Then again, there will be plenty of opportunities to benefit from shorting this loser stock because its fundamentals and performance is not going to magically improve prior to the election. If Trump loses, this stock might be delisted.
Maybe. Only if you think it has significant more downside (which it might).
Ideally the best time to short it was before today, when it was much higher.
But it probably has more downside...(?)
To risky for me-- I was tempted to short it last week, but I generally go for safer investments....
Yes, last Thursday.
Same here, this is a crazy, emotional stock.
That's a fairly strong possibility-- but again, its to risky for me. (I rarely if ever short stocks-- I go for safer stuff, although I have taken some big risks in the past.
Same here, I like to invest in companies rather than against them.
My interest here is the bizarre nature of this stock and that of Trump and his supporters. This stock is strangely tied to Trump's popularity and viability as the next PotUS. It is subject to some major changes this year since its value is emotional and clearly not based on fundamentals or on the future based on its business model.