【DJT investors lose $2.2 billion; being U.S. president is a pretty good business】
DJT shares fell to $4.02. The 114.75 million shares held by Trump ($TRUMP ) are still worth about $460 million. He acquired them in the 2024 merger deal without putting in any cash. Reuters estimates that outside investors have lost more than $2.2 billion in total, and the share price has fallen another 32% since the midterm elections. The most ironic thing about this investment is that political enthusiasm failed to translate into returns for shareholders.
The company’s fundamentals also fall short of the lofty expectations set at the outset: annual revenue has remained at around $4 million for the past three years. Truth+, the streaming service built with an investment of more than $200 million, had generated cumulative revenue of only about $630,000 by the end of June this year. Its Bitcoin investment also happened to be made near the peak, and the subsequent decline in asset prices further weighed on performance.
Trump Media is pinning its hopes on a merger with nuclear fusion company TAE Technologies, but ultimately the capital markets care about whether the business can deliver on its value. Political influence can bring attention and traffic, but it cannot automatically turn into revenue, profit, and a higher share price.
Once the Trump family has finished fleecing everyone, all that’s left is to get a pardon and make a perfect exit. Being U.S. president is a great business.
#TRUMP
DJT shares fell to $4.02. The 114.75 million shares held by Trump ($TRUMP ) are still worth about $460 million. He acquired them in the 2024 merger deal without putting in any cash. Reuters estimates that outside investors have lost more than $2.2 billion in total, and the share price has fallen another 32% since the midterm elections. The most ironic thing about this investment is that political enthusiasm failed to translate into returns for shareholders.
The company’s fundamentals also fall short of the lofty expectations set at the outset: annual revenue has remained at around $4 million for the past three years. Truth+, the streaming service built with an investment of more than $200 million, had generated cumulative revenue of only about $630,000 by the end of June this year. Its Bitcoin investment also happened to be made near the peak, and the subsequent decline in asset prices further weighed on performance.
Trump Media is pinning its hopes on a merger with nuclear fusion company TAE Technologies, but ultimately the capital markets care about whether the business can deliver on its value. Political influence can bring attention and traffic, but it cannot automatically turn into revenue, profit, and a higher share price.
Once the Trump family has finished fleecing everyone, all that’s left is to get a pardon and make a perfect exit. Being U.S. president is a great business.
#TRUMP