Trump Media & Technology Group Corp DJT shares are trading lower Thursday amid continued volatility following the stock’s recent Nasdaq debut.
What To Know: Former President Donald Trump’s Trump Media & Technology Group got off to a sluggish start this week after the company released financial information from 2023 and warned of continuing operating losses.
In a new regulatory filing, Trump Media reported revenue of $4.13 million for full-year 2023, and a net loss of $58.19 million for the year. The filing stated that nearly $40 million of the company's net loss in 2023 was due to interest expense. Trump Media ended the year with just $2.6 million in cash, down from $9.8 million at the end of 2022, and warned that it expects losses to continue in 2024.
"TMTG has historically incurred operating losses and negative cash flows from operating activities … TMTG expects to continue to incur operating losses and negative cash flows from operating activities for the foreseeable future, as it works to expand its user base, attracting more platform partners and advertisers," the company said in the filing.
The financial disclosure came a week after the company successfully completed its business combination with Digital World and began trading on the Nasdaq.
Many have suggested that the recent surge in Trump Media stock is due to investors piling money into the name as a way for Trump to raise funds for his re-election campaign. Others have suggested that if Trump wins the election in 2024 and continues using the Truth Social platform to communicate, it could help boost the fundamentals of the social media platform. Finally, some have called Trump Media Wall Street’s latest meme stock.
Trump Media has been popular among retail investors since Digital World first announced intentions to merge with the company. The stock was trending on various social platforms again on Thursday and was among the most mentioned tickers on WallStreetBets over the last 24 hours. Despite the pullback in recent days, Trump Media stock is up nearly 170% year-to-date.
Related Link: Trump Media In Spotlight As Expert Signals Fans Could Treat Buying DJT Stock As 2024 Campaign ‘Contribution’
DJT Price Action: Trump Media shares were down 3.79% at $46.96 at the time of writing, according to Benzinga Pro.
Photo: Jonah Elkowitz from Shutterstock.
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