As of Wednesday’s closing, the company’s market value was $3.6 billion, a significant decrease from its $8 billion peak reached when shares started trading at about $70 a share.

The cost of becoming famous

The stock of Trump Media has been extremely erratic for a number of reasons, one of which is the firm’s close ties to the former president.

The stock is currently in a volatile state due to the attention of professional traders, news outlets, and retail investors due to his well-known brand, political polarization, and tight ties to the company.

Even though the company is still valued in the billions, it has financial difficulties and requires funding. Experts advise investors to use caution when trading the stock because the company’s exorbitant valuation is not supported by the company’s fundamentals.

In 2023, Trump Media earned only $4.1 million while suffering $58 million in losses.