NEW YORK (NEWSnet/AP) — Stock price for Donald Trump’s social media company slid Monday, pushing it nearly 60% below its peak, set in March.
Trump Media & Technology Group was down 16.8% at $27.10 in midday trading. It’s a sharp comedown since nearing $80 after the owner of Truth Social merged with a shell company to get its stock trading on the Nasdaq under the symbol “DJT.”
Part of the decline may be due to criticism that the stock price had zoomed past what skeptics said the company is worth. Another aspect could be action Trump Media took Monday.
The company filed documents with U.S. Securities and Exchange Commission that open the door for the potential sale of millions of shares. The document, called an S-1, relates to warrants held by investors.
Those may be transformed into shares of stock, as well as shares held by company insiders. The filing also includes all the shares held by the former president, although he remains in a “lock-up” deal that restricts sale of shares for about five months.
The filing does not necessarily mean investors are planning to sell shares, said Trump Media & Technology Group.
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