Pump and dump is trending.
I wonder why?
đ đđ€Łđ€Łđ€Łđ€Łđ€Łđ€Ł pic.twitter.com/jS64O3yXg3— Agolf Twitler Slayer (@slayer_agolf) April 1, 2024
Trump's pump-and-dump lost 20% of its value the first day it appeared on the NASDAQ.
Today was a good day.
— Ragnarok Lobster đș (@eclecticbrotha) April 1, 2024
Per CNN, “Trumpâs net worth plunges $1 billion as his media stock tumbles”:
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. Former President Donald Trump is the companyâs majority shareholder, and his net worth tumbled by more than $1 billion Monday as a result.
The figures underscore why some experts warn Trump Mediaâs multibillion-dollar valuation defies logic and is reminiscent of the meme stock craze.
In a regulatory filing on Monday, Trump Media said it lost $58.2 million in 2023, compared with a profit of $50.5 million in 2022…
Former President Donald Trump owns a commanding stake of 78.8 million shares in the newly public company. At Monday afternoonâs prices, that stake is now worth approximately about $3.8 billion. This represents a massive boost to Trumpâs net worth, though it is down significantly from a peak of about $6.3 billion just last week.
The losses disclosed Monday are so severe that Trump Mediaâs accountants warned at the time they âraise substantial doubt about its ability to continue as a going concern,â which is Wall Street for: We may not be able to stay in business. That warning echoes one made in November when accountants said Trump Media might not survive unless it soon completes its merger to go public…
The problem for Trump Media is its main product â Truth Social â is shrinking.
Monthly active US users on iOS and Android plunged in February to 494,000, down 51% year-over-year, according to Similarweb. By comparison, X has 75 million monthly active US users. Even Threads has more than 10 times as many users as Truth Social, according to Similarweb…
I think theyâre trying to get in the record books for the worldâs largest Ponzi scheme, but the cryptocurrency elites have already beat them to that.
— Lonnie Hammack (@hammackl) April 1, 2024
Trump getting your 1/6 suspect uncle to invest his life savings in Truth Social https://t.co/4oTHUbiINd pic.twitter.com/DVte4VTV4W
— zeddy (@Zeddary) April 1, 2024
Per the Washington Post, “Trump Media stock plunges as 2023 Truth Social loss put at $58 million”:
… The new financial figures throw into stark relief the gap between Trump Mediaâs highly hyped investor-driven valuation on the public stock market and the reality of its business performance.
They also raise questions about the possibility that Trump could use the company as a financial lifeline. Trump cannot sell his shares or use them as collateral for a loan for six months due to a provision in the companyâs merger agreement, known as a lockup.
The companyâs board could vote to waive that requirement but has yet to do so, the filings state. Cashing out early could sink the stock price further by flooding the market with shares and undermining investor confidence in Trumpâs commitment to the brand, financial analysts said.
Trump, who invested no money in Trump Media, was given 78 million shares of the company last week and stands to earn tens of millions more over the next three years if the stock stays above $12 to $17, a filing shows.
Trump Media said in a filing that it expects to incur more âoperating losses and negative cash flowsâ as it works to expand its user base but that it expects its growth will come from Truth Socialâs âoverall appeal.â…
You have no idea how many morons will throw more money down our rathole!…
This is a classic example of a âPUMP AND DUMPâ!!!
The price of the stock goes up on hyped up news then the insiders sell off their shares, stock price goes down and the public is left with the losses!#FraudGuarantee https://t.co/LpkETHzU73
— Lev Parnas (@levparnas) April 1, 2024
Monday Evening Open Thread: The (Latest) Trump Pump & DumpPost + Comments (109)