Donald Trump’s acolytes gathered at Mar-a-Lago Wednesday night to celebrate the public listing of his social media company, even as the company’s shares continued to plummet. Under the Palm Beach sky, right-wing radio host Sebastian Gorka sucked a cigar, actor Jon Voight posed for photos and country singer-turned-Bible salesman Lee Greenwood sang his searing hit “God Bless the USA.” At the end of the song, he and the former president took a bow.
In a speech, Trump encouraged investors to stay calm. “We have over $200 million in cash, which is very liquid,” he said, according to a Right Side Broadcasting Network reporter in attendance.
On Trump’s social network, Truth Social, the atmosphere is less exuberant. “Man, I really thought we were going to see a jump today. Especially after last night’s party. There is always tomorrow,” lamented an Internet user Thursday morning.
“Doesn’t it seem strange that the price is falling steadily every day? Haven’t seen a green day in a while,” wondered another.
Shares of Truth Social’s parent company, Trump Media and Technology Group, have fallen more than 50% since late March as the company’s dire financial situation has become clearer. Last year, it generated just $4.1 million in revenue and posted a loss of $58.2 million.
Even after its collapse, the company is still worth more than $4 billion on paper, a figure that defies normal valuation metrics. Trump loyalists have helped keep the stock afloat to support him financially, although TMTG remains heavily shorted by investors who believe its shares will continue to fall.
On Truth Social, retail investors encourage each other to keep the faith. “When the whole world is determined to ruin you with everything they have, that’s a good sign that you’re probably on the good side of things,” one person wrote Thursday.
Another user sought to compare TMTG to high-growth tech companies: “I don’t understand all the concern over this stock’s decline. All the big stocks were very low to begin with,” the person said. “This has been an actual stock for less than a month. I am bullish on (Truth Social) and will continue to hold and buy when I can.
Other users speculated that the Mar-a-Lago event was proof that the company was about to hit a milestone. Why else would leaders and bigwigs gather for a raucous party? “I think there will be something happening very soon, and they are all excited. Something they worked very hard for. An important milestone for the team,” one of the believers wrote. “I hope we find out very soon.”
Trump owns the majority of Truth Social’s shares, although he is suing to gain more control. In a lawsuit filed last month, he argued that his two co-founders, who were previously contestants on his reality show The apprentice– had underperformed in their roles and did not deserve their 8.6 percent stake.
Former partners Andy Litinsky and Wes Moss filed their own lawsuit, alleging the company attempted to unfairly dilute their stakes. They are also seeking to challenge a six-month lock-up clause regarding the sale of their shares.
Some Truth Social users are accusing the mainstream press of “spreading lies” about the company, as one person described it. And despite the nervousness over falling stocks, many have pledged to continue buying stocks.
“I just met with my broker yesterday and asked him to move $10,000 from my Roth IRA, which we had left dormant for some sort of extra “emergency fund”, into $DJT stock!” » said one user excitedly. “This is the only time I hope the price drops so I can get as many shares as possible!”
Another chimed in: “I’m not going to be able to sleep tonight. If you persevere, I think you will be greatly rewarded. I believe God directed me here.
News Source : www.thedailybeast.com
Gn bussni
