DJT Stock: Donald Trump’s media company, Trump Media & Technology Group (DJT), experienced a steep sell-off on Thursday, with DJT stock extending a two-day slide that erased more than $3 billion from its market value. DJT shares dropped approximately 15% on Thursday following a sharp 22% drop the previous day, marking the stock’s most significant single-day loss. The recent plunge has put the stock back on a turbulent path, fueled by high-stakes election speculation and uncertainty surrounding Trump’s presidential bid.
Analysts point to the stock’s vulnerability as Election Day nears, with DJT shares acting as a “binary bet” on Trump’s election chances, according to Matthew Tuttle, CEO of Tuttle Capital Management. Tuttle currently holds put options on DJT, viewing the stock’s trajectory as tied directly to the outcome of the election. “If Trump wins, you might see the stock retract due to a ‘sell the fact’ reaction, but if he loses, it could go to zero,” he told Yahoo Finance.
The recent volatility has led to trading halts and increased scrutiny, with analysts noting that DJT has taken on the characteristics of a meme stock. Steve Sosnick, chief strategist at Interactive Brokers, highlighted the “life of its own” volatility surrounding DJT stock, cautioning that large swings are likely to continue as election sentiment fluctuates. Betting markets and prediction sites like Polymarket and PredictIt are tilting toward Trump, although national polls still show a tight race with Democratic candidate Kamala Harris.
Trump Media’s fundamentals also remain in question, adding to investor uncertainty. In Q2, DJT reported a $16.4 million net loss, with revenue down 30% year-over-year, reaching just under $837,000. The stock’s decline earlier this year followed the expiration of its SPAC lockup period, leading to sell-offs amid tighter polls and market challenges.
With shares now hovering around $35 and a market cap of approximately $7 billion, Trump’s 60% stake equates to $4.2 billion. As DJT stock continues to oscillate, many will watch closely to see if Trump’s election outcome stabilizes or further unsettles his media company’s performance.
