Trump Media shares drop below $20 for first time

Trump Media, the company primarily owned by former President Donald Trump, has seen its stock price drop below $20 per share for the first time since going public. The stock reached a low of $19.38 around midday on August 28, 2024, marking a significant decline of over 75% from its peak on March 26, the day it debuted on the Nasdaq. The company ended the trading session at $20.10, down more than 4%. This decline follows a recent surge in stock value after Trump narrowly survived an assassination attempt during a campaign rally. However, the company has lost more than half its value since that spike. Trump Media's financial struggles are evident, as it has reported substantial losses and minimal revenue generation, raising concerns among investors. Trump owns nearly 59% of the company, which is still valued at over $2.2 billion despite the stock's decline. A lock-up agreement currently prevents Trump and other insiders from selling their shares, but this agreement is set to expire on September 20, leading to speculation about potential stock sales. The stock's performance is closely tied to Trump's political fortunes, especially as he campaigns against Democratic Vice President Kamala Harris. The company has also entered an agreement with Yorkville Advisors to potentially issue up to $2.5 billion in stock, aiming to secure capital for future strategic opportunities in the market.