After launching his social media platform, Truth Social, in 2022 as a response to being banned from Twitter (now X), Trump appeared committed to building his digital empire. However, his recent return to X for an interview with Elon Musk raises serious questions about the future of Truth Social and whether Trump is abandoning his platform to have a bigger megaphone.
Don't Miss:
Amid the ongoing EV revolution, previously overlooked low-income communities now harbor a huge investment opportunity at just $500.
Here’s the AI-powered startup that turns traders into influencers achieving 12% monthly growth – invest in it at only 10 cents per share.
Don’t miss out on the next Nvidia – you can invest in the future of AI for only $10.
After nearly a year of being inactive on the platform, Trump returned in full force on Monday, flooding the site with a wave of new posts. He followed this up with a two-hour chat with Musk, plagued by glitches. The conversation became unfocused and repetitive, leaving the audience baffled and asking, “What did we just listen to?”
This move shouldn’t be surprising for those who invested in Trump Media & Technology Group, the company behind Truth Social. The company’s financial reports have warned of possible risks for a while, especially because a rule allows Trump to share his political messages on any social media platform he wants. This means Trump can freely use a bigger platform like X without worrying about how it affects his own company or its investors.
Trending: This startup’s stem cell research aims to reduce reliance on animal testing — Sees 55% uptick in YTD sales and only costs $3 per share for early investors.
The consequences have been harsh. After Trump returned to X and had a disappointing interview with Musk, Truth Social’s stock, Trump Media & Technology (NASDAQ:DJT), took a big hit, dropping to almost its lowest level in four months. Trump Media has lost billions in value since it first launched. Its stock price dropped from an all-time high of $97.54 to just $23.97 at the time of writing. The company's financial situation looks bleak, with nearly $16 million in losses reported for 2023 and high-interest expenses.
Despite these worrying figures, Devin Nunes, the CEO of Trump Media and a former U.S. House member, insists that the company is still “well positioned” because it has no debt and a platform millions of people use. “Why are we well positioned? Because we have no debt,” Nunes told Fox News. “We’re coming out of this with no debt, a platform that works really, really well that communicates to millions of people, and then we have $200 million in the bank.”
Trending: This Jeff Bezos-backed startup will allow you to become a landlord in just 10 minutes, and you only need $100.
However, Nunes didn't provide any timeline for when the company might become profitable, which leaves investors feeling unsure and uneasy.
Trump's recent moves show he’s under pressure and perhaps ready to let go of Truth Social to stay in the spotlight for the 2024 presidential race against Kamala Harris.
Read Next:
This new startup venture is the future of automated convenience stores — read more about why these $10 pre-IPO shares are so valuable before the offer closes in just 10 days.
Amid the ongoing EV revolution, previously overlooked low-income communities now harbor a huge investment opportunity at just $500.
"ACTIVE INVESTORS' SECRET WEAPON" Supercharge Your Stock Market Game with the #1 "news & everything else" trading tool: Benzinga Pro - Click here to start Your 14-Day Trial Now!
Get the latest stock analysis from Benzinga?
This article Is Trump Panicking And Throwing Truth Social Under The Bus Since He Agreed To Interview On X With Musk? originally appeared on Benzinga.com
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.