Trump Media’s Turbulent Quarter: Losses Mount and Revenue Slumps
Surprise Filing Reveals $19.2 Million Loss
In a surprise move, Trump Media, the parent company of Truth Social, released its third-quarter earnings report on Election Day, catching investors off guard. The results were far from impressive, with a staggering loss of $19.2 million and a 5.6% decline in revenue to a mere $1.01 million.
Volatile Trading Activity
The company’s stock, trading under the ticker DJT, has experienced extreme volatility in recent weeks. Despite an 18.6% surge earlier in the day, shares closed 1.2% lower. However, the stock could still move significantly in after-hours trading or on Wednesday, depending on the election outcome.
Year-to-Date Performance
Despite the recent slump, Trump Media’s stock is still up an impressive 93% year to date. However, over the past week, it has lost more than 34% of its value. Volume in the name on Tuesday was more than double its average 30-day volume.
Financial Highlights
Trump Media reported a net loss of $363 million for the first nine months of 2024, along with revenue of $2.6 million. On the bright side, the company ended the third quarter with a substantial $673 million in cash and investments, and no debt.
CEO’s Optimistic Outlook
CEO Devin Nunes remains upbeat, stating, “This has been an extraordinary quarter for the Company.” Trump Media is continuing to explore additional growth opportunities, despite the current challenges.
Uncertainty Ahead
As the election results unfold, investors will be closely watching Trump Media’s stock performance. Will the company’s fortunes change with the political winds, or will it continue to face significant headwinds? Only time will tell.
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