Shares of Truth Social owner Trump Media & Technology Group tumbled 12% on Friday, sinking to their lowest level since the company went public last week.
The selloff has erased nearly $2 billion from the value of former President Donald Trump’s stake in the company this week.
Trump Media shared surged to as high as $79.38 on March 26, the day trading began on the Nasdaq under the ticker symbol “DJT.”
Since then, the Truth Social owner’s share price has plunged by 49% to the closing price of $40.49 on Friday.
Trump Media’s shares have lost about a third of their value this week. Despite this week’s losses, Trump Media shares have still spiked by more than 130% so far this year.
View this interactive content on CNN.comTrump’s personal stake in the company is now valued at about $3.2 billion. That’s down from $4.9 billion at the end of last week.
Trump Media recently disclosed losing $58 million last year on very light revenue of just $4.1 million. The financial results underscore concerns raised by some experts that the company is being vastly overvalued by Wall Street.
Barry Diller, the billionaire chairman of Expedia and People Magazine owner IAC, told CNBC on Thursday that Trump Media is a “scam” and people buying the stock are “dopes.”
“I mean, it’s ridiculous,” Diller said on CNBC. “The company has no revenue.”
A Trump Media spokesperson denounced critics of the company.
“It is unsurprising to see die-hard Trump haters and leftwing flacks blow a gasket now that Truth Social has become a public company that, still today, refuses to suppress political expression that contradicts the narratives they want to enforce,” Shannon Devine, a Trump Media spokesperson, said in a statement to CNN
