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Trump Media Stock Plummets Following Return to X

Trump's reappearance on Elon Musk's platform raises investor concerns about Truth Social's viability.

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Left: Republican presidential nominee Donald Trump gestures during a campaign rally held with Republican vice presidential nominee Senator JD Vance, in Atlanta, Georgia, U.S., Aug. 3, 2024. Right: Elon Musk, arrives before the start of Senate Majority Leader Chuck Schumer, Senators Rounds, Heinrich And Young hosting the Inaugural Artificial Intelligence Insight Forum With Key AI Stakeholders.
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Overview

  • Shares of Trump Media & Technology Group neared record lows after Trump's return to X.
  • The company's stock has lost more than half its value since going public in March.
  • Trump's decision to use X over Truth Social highlights the latter's limited audience reach.
  • Analysts express doubts about Truth Social's future profitability and market position.
  • Trump Media reported a significant quarterly loss, with revenues down 30% year-over-year.