Donald Trump Suffers $2.4 Billion Loss as DJT Shares Plummet

Trump Media & Technology Group has had a wild stock market ride this month. After quadrupling in price just days before, the stock on Thursday plunged as much as 39% since its intraday high on Tuesday. The two-day decline has shaved more than $2.4 billion from former President Donald Trump's stake in the business, which trades under the ticker DJT, the same as his initials.

Trump Media, which owns the Truth Social app, shed $5.35, or 13.4%, to $34.68 in early afternoon trading on Thursday, after touching an intraday low of $33.41. That comes after a 22% tumble on Wednesday, which followed more than five weeks of market gains, sending the shares to a Tuesday intraday high of $54.68.

Because of their volatility, DJT has earned comparisons to meme stocks, or companies that trade on social media buzz rather than revenue growth or profitability, investors' favored yardsticks. Despite Truth Social's declining revenue and large losses, Trump Media shares surged for much of October as polls in the presidential race tightened and as betting markets such as Polymarket predicted odds in Trump's favor to win.

It’s not exactly clear what sparked the two-day sell-off, but DJT shares have attracted a number of speculators and short sellers, with the latter betting the stock would fall. Some of the October surge in DJT shares could have come from short sellers forced to cover their bets, which requires them to buy stock and create a so-called short squeeze, which can send shares higher, according to research group S3 Partners.