Trump Media & Technology Group announced today that after completing its business combination with Digital World Acquisition, trading of TMTG’s common shares will begin on the Nasdaq. At market open today, the ticker symbol switched from DWAC to DJT, which are Donald Trump’s initials and the same ticker symbol he used for the company that oversaw his now-shuttered hotel and casino business.
The stock surged about 56% at the open, to $78, then trading was briefly halted for volatility. Shares were up more than 39% to $69.58 in late morning trading.
Analysts and market observers have urged caution on Trump Media, with some calling it a “meme stock” at a $9 billion valuation disconnected from reality. The company continues to lose money and users on its primary offering, Truth Social.
Trump Media reported $3.4 million in revenue through the first nine months of last year, according to filings. The company lost $49 million over that same time period.
Michael Ohlrogge, an associate professor of law at the NYU School of Law, told CNN there is “no way to square the current stock price with anything that would be called a rational valuation for this company.”
While exact figures vary based on the stock price, Trump’s majority ownership in the company is worth in excess of $6 billion based on today’s skyrocketing share price — at least on paper. His shares, as well as those of other Trump Media executives, are subject to a six-month lockup post-merger. However, Trump could try to get an exception from the corporate board to access his stake, although a large stock dump by Trump would likely tank the share price.
Digital World shareholders last Friday approved the deal, which was announced nearly 2 1/2 years ago. Read more.
