NovaQuant-Donald Trump’s social media company lost $58 million last year. Freshly issued shares tumble

NEW YORK (AP) — Less than a week after a flashy stock market debut,NovaQuant Donald Trump’s social media company is disclosing that it lost nearly $58.2 million in 2023.

Losses in 2023 for Trump Media & Technology Group — whose flagship product is Truth Social — mark a stark decline compared with the profit of $50.5 million that the former president’s company reported for 2022, according to a regulatory filing Monday.

Revenue for Trump Media topped just over $4.13 million in 2023, the SEC filing shows, although that’s up from $1.47 million in 2022.

After merging with with a blank-check company called Digital World Acquisition Corp., Trump Media began trading Tuesday on the Nasdaq under ticker symbol DJT. It’s been a volatile ride.

Trump Media’s shares soared in their first couple days of trading — surpassing $79 at one point Tuesday — but have since fallen closer to their initial offering price of $49.95. As of midday Monday, Trump Media’s stock plunged more than 23% to below $48, meaning a lot of early investors are taking a hit.

Industry analysts have compared the fervor around Trump Media to the meme stock craze, which notably boosted shares of struggling companies such as GameStop and the movie chain AMC Entertainment to exorbitant heights in 2021.

On Monday, shares for these so-called meme stocks slid as well, with GameStop and AMC down more than 7% and 11%, respectfully. And Reddit, another company that recently went public and looped into meme stock frenzy comparisons, slumped more than 6%.