Trump Media & Technology Group’s stock is tumbling again after the company announced a massive new influx of shares. The struggling company is rapidly losing money, and a new stock offering could help it stay afloat.
But there’s a downside to going back to the market with new shares: A new public stock offering of 21.5 million shares announced Monday would add more than 15% more stock to the publicly available shares of the Truth Social owner. That would substantially devalue existing shareholders’ stakes — including that of former President Donald Trump.
Shares of TMTG (DJT) fell more than 15% Monday. The stock had rocketed higher in recent months in anticipation of merging a blank-check acquisition company with Trump’s media business. But it has lost more than 60% of its value from its peak on March 26, the day after the merger was completed and it started trading publicly as TMTG.
Anyone know the easiest way to short this stock?
As a general rule, if you’re hearing about something from the news, it’s already too late to profit from it.
This might be the exception, but I’d temper any expectations accordingly.
It’s supposedly the most shorted stock on the market, which I think means it’s going to be damn difficult to turn any sort of profit on it.
Just add DJT to the stock tracker app on your phone and pay yourself in schadenfreude as it rapidly and inevitably approaches zero.
The short answer is, don’t bother. The premiums are so baked in that it will tank, that you’d be lucky to make any money.
Something something options are the way forward something wallstreetbets
Just stop fucking around and buy SPY.
Just buy puts. You can buy them right now.
Buying puts are crazy expensive, showing just how shitty the stock is. For all puts a month out, it’s gotta lose 25% of its current value just to break even.
With that being said, it’s probably a safe bet.