Trump Media & Technology Group (NASDAQ: DJT) saw its shares plummet 5.07% in pre-market trading on Monday, following news that former President Donald Trump moved a significant portion of his stake in the company to a revocable trust.
According to a filing, Trump reported a 52.9% stake in DJT, and moved 114.8 million shares, valued at around $850 million, to a revocable trust. The move raised concerns among investors about Trump's future involvement and commitment to the company, which aims to challenge mainstream social media platforms with its Truth Social app.
Analysts suggest that the stock plunge reflects investors' uncertainty about the company's direction and leadership, as Trump's involvement has been a key factor driving interest in the company. While the reasons behind the share transfer are not entirely clear, it could potentially signal a shift in Trump's priorities or a desire to distance himself from the company's operations.
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