Trump social-media stock 'DJT' has slid more than 30% over the past 5 days

By Bill Peters

Trump Media shares have fallen in nine of the past 10 trading sessions following Donald Trump's conviction and amid a new dilution risk

Shares of Trump Media & Technology Group Corp. continued to fall on Thursday, after regulators this week cleared former President Donald Trump's social-media platform to take steps that risked diluting shareholders.

The stock (DJT) closed down 14.6% on Thursday and has fallen for five straight trading sessions, shedding 33.9% over that span. Trump Media shares have also declined in nine of the past 10 sessions. Trump himself owns a majority of the company's outstanding stock.

Trump Media - which runs the Truth Social online platform and has said it plans to move into streaming - said Tuesday that regulators had allowed some of its investors to resell certain securities and made certain warrants available for exercise, potentially increasingly the supply of shares overall and, in turn, lowering their value.

Shares spiked following the company's market debut in March via a merger with the special-purpose acquisition company Digital World Acquisition Corp. But they have moved lower since Trump was found guilty last month in his criminal hush-money trial in New York.

Trump Media's stock is still up 53.8% so far this year. But the company has claimed that trading irregularities in the stock are "growing even more severe," and has called on lawmakers to investigate the possibility of market manipulation. The company has been looking into an illegal form of short selling, but some data suggest its claims don't add up.

Chief Executive Devin Nunes, a former Republican congressman, continued to press the issue on Thursday in a letter to the chairmen of several congressional committees. The letter was a follow-up to previous ones sent by Nunes on April 23, May 1, May 15 and June 6.

In Thursday's letter, Nunes urged the lawmakers to seek more information from the Options Clearing Corp., an organization that helps clear trades for options and futures.

Read on:

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-Bill Peters

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06-20-24 1706ET

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