Biggest shareholder is Donald Trump who owns nearly 60% of its stock.
Company began public trading a day after it merged with Digital World Acquisition Corp.
Lost billions in market capitalization
Trump Media shares end week down nearly 20%
Trump Media shares end week down nearly 20%, losing billions in market capitalization, with the biggest shareholder being Donald Trump who owns nearly 60% of its stock. The company began public trading a day after it merged with Digital World Acquisition Corp., which was created to help a private firm go public.
Truth Social's parent company, Trump Media and Technology Group (TMTG), has fallen more than 50% since late March.
Last year, TMTG brought in just $4.1 million in revenue and posted a $58.2 million loss.
Shares of Truth Social have been heavily shorted by investors who believe its shares will continue to fall.
Trump loyalists have helped keep the stock afloat as a way to financially support him, though TMTG remains heavily shorted by investors who believe its shares will continue to fall.
On Trump's social media site, Truth Social, the mood is less ebullient than at the public listing party.
Some users on Truth Social are encouraging each other to keep the faith in the company and its stock.
Other users speculated that the Mar-a-Lago event was proof that TMTG is rounding a corner.
Trump owns a majority of Truth Social's shares, though he is suing to amass more control.
The former associates of Trump have filed their own lawsuit alleging that the company tried to unfairly dilute their stakes.
Some users on Truth Social blame the mainstream press for spreading lies about TMTG and its stock.
Accuracy
No Contradictions at Time
Of
Publication
Deception
(50%)
The article is deceptive because it does not provide any sources for the claims made by Trump or his associates. It also uses emotional language such as 'hyping', 'ruining' and 'spreading lies' to manipulate the reader's feelings without providing evidence. The article also implies that Truth Social is a high-growth tech company, which contradicts its actual financial performance and valuation.
Trump encouraged investors to keep calm in his speech at Mar-a-Lago: 'We have over $200 million dollars in cash, which is very liquid', according to a reporter from Right Side Broadcasting Network. This statement is deceptive because it does not specify where the cash comes from or how much debt the company has. It also ignores the fact that the stock price has been falling steadily since late March and that TMTG remains heavily shorted by investors who believe its shares will continue to fall.
Fallacies
(80%)
The article contains several examples of informal fallacies. The author uses an appeal to authority by citing Donald Trump's endorsement of the company as evidence that better days are ahead. This is a flawed argument because it assumes that the president's opinion on a matter should be taken as fact, without any consideration for his track record or qualifications in this area. Additionally, there are several instances where the author uses inflammatory rhetoric to stir up emotions and encourage readers to hold onto their faith in the company despite its financial struggles.
The author cites Donald Trump's endorsement of Truth Social as evidence that better days are ahead for the company. This is an appeal to authority fallacy because it assumes that the president's opinion on a matter should be taken as fact, without any consideration for his track record or qualifications in this area.
The author uses inflammatory rhetoric when he writes 'When the whole world is set on ruining you with everything that they have got, it’s a good sign that you are likely on the right side of things.'
Bias
(80%)
None Found At Time Of
Publication
Site
Conflicts
Of
Interest (50%)
None Found At Time Of
Publication
Author
Conflicts
Of
Interest (0%)
The author has multiple conflicts of interest on the topics provided. The article discusses investors and their investments in Truth Social, a company founded by former Trump advisor Sebastian Gorka. Additionally, the article mentions Donald Trump's involvement with Truth Social through his son-in-law Eric Trump's investment in the company.
Truth Social is a high-growth tech company that was founded by former White House adviser Sebastian Gorka and backed by investors including Eric Trump. The article mentions that the stock market has been volatile, with Truth Social's stock price dropping significantly.
Shares of Truth Social have been heavily shorted by investors who believe its shares will continue to fall.
Trump owns a dominant stake of 78.8 million shares in the company, which generates little revenue and is losing users.
Accuracy
Shares of Trump Media & Technology Group are in free fall. The Truth Social owner's share price dropped another 5% as of mid-day Friday, leaving it on track for a seventh losing day out of the past eight.
Anyone who bought Trump Media at the closing high of $66.22 on March 27 has now lost more than half of their money.
Deception
(30%)
The article is deceptive in several ways. Firstly, the title implies that all Trump stock investors have lost half their money when only those who bought at the closing high on March 27 have lost more than half of their money. Secondly, it states that anyone who bought Trump Media at the closing high has now lost more than half of their money without providing context for how many people this applies to or what percentage they represent. Thirdly, it quotes Shannon Devine stating that Truth Social created a free-speech beachhead against Big Tech but fails to mention any evidence supporting this claim. Fourthly, the article uses sensationalism by implying that Trump Media is being valued in billions of dollars despite losing $58 million on very light revenue and having a much steeper price-to-sales ratio than other companies. Lastly, it quotes billionaire Barry Diller calling Truth Social a scam without providing any evidence to support this claim.
The title implies that all Trump stock investors have lost half their money when only those who bought at the closing high on March 27 have lost more than half of their money.
It quotes billionaire Barry Diller calling Truth Social a scam without providing any evidence to support this claim.
It states that anyone who bought Trump Media at the closing high has now lost more than half of their money without providing context for how many people this applies to or what percentage they represent.
The article uses sensationalism by implying that Truth Social is being valued in billions of dollars despite losing $58 million on very light revenue and having a much steeper price-to-sales ratio than other companies.
Fallacies
(70%)
The article contains several fallacies. The author uses an appeal to authority by citing the opinions of experts without providing any evidence or context for their claims. This is a form of informal fallacy known as 'appeal to authority'. Additionally, the author makes use of inflammatory rhetoric when describing some critics as 'die-hard Trump haters' and calling them leftwing flacks. This is an example of ad hominem attack which is also considered an informal fallacy.
The only gain during that span was a tiny one of 0.8% on Tuesday.
Bias
(85%)
The article is biased towards the negative performance of Trump Media & Technology Group's stock. The author uses language that dehumanizes and demonizes anyone who bought the stock or supports it, such as calling them 'dopes'. Additionally, the author quotes a billionaire criticizing Trump Media without providing any context for their criticism. This is an example of monetary bias.
Shares of Trump Media & Technology Group are in free fall
<strong>Billionaire Barry Diller</strong>, the chairman of Expedia and People Magazine owner IAC, even told CNBC that Trump Media is a <em><i>scam</i></em> and people buying it are <em><i>dopes.</im></em>
The only gain during that span was a tiny one of 0.8% on Tuesday
Trump owns a dominant stake of 78.8 million shares in the company, which generates little revenue and is losing users.
Devin Nunes stated that Truth Social is a beachhead against Big Tech
Nobody really buys this line as the company loses money and has only one user who matters with no network effect to speak of except when users on competing platforms or traditional media pick up on Trump's posts
Deception
(100%)
None Found At Time Of
Publication
Fallacies
(75%)
The article contains several fallacies. The author uses an appeal to authority by stating that Devin Nunes' statement is a mission statement for Trump Media and then quotes Barry Diller calling the company a scam without providing any evidence or context. This creates the impression of credibility without actually supporting it with facts. Additionally, there are multiple instances where the author presents information in an inflammatory manner, such as stating that
Devin Nunes' statement is presented as a mission statement for Trump Media
The article is biased towards Trump Media and its stock price. The author uses language that dehumanizes the company by calling it a 'scam' despite no evidence to support this claim. Additionally, the author implies that investors are using Trump Media as an election market which is not supported by subsequent events.
Trump Media was recently valued at nearly $8 billion after it merged with a publicly traded SPAC.
. The title of the article is 'Trump tries to boost support for Truth Social as DJT stock tanks'.
. Donald Trump, in a post on Truth Social, urged his followers to support the app and its parent company.
Shares of Truth Social are down nearly 50% so far in April.
Accuracy
. Shares of Truth Social are down nearly 50% so far in April.
Deception
(30%)
The article is deceptive in several ways. Firstly, the author Kevin Breuninger presents a false premise that Trump is urging his followers to support Truth Social as its parent company's stock continues to sink lower. In fact, there is no evidence presented in the article that supports this claim.
The sentence 'Trump on Friday urged his followers to support his social media app Truth Social,' implies that Trump is actively promoting the app when he has not done so.
The price of Trump Media closed trading Friday down nearly 20% for the week.
Shares of Truth Social have dropped by 47.4% so far in April wiping out billions of dollars in the company's market capitalization.
Former President Donald Trump is the biggest shareholder in the company, owning nearly 60% of its stock.
Trump Media began public trading a day after it merged with Digital World Acquisition Corp.
There were fewer than 100,000 shares of Truth Social available to borrow to sell short.
Financing costs for short trades in Trump Media had sharply fallen, from 900% annual financing costs a week ago, down to 20%.
Trump on Monday is set to start jury selection for his criminal trial in Manhattan Supreme Court on charges of falsifying business records related to a 2016 hush money payment to porn star Stormy Daniels.
During trading that day, the company's market capitalization stood at $9.5 billion.
Accuracy
Traders who want to sell stock short must borrow shares to sell, with the expectation that they will later buy back the same number of shares at a lower price to return them to the lender.
Financing costs for short trades in Trump Media had sharply fallen, from 900% annual financing costs a week ago, down to 200%.
Trump on Monday is set to start jury selection for his criminal trial in Manhattan Supreme Court on charges of falsifying business records related to a 2016 hush money payment to porn star Stormy Daniels.
Deception
(50%)
The article is deceptive in several ways. Firstly, it states that the price of Trump Media shares closed trading Friday down nearly 20% for the week when in fact they only dropped by around 18 cents at $32.59 which is not even close to a 20% drop.
The article states that Trump Media on March 26 opened its first day of trading with a price of $70.90 per share and hit a high of nearly $80 later that same day, but it does not mention the fact that this was after merging with Digital World Acquisition Corp.
The article claims that DJT shares, which dropped by more than 8% within the first hour of trading Friday, eked out a slight gain by the end of the day. However this statement is false as they only gained around .5%.
Fallacies
(100%)
None Found At Time Of
Publication
Bias
(85%)
The article contains multiple examples of bias. Firstly, the author uses language that dehumanizes Trump Media by referring to it as a 'social media company' despite its primary focus being on a social media app. Secondly, the author quotes former President Donald Trump as if he is an expert in business and finance when his involvement with this particular company is purely financial. Thirdly, the article uses language that implies that Trump Media has been performing poorly financially which could be seen as biased given no evidence of poor performance was provided. Lastly, the author quotes a short seller who makes trades based on speculation rather than factual analysis.
Financing costs for short trades in Trump Media had sharply fallen, to 200%.
Shares closed up 18 cents at $32.59, an increase of around .5%. That closing price was more than $38 lower than what its shares first sold for when the social media company began public trading on March 26.
The price of Trump Media closed trading Friday down nearly 20% for the week.
Traders who want short Trump Media shares had to pay up to 900% in annual financing costs
