Trump Media & Technology Group Corp. has lost a lot of money in a short time, around $4.5 billion. But even with this loss, there’s still a chance for former President Donald Trump and others in the company to get a big bonus.
They might get 40 million new shares if the stock stays at a certain price, even though it dropped by 59% from its highest point.
This kind of deal is common in special company deals and could make the current shares worth less, but it means big money for insiders if the stock stays above $17.50 for a while.
Challenges, Wealth, and Legalities
Trump and his co-founders could still make a lot of money, about $1.3 billion, even though the stock price keeps changing.
The deal they made protects them a bit: they can still get some money even if the stock price drops below the starting goal, as long as it stays above certain levels.
This deal shows how complicated money stuff can be and how much money they could make on paper, but they can’t get the cash right away. They have to wait for six months and be careful not to make the market go crazy by selling too many shares at once.
Financial Struggles and Legal Battles
People are talking about Trump Media’s worth and its stock, which is like what happened with meme stocks in 2021.
The company doesn’t seem financially healthy, losing over $55 million last year and not making much money.
But its value on the stock market is high anyway. Also, Trump is dealing with legal problems, like a lawsuit from co-founders who say he’s trying to make their shares worth less, and he has some criminal trials coming up.
All these things make it hard to predict what will happen to the company and its stock.