Former US President Donald Trump is no longer among the world’s richest 500. His name is no longer included in the Bloomberg Billionaires Index, which rates the world’s 500 richest people on a daily basis.
Trump’s name was taken from the list after the stock price of his social network company, Truth Social, dropped dramatically recently. The company’s shares fell 12% on Friday, 8% on Monday, and 4.8% on Tuesday before recovering slightly to settle at $37.47, suggesting a minor 0.8% increase for the day. However, this represented a significant loss of more than 50% from the peak in late March. The fall occurred when Trump Media merged with Digital World Acquisition Corp and began trading under the ticker DJT on March 26, according to a story from USA Today.
This decreasing trend in stock value has resulted in a considerable fall in Trump Media’s market capitalization, which was once valued at roughly $8 billion following its market debut. Trump, who owns around 60% of the company’s shares, or 78.75 million, saw the value of his stake rise to around $6 billion following the IPO, briefly earning him a spot on the Bloomberg Billionaire Index.
However, recent estimates place Trump’s investment closer to $3 billion, significantly altering his total net worth, which Forbes placed at $4.8 billion on Tuesday afternoon, ranking him as the world’s 653rd richest individual. This value falls below the Bloomberg Index’s current minimum net worth criterion of $5.81 billion.
Trump Media’s shifting stock prices have matched major fluctuations in Trump’s net wealth, with recent estimations placing the firm at $5 billion. This price contrasts sharply with the company’s financial performance in 2023, which showed a loss of more than $58 million against a sales of $4 million. Critics argue that Trump Media is overvalued in comparison to other social media platforms, citing Trump supporters’ investments.
An audit firm earlier expressed alarm about the company’s significant operational losses, putting question on its long-term viability. Despite criticism, Trump maintains unwavering in his support for Truth Social, emphasizing the company’s stability and growth potential and expressing optimism about its future possibilities.