Trump Loses $1 Billion in Net Worth as Short Sellers Bet DJT Stock Will Collapse: A Closer Look

Donald Trump's net

worth

plummeted by more than $1

billion

after the

stock

price of his struggling social media company fell more than 20% amid huge losses in a legal battle between Trump and his co-founders, and now investors are betting millions that the company

will

collapse

. To learn more about this, it's time for "A Closer Look." ♪♪ Presidents of both parties love to brag about the success of the

stock

market. In fact, Trump cares so much about the performance of the stock market that he has tried to take credit for its success after leaving office. But even its biggest supporters, like Fox host María Bartiromo, don't believe it. -Biden's team can say, well, if things are so bad, how come the stock market is on a roll? -Because they think I'm going to be chosen. -Do you think the stock market is going up because people believe you

will

be elected? -Yes Yes. -Not even María Bartiromo believes it.

Look at her face. She is so surprised that she turned into Rudy. By the way, if you invested $20 in us using the Rudy Eyes chart five years ago, you would be a millionaire right now. That's the face you make when a friend tells you that the Mets are going to win it all this year. "Do you think the Mets are going to win the World Series?" "Yeah, yeah. They started 0-5 on purpose, to lull the rest of the league into a false sense of security. And then, when everyone lets their guard down, they pounce on it... and they just lost again.

Oh. ..It's all part of the plan." All presidents do this. Trump just takes it to absurd extremes, as he always does. But the stock market is not the real economy. On the one hand, the richest 10% of Americans own 93% of the stocks. Although you don't need a study to tell you that. Just go to any dinner party in Manhattan. I can't tell you the number of times I've sat next to someone talking to me about margin calls and options trading, and I don't know what any of those terms mean, which is why every time I'm invited to a Now at Dinner, I always RSVP with a note that says, "Please seat me next to your dumbest guest." "Oh, and there's my name tag.

Oh, hello, Mr. Mayor." "Are you going to eat the bun? If not, I'll take it home in my pocket." The stock market doesn't fully reflect the underlying health of the economy, and there's no better current example of that than Trump Media and Technology Group, the parent company of Trump's small, troubled Twitter scam, Truth Social. When the company went public last week, it skyrocketed to shocking levels, even though it lost money and users, which in turn vastly inflated Trump's net

worth

on paper. -More breaking news tonight about Donald Trump. His media company, which of course includes Truth Social, soared on its first day of trading on NASDAQ, rising 56% at one point during trading to $78 per share before closing at $58. -Trump now owns 60% of the new Trump media company, or approximately $78 million per share, a stake that, on paper at this point, is worth $4.6

billion

. -The more stocks rise, the higher Donald Trump's net worth.

As of yesterday's close, Trump's net worth, according to Bloomberg, was just over $7 billion. On Monday alone it increased by $4 billion. -That's how it is. Trump's net worth increased by $4 billion in one day. Here's actual footage of me waking up to that news. -He can't continue getting away with this! -Now, to be clear, that's just on paper. These are unrealized achievements. Donald Trump can't spend or borrow that money yet, even though you know Donald Trump doesn't see it that way. When Trump found out that his net worth had increased by $4 billion, he immediately ran out, buying a Ferrari, a pool of Scrooge McDuck money, and a beautiful new head of hair.

The only way Trump would admit the money wasn't real is if Rudy asked Trump to pay his outstanding legal bills. "I made 4 billion dollars this week, honey." "That's great boss. Now you can finally pay me?" "Actually, Rudy, that's just on paper. Those are unrealized profits that I legally can't spend or borrow until the six-month lock-up period has expired, or until the board votes to allow me to withdraw money. I'm heartbroken , Rudy, I really am." "Oh, I'll be fine, boss. Seth Meyers gave me the muffin from him." Again, this is all paper money so far. It's not real yet.

Just as easily as Trump's net worth rose and fell again, which is partly what happened on Monday when the stock price fell. -Truth Social hit the NASDAQ hard last week, but is now taking hits. The stock, which trades as DJT, lost approximately $4 billion in value in its first week of trading. -The company's shares fell more than 20% and Donald Trump's net worth fell by more than $1 billion. -That's right, his net worth fell by a billion dollars in one day. He basically lost all of Taylor Swift's net worth. And by the way, she got that money. That's not theoretical.

He can buy private jets with his debit card. And she made that money writing and acting, not by putting her name on a Twitter scam that made her lose money. Although he could definitely do that. He would be the first in line to sign me up for a new social media app called TayTok. I do that. I would do that. So why did stocks suddenly start sinking? Well, reality probably caught up with him. The company's value was completely divorced from its underlying business. -So here are the latest figures that worry investors. Truth Social's owner, Trump Media, lost $58 million last year and generated very, very little revenue, just $4.1 million.

And some of this is not surprising, because we know that Truth Social is struggling. I mean, it's shrinking. US monthly active users on iOS and Android decreased 51% year over year. I think all of this just underlines why there are a lot of warnings about this stock, right? A teacher told me it's a bubble. Another basically called it meme stock. -There is no way for Trump to know what a meme stock is. He probably doesn't even know the word "meme." "I own it and it has my name. It's a yo-yo action." Thus, the company lost 58 million dollars and more than half of its users.

And yet, when it went public, it was initially valued at more than $7 billion. I'm sure you're wondering, how is that possible? Well, actually there is a perfectly reasonable explanation, but it involves a lot of complex financial jargon and some obscure and very technical macroeconomic principles that will take me a long time to explain, so do your best to follow it. Ready? The stock market is bullish. By calling it a meme stock, experts are basically comparing Trump's stock to GameStop, a stock whose price online investors inflate beyond its underlying value. But in the case of GameStop, at least there was a real deal.

Here's how a commenter on the infamous WallStreetBets subreddit explained the situation. "If you invest in this long enough, you'll lose everything. If you think Donald Trump is going to create a revenue-positive social media platform, you're a complete moron." Now, to be fair, that's not just one guy's opinion. He is quoting the company's slogan. Agree or disagree, you have to love the hard wisdom of Reddit investors. Journalists and financial experts from major media outlets carefully parse his words and say things like, "The fundamentals of the business do not support the current market capitalization of the publicly traded securities." If Reddit guys ran CNN, the headline would read: "This is worthless, mother." And here is the real sign that everyone knows that Trump's actions are actually worthless.

Investors are betting against it. "The New York Times" reported this week that "traders are betting millions that Trump's media will fall." In fact, Truth Social's parent company is a popular target for

short

sellers

. Short

sellers

bet that the price of a stock will fall. They do this by borrowing shares of a company and selling them on the market, hoping to buy them back later at a lower price, before returning the shares to the lender and pocketing the difference as profit. Again, there's no way Trump understands any of that. He guaranteed that when Trump's aides told him that investors were

short

ing his stock, he thought they meant that short people were buying stock. "Look, I don't like the man, but I'll gladly take an investment from Ron DeSantis.

He can keep his profits in his little white boots. We love little white boots." And yes, as if Trump's stock needed any more reasons to go down in flames, on top of everything else, it's now the subject of a contentious legal battle in which Trump is basically trying to oust the company's co-founders so he can stay. with the actions for himself alone. -The former president is suing the co-founders of Truth Social in an effort to prevent them from holding shares in the company. The former president's lawyers claim Andy Litinsky and Wes Moss made a series of costly mistakes that delayed the company's IPO.

Trump's legal team asked the judge to strip both men of their shares in the company. This after Litinsky and Moss filed a lawsuit in February alleging that Trump and other leaders plan to dilute their shares before a merger, which would allow the company to go public. -How many court battles can a person have? This guy is in court more than this lady. This is what happened. Basically, these guys took the deal to Trump. They took the company public and, in the process, basically threw a few billion in paper money at it. And Trump is now thanking them by filing a lawsuit to take away their shares.

Dude, just take the W. Your company is worthless. This is like Alaska Airlines suing the passenger who sat next to the open door. "You should thank us for the extra legroom." The stock market is a casino. It is not the real economy. Trump's silly social media venture is just the latest example of that. And now investors are betting millions that stocks will crash. It's kind of like that scene from "The Social Network," except in this case, the only thing better than Trump losing $1 million is Trump losing... -$1 billion. This has been "A Closer Look." ♪♪ The news, right?

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