Trump Media Plans $400 Million Stock Buyback Amid Steep Decline
President Donald Trump’s media venture, Trump Media and Technology Group, announced a significant move to repurchase up to $400 million of its shares. This decision comes as the company’s stock has plummeted by nearly 46% so far this year.
Share Buyback Could Boost Financial Flexibility
The company, which runs the Truth Social platform, revealed on Monday that it intends to retire the repurchased shares. This means these shares will be permanently removed from circulation, effectively reducing the total shares outstanding. Such moves typically aim to enhance shareholder value by tightening supply in the market.
Shares of Trump Media rose modestly by just over 2% following the announcement. Donald Trump himself remains the largest shareholder, holding approximately 114 million shares. However, the stock has been on a consistent downward trend since hitting its peak roughly a month after the company’s public debut in March 2025.
Significant Financial Challenges Highlighted
Earlier this year, Trump Media reported a loss of $400.9 million for 2024, alongside a 12% drop in annual revenue, which fell to $3.6 million. These figures underline the company’s ongoing financial struggles amidst an increasingly competitive media landscape.
Trump Transfers Majority of Shares to Trust
Following his victory in the 2024 U.S. presidential election, Trump transferred all his company shares, valued on paper at around $4 billion, to the Donald J. Trump Revocable Trust. His holdings represented more than half of the company’s total stock.
Buyback Separate from Bitcoin Treasury Strategy
Importantly, the announced share repurchase will be funded independently of Trump Media’s ongoing Bitcoin treasury initiative. Under that program, institutional investors are expected to purchase $2.5 billion worth of company stock, with proceeds earmarked for building a substantial Bitcoin reserve.
Trump Media’s approach mirrors other firms, such as software firm MicroStrategy, which are similarly expanding their Bitcoin holdings as part of corporate treasury strategies.
The share buyback reflects a strategic effort to stabilize Trump Media’s stock and bolster its financial posture amid turbulent market conditions and evolving investor expectations.