The value of Trump Media’s inventory is “absurdly outside the realm of general business,” according to LinkedIn co-founder Reid Hoffman.
Speaking to CNN on Tuesday, Hoffman highlighted the $6 billion peak valuation of Donald Trump’s media company, even as its shares have fallen since it went public after its public offering via SPAC in March.
Trump Media is worth only a fraction of LinkedIn, which it bought for $26 billion in 2016. However, the company’s valuation remains questionable, Hoffman said. For reference, TMTG only made $4. 1 million last year and lost $58 million, according to its monetary statements.
“It’s incredibly high,” Hoffman said of its market value. “Trump Media is probably more valued at about $40 million than billions. “
DJT shares jumped 20% on Monday, marking one of its most productive daily gains since its IPO. They rose 7% as the market headed into Tuesday’s final bell.
Investment experts have raised the alarm on the former president’s social media site, as they monitor the company’s monetary losses and low number of users. Earlier this year, the company tried to shift the blame for the market downturn to two of its co-founders, saying executives had “significant damage” to the company ahead of its IPO.
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