Trump is close to selling his shares in Truth Social’s parent company, but will he do it?

Following yesterday’s debate between Donald Trump and Vice President Kamala Harris, shares of Trump Media & Technology fell 17 percent in early trading on Wednesday.

The former president can begin selling shares in Truth Social’s parent company next week if he so chooses, after a lock-up period ends on September 19, if he so chooses. The lock-up period prevented company insiders from selling newly issued shares for six months.

According to a recent filing with the U.S. Securities and Exchange Commission (SEC), Trump owns nearly 115 million shares of the company. Based on Tuesday’s closing price of $18.04, Trump’s shares are worth about $2 billion.

The question remains whether Trump will decide to sell some of his shares. Although he would be guaranteed a substantial settlement, the shares are now worth significantly less than they were a few months ago. When Truth Social & Technology Group Corp. debuted on the Nasdaq in March, the share price reached a high of $79.38.

In morning trading, shares changed hands at $15.45 each. The price movement also comes after Taylor Swift endorsed Harris as a presidential candidate shortly after the debate ended.

Trump Media operates the social media platform Truth Social, which Trump founded after his suspension from Twitter and Facebook following the Capitol riots on January 6, 2021. The Sarasota, Florida-based company is loss-making and struggling to increase revenue. It lost nearly $58.2 million last year and generated just $4.1 million in revenue, according to regulatory filings.

Trump Media shares are being referred to by some market experts as meme stocks, a nickname for stocks that generate buzz online and sell for far more than the value traditional analytics predict for them. The shares have fluctuated in recent months, with trading driven largely by individual investors, who are typically considered less sophisticated than day traders.