- Trump family-linked stock falls on $82 million loss
May 7, 2026
American Bitcoin (Nasdaq: ABTC), the Trump family's Bitcoin (BTC) mining company, reported the financial results for the first quarter of the year on May 6.
The company generated a net loss of $81.79 million with a revenue of $62.12 million during Q1 2026, missing analyst estimates.
Earnings-per-share (EPS) stood at a loss of $0.08, against the estimated gain of $0.01.
Related: What is Bitcoin mining? Explained
The company's quarterly loss was primarily driven by mark-to-market accounting on its Bitcoin holdings as its price crashed 22% over the period.
Mining production grew to around 817 Bitcoin this quarter, up from around 783 Bitcoin in the last quarter.
Cost to mine one Bitcoin was nearly $36,200 this quarter, down from $46,900 a Bitcoin in the last quarter.
The company attributed the economic model to "higher production volume spread across a stable fixed cost base and continued energy pricing discipline."
Trending on TheStreet Roundtable:
Another crypto company dumps Bitcoin amid price crash MicroStrategy director sells company shares ahead of earnings Analyst predicts 35% upside for Dorsey's Block ahead of earnings
Highest quarterly Bitcoin production on record
It also increased its fleet from 78,000 Bitcoin miners and 25.0 EH/s capacity in Q4 2025 to 89,242 Bitcoin miners with 28.1 EH/s in Q1 2026.
Its digital asset holdings grew from 5,401 Bitcoin on Dec. 31, 2025 to 7,021 Bitcoin on March 31, 2026.
It recorded the highest quarterly production on record in Q1 2026, mining 817 Bitcoin. It also acquired 803 Bitcoin through strategic treasury purchases during the quarter.David Bailey (L), CEO of BTC Inc, and Eric Trump, third child and second son of US President Donald Trump, leave after speaking during the Bitcoin Asia 2025 conference at the Hong Kong Convention and Exhibition Centre in Hong Kong on August 29, 2025.Getty Images·Getty Images
“Just over a year ago, American Bitcoin did not exist," American Bitcoin co-founder and chief strategy officer Eric Trump said. "Today we hold over 7,300 Bitcoin and stand among the largest publicly traded Bitcoin companies in the world."
However, the company's failure to meet analyst estimates and disappointed investors.
Following the news, the ABTC stock fell more than 6.5% to trade at $1.16 at the time of writing.
Related: Popular Bitcoin miner sells entire treasury
This story was originally published by TheStreet on May 7, 2026, where it first appeared in the MARKETS section. Add TheStreet as a Preferred Source by clicking here.
View Comments
- American Bitcoin Q1 Earnings Call Highlights
May 6, 2026
American Bitcoin logo
Key Points
American Bitcoin expanded capacity and production, reporting about 90,000 miners and roughly 28.1 EH/s after Drumheller came online, and mined 817 BTC in Q1 (a monthly record of 286 BTC in March). Revenue fell to $62.1 million from $78.3 million due to lower Bitcoin prices, but unit economics improved with cost to mine around $36,200 per BTC and a mining gross margin of about 52%. The company increased its strategic reserve to 7,021 BTC (satoshis per share up ~20% to ~663 and cited as “over 690” on the call), while reporting a headline GAAP hit from a $117.2 million non‑cash digital asset revaluation loss. Interested in American Bitcoin Corp.? Here are five stocks we like better.
The Great Pivot: Bitcoin Miners Are Becoming AI’s Landlords
American Bitcoin (NASDAQ:ABTC) reported first-quarter fiscal 2026 results highlighting higher Bitcoin production, lower unit mining costs, and continued growth in its Bitcoin reserve, even as Bitcoin prices declined during the quarter and created significant non-cash accounting losses under fair value rules.
Production rose as fleet expanded and Drumheller came online
Chief Strategy Officer Eric Trump said the company ended the quarter with a strategic Bitcoin reserve of 7,021 Bitcoin, up from 5,401 at year-end 2025, and said the company “did not sell a single coin” during the period. Trump also pointed to growth in owned mining infrastructure, saying American Bitcoin now has “nearly 90,000 miners” and “approximately 28.1 exahash per second of owned capacity,” up from roughly 78,000 miners at year-end.
→ 3 Emerging Markets ETFs to Maximize Exposure to High-Potential Countries
In operational remarks, a company representative (identified as Mike on the call) said American Bitcoin mined 817 Bitcoin in Q1, up from 783 in Q4 2025. He added that March production reached a monthly record of 286 Bitcoin. The company’s owned capacity at quarter-end was about 25 exahash per second, and following the full energization of the Drumheller site on April 22, nameplate capacity increased to about 28.1 exahash per second.
Mike said the company completed the acquisition of about 11,298 next-generation miners during the quarter, adding approximately 3.05 exahash per second at about 13.5 joules per terahash. Those units were deployed to Hut 8’s Drumheller site in Alberta. He characterized the move from purchase agreement to fully energized site in under two months as enabled by American Bitcoin’s partnership with Hut 8.
Bitcoin price decline pressured revenue, but mining costs improved
→ The Real SpaceX Play: 5 Chip Stocks Powering the IPO Before It Launches
Story Continues
President and Interim Chief Financial Officer Matt Prusak reported Q1 2026 total revenue of $62.1 million, down from $78.3 million in Q4 2025. He attributed the decline to lower Bitcoin prices during the quarter, noting Bitcoin fell from about $87,500 to about $68,200 over the three months ended March 31, 2026. “This is a pure price effect, not an operational one,” Prusak said, adding that production increased quarter-over-quarter and that revenue would have risen sequentially if Q4 price levels had held.
Prusak said cost of mining, excluding depreciation and amortization, was $29.6 million, compared with about $36.7 million in Q4 2025. He reported a cost to mine of approximately $36,200 per Bitcoin, a 23% sequential improvement from about $46,900 in Q4, driven by higher production spread across a stable fixed cost base and “continued energy pricing discipline.” Mining gross profit was about $32.5 million, and gross margin was about 52%, compared with 53% in Q4. Prusak said the lower unit cost “effectively absorbed” the quarter’s 22% Bitcoin price decline, helping keep gross margin above 50%.
Bitcoin mined: 817 in Q1 2026 vs. 783 in Q4 2025 Total revenue: $62.1 million vs. $78.3 million Cost to mine per Bitcoin: ~$36,200 vs. ~$46,900 Mining gross margin: ~52% vs. 53%
GAAP loss driven by non-cash digital asset revaluation
→ Tyson Foods' Total Returns: Tasty Treats for Income Investors?
Prusak said the quarter’s “headline GAAP loss” was primarily driven by non-cash mark-to-market losses on Bitcoin holdings that were not sold, due to fair value accounting rules requiring quarterly revaluation through the income statement. He reported a $117.2 million loss on digital assets in Q1 2026, compared with a $112.2 million loss in Q4 2025.
He added that the digital asset loss was partially offset by a $37.3 million gain on derivatives related to a miner purchase agreement, which he said was consistent with a $37.5 million gain recorded in Q4.
Treasury growth and “satoshis per share” focus
Management repeatedly emphasized a per-share Bitcoin ownership metric it calls “satoshis per share” (SPS). Mike said the strategic reserve increased by about 1,620 Bitcoin during the quarter, reflecting 817 Bitcoin from mining and about 803 Bitcoin from treasury purchases funded through the company’s at-the-market (ATM) equity program. He said satoshis per share rose from 554 at year-end to about 663 at quarter end, an increase of roughly 20% in one quarter, while share count grew about 9%.
Trump said satoshis per share was “over 690” as of the call date and argued that “every share of American Bitcoin owns substantially more Bitcoin today than it did three months ago.”
On the ATM program, Prusak said cumulative proceeds through quarter-end totaled approximately $351.5 million, representing 16.7% of the company’s $2.1 billion shelf capacity. During Q1, American Bitcoin issued about 84 million Class A shares for about $111 million in gross proceeds, following 65.5 million shares issued in 2025 for $240.5 million.
Industry backdrop: difficulty decline, AI shift, and M&A framework
On the call’s lone analyst Q&A, BTIG’s Benjamin Sommers asked about the decline in network difficulty and whether it reflected miners shifting to AI or cyclical pressures from lower Bitcoin prices. Mike said difficulty is tied to the amount of mining capacity online and pointed to “hundreds of megawatts” shifting toward AI among leading U.S. public miners, which he said correlates with “tens of exahash” of compute coming offline. He said that pivot contributed to network difficulty dropping about 6% during the quarter, and earlier in his prepared remarks he noted a roughly 10% quarter-over-quarter decline.
Sommers also asked about American Bitcoin’s approach to M&A amid the industry’s shift toward AI and high-performance computing. Trump said the company continues to look at opportunities, but its philosophy is centered on whether a transaction improves satoshis per share. “Is M&A, is a decision, is capital allocation going to improve that metric?” Trump said, adding that the company is exploring “a number of opportunities” and will provide updates as they progress.
In closing remarks, Trump reiterated the company’s focus on accumulating Bitcoin at the lowest cost, citing Q1 gross margin of 52.4% and cost to mine Bitcoin of roughly $36,000, and said management is focused on efficiency and “every single penny” as it seeks to grow its Bitcoin reserve and per-share exposure.
About American Bitcoin (NASDAQ:ABTC)
Gryphon Digital Mining is an innovative venture in the bitcoin space. Gryphon Digital Mining, formerly known as Akerna Corp., is based in DENVER.
The article "American Bitcoin Q1 Earnings Call Highlights" was originally published by MarketBeat.
View Comments
- American Bitcoin Corp. (ABTC) Reports Q1 Loss, Misses Revenue Estimates
May 6, 2026 · zacks.com
American Bitcoin Corp. (ABTC) came out with a quarterly loss of $0.08 per share versus the Zacks Consensus Estimate of $0.01. This compares to a loss of $0.45 per share a year ago.
- Hut 8 Q1 Earnings Call Highlights
May 6, 2026
Hut 8 logo
Key Points
Power-first strategy & Beacon Point deal: CEO Asher Genoot framed Hut 8 as a "power-first" infrastructure builder targeting long-duration, investment-grade leases and announced Beacon Point Phase 1 — a 15-year triple-net lease for 352 MW of IT capacity with a ~$9.8 billion base-term contract value (3% escalator) and potential to exceed $25 billion with renewals, with NVIDIA as design partner. Riverbend financing removes refinancing risk: Hut 8 closed a $3.25 billion financing of 16.5-year fully amortizing senior notes at a 6.192% coupon (BBB- from S&P and Fitch), which funded the project, recovered $184 million of deployed equity, and eliminated near-term refinancing risk. Q1 results were mixed: Revenue jumped ~226% to $71 million and gross margins widened, but the company reported a net loss of $253.1 million (Adjusted EBITDA loss $250.5 million) largely due to unrealized mark-to-market adjustments on digital assets despite stronger compute performance. Interested in Hut 8 Corp.? Here are five stocks we like better.
Vertiv: A Market Breather for an AI Infrastructure Leader
Hut 8 (NASDAQ:HUT) executives used the company’s first-quarter 2026 earnings call to emphasize a strategic shift toward what CEO Asher Genoot described as a “power-first” infrastructure platform designed to support long-duration, investment-grade data center leasing, while CFO Sean Glennan said quarterly results were overshadowed by unrealized mark-to-market losses on digital assets.
Management frames Hut 8 as “power first” infrastructure builder
Genoot said Hut 8 views itself as “building the foundational infrastructure layer for one of the most important technology shifts in our lifetime,” arguing that power is increasingly scarce and that controlling access to power will shape the market. He said the company’s approach starts “with power and build forward,” and positions Hut 8 as a long-term partner rather than a vendor through structures such as “15 years, triple-net lease” arrangements with investment-grade counterparties.
→ 3 Emerging Markets ETFs to Maximize Exposure to High-Potential Countries
The Great Pivot: Bitcoin Miners Are Becoming AI’s Landlords
Looking back over the past two years, Genoot highlighted a business simplification that included carving out the Bitcoin business into American Bitcoin, which he said trades separately under ticker ABTC, and divesting power generation assets. He also described a balance sheet overhaul that he said left the company with only one piece of parent-level recourse debt: “the Coatue convertible note,” which he said is “deeply in the money” and “mandatory redeemable as soon as next month, subject to certain conditions.” Genoot added that other financings are structured at the asset level and are non-recourse to the parent.
Story Continues
Beacon Point Phase 1 lease: 15-year triple-net, 352 MW of IT capacity
Genoot detailed Hut 8’s newly announced commercialization of the first phase of its 1 gigawatt Beacon Point AI data center campus. He said the transaction follows the structure used at Riverbend, including “power first underwriting,” “long duration investment grade contracts,” and a partnership-driven model.
→ The Real SpaceX Play: 5 Chip Stocks Powering the IPO Before It Launches
Hut 8’s Data Center Pivot: The Challenge Everyone’s Underestimating
Key terms Genoot cited included:
“15 years, triple-net lease” “352 MW of IT capacity,” which he equated to “500 MW of utility capacity” “$9.8 billion of expected base term contract value,” including a “3% annual escalator” Three five-year renewal options that Genoot said could bring “potential contract value to over $25 billion”
Genoot said Beacon Point Phase 1 is part of a gigawatt campus with “roughly half the campus still available for future commercialization.” He also described the role of American Bitcoin in early-stage underwriting, saying the site was originally pursued on a “speed to power thesis” and that the ABTC relationship provided “a real demand path and economics use case even before we had an AI customer finalized,” which he said reduced speculative risk.
→ Tyson Foods' Total Returns: Tasty Treats for Income Investors?
Genoot also said NVIDIA is Hut 8’s “design and technology partner” on Beacon Point. He described a redesign that increased IT capacity from “224 to 352 MW” within the same land and utility footprint, which he said increased base term contract value “by $3.6 billion from $6.2 billion to $9.8 billion.”
During Q&A, management said the Beacon Point tenant has a “ROFO right on the remaining capacity at the campus,” along with “some exclusivity for a short period of time” to determine next steps for later phases. Genoot also said the Beacon Point campus schedule contemplates “700 MW” being “available in Q1,” and an “additional 300 MW in the 24 months thereafter.”
Riverbend financing: $3.25 billion investment-grade senior notes
Management also discussed a Riverbend financing that closed after quarter end. Genoot called it “first of its kind in our sector,” saying it validated the company’s development program, removed refinancing risk, fully funded the project, and allowed Hut 8 to “pull equity out at closing.”
Glennan provided specific terms: “a three and a quarter billion dollar financing of 16 and a half year fully amortizing senior notes at approximately 95% loan to cost at a 6.192% coupon.” He said the notes are “non-callable for life” and carry “BBB- investment-grade ratings from S&P and Fitch.” Both executives said the structure enabled Hut 8 to “recover $184 million of deployed equity at closing,” which could be redeployed for growth.
Genoot and Glennan emphasized the removal of refinancing risk through a “16.5-year fully amortizing” structure aligned with the 15-year lease. Genoot said Hut 8 “do[es] not expect to return to the capital markets to refinance.” Glennan added that the structure is “covenant-light,” preserves flexibility for potential incremental leverage at stabilization, and that the company could offset some interest during construction with interest income.
Q1 financial results: revenue up 226% but net loss driven by mark-to-market losses
Glennan said Hut 8 posted a net loss of “$253.1 million” and an “Adjusted EBITDA loss, $250.5 million,” attributing the losses “primarily” to “unrealized mark-to-market adjustments on digital assets,” including impacts “through the consolidation of American Bitcoin.”
He said operating metrics improved, with revenue up “approximately 226% year-over-year to $71 million,” driven primarily by the compute segment, and gross margins expanding to “approximately 64% from 14% in the prior year.”
By segment, Glennan reported:
Power: Revenue of “$3.7 million” versus “$4.4 million” a year earlier, reflecting the sale of the Far North portfolio in February 2026. Segment margins improved to “approximately 44%.” Glennan said the more important takeaway was the company’s ability to buy a power asset out of bankruptcy, improve it, and sell it to “one of the premier Canadian IPPs.” Digital infrastructure: Revenue of “$1.3 million,” flat year-over-year. Glennan said beginning in “Q2 2027,” as Riverbend and Beacon Point Phase 1 data halls come online, the segment is expected to become “the primary growth driver.” Compute: Revenue increased to “approximately $66 million” from “$16.1 million,” with margins expanding to “approximately 67% from 16%.” Glennan attributed growth to improved uptime following a 2025 fleet upgrade at Salt Creek and Medicine Hat, and the commencement of operations at Vega in mid-2025. He said quarterly Bitcoin mined rose to “817” from “135” year-over-year, partially offset by a decline in average revenue per Bitcoin mined to “$76,077” from “$91,512.”
Balance sheet actions: FalconX refinancing and unencumbered Bitcoin
Glennan said Hut 8 refinanced its “$200 million Coinbase facility” into a new “364-day note with FalconX,” reducing the coupon to “7%” from “9%.” He said approximately “3,300 Bitcoin became unencumbered” with a market value of “$260 million as of May 1st,” bringing total unencumbered Bitcoin at Hut 8 to “approximately 5,600.”
Looking ahead, Glennan described three pillars of the company’s capital structure: “Strong parent-level liquidity,” “non-recourse project level debt,” and a “trajectory towards investment grade” at the corporate level. He said parent-level liquidity totaled “approximately $1.3 billion of cash in Bitcoin as of quarter end,” with no meaningful parent-level recourse debt other than the Coatue note, which he said could be forced to convert “as soon as late June, subject to certain conditions.”
Genoot said priorities for the rest of the year are “execution and scale,” pointing to continued construction at Riverbend toward a “Q2 2027” initial data hall delivery target and moving Beacon Point into execution. He told investors to track progress by watching delivery execution, deal quality (including counterparty credit quality and economics), and balance sheet discipline and financing structure.
About Hut 8 (NASDAQ:HUT)
Hut 8 Corp., trading on the Nasdaq under the symbol HUT, is a North American digital infrastructure company specializing in cryptocurrency mining and high‐performance computing. Founded in 2017 and headquartered in Toronto, Canada, Hut 8 operates purpose‐built data centers that house fleets of specialized ASIC and GPU servers. Through its flagship mining facilities in Alberta and Ontario, the company leverages low‐cost, low‐carbon power sources—such as hydroelectric and natural gas—to support sustainable bitcoin production.
The article "Hut 8 Q1 Earnings Call Highlights" was originally published by MarketBeat.
View Comments
- American Bitcoin Reports First Quarter 2026 Results
May 6, 2026 · prnewswire.com
Grew Strategic Reserve to Over 7,000 Bitcoin, a ~30% Increase in a Single Quarter, While Maintaining ~52% Mining Gross Margin Despite Bitcoin's ~22% Decline MIAMI, May 6, 2026 /PRNewswire/ -- American Bitcoin Corp. (Nasdaq: ABTC) ("American Bitcoin" or the "Company"), a Bitcoin accumulation platform focused on building America's Bitcoin infrastructure backbone, today reported its financial results for the first quarter of 2026. Eric Trump, Co-Founder and Chief Strategy Officer of American Bitcoin , said: "Just over a year ago, American Bitcoin did not exist.
- AMERICAN BITCOIN REPORTS FIRST QUARTER 2026 RESULTS
May 6, 2026
GREW STRATEGIC RESERVE TO OVER 7,000 BITCOIN, A ~30% INCREASE IN A SINGLE QUARTER, WHILE MAINTAINING ~52% MINING GROSS MARGIN DESPITE BITCOIN'S ~22% DECLINE MIAMI, MAY 6, 2026 /PRNEWSWIRE/ -- AMERICAN BITCOIN CORP. (NASDAQ: ABTC) ("AMERICAN BITCOIN" OR THE "COMPANY"), A BITCOIN ACCUMULATION PLATFORM FOCUSED ON BUILDING AMERICA'S BITCOIN INFRASTRUCTURE BACKBONE, TODAY REPORTED ITS FINANCIAL RESULTS FOR THE FIRST QUARTER OF 2026. ERIC TRUMP, CO-FOUNDER AND CHIEF STRATEGY OFFICER OF AMERICAN BITCOIN , SAID: "JUST OVER A YEAR AGO, AMERICAN BITCOIN DID NOT EXIST.
- Hut 8 to Lease Texas AI Data Center for at Least $9.8 Billion
May 6, 2026
(Bloomberg) -- Hut 8 Corp., a cryptocurrency miner that is shifting to developing artificial intelligence data center capacity, has signed a lease worth at least $9.8 billion over 15 years to provide computing power to a “high-investment-grade company.”
Most Read from Bloomberg
US Has Opened a Passage Through Hormuz, Central Command Says US Says Offensive Phase of Iran War Over as Ship Hit in Strait Anthropic Unveils AI Agents to Field Financial Services Tasks Trump Pauses Plan to Guide Ships While Seeking Iran Deal White House Weighs AI Working Group, Model Testing, NYT Reports
The data center developer declined to name the tenant for the new AI facility located at a campus called Beacon Point in Nueces County, Texas. The agreement may rise to a value of $25.1 billion if the tenant exercises all three five-year extensions, Hut 8 said Wednesday in a statement.
The Beacon Point data center is approved for as much as 1 gigawatt of electricity, which is enough to power 750,000 US homes at any one time. AEP Texas will deliver energy to the site starting in the first quarter of 2027. Hut 8 has a total of $16.8 billion in signed leases between Beacon Point and its River Bend campus in Louisiana. Both projects involve Jacobs Solutions Inc. for engineering and construction and Vertiv Holdings Co. to handle issues such as cooling the data centers.
Hut 8, which reports quarterly earnings Wednesday, is a publicly traded Bitcoin miner that has been transitioning into energy and digital infrastructure. The Miami-based company owns a stake in American Bitcoin Corp., a crypto-mining firm tied to Eric Trump and Donald Trump Jr.
Most Read from Bloomberg Businessweek
America’s Go-To Autism Therapy Is Also the Most Controversial The Risky Pivot Inside Australia’s Pension System How Corporations Use the Texas Two-Step to Avoid Asbestos Lawsuits Whatnot Has Americans Hooked on Livestream Shopping Running America’s Second-Busiest Airport in Turbulent Times
©2026 Bloomberg L.P.
View Comments
- Bitcoin surged in April, but weak buyer demand makes the rally vulnerable
May 1, 2026 · cnbc.com
Bitcoin gained 12.7% in April, registering back-to-back monthly gains and its best month since April 2025. The run was driven by leveraged trading activity in the derivatives market while demand for the spot bitcoin contracted, signaling weakness in the rally, according to CryptoQuant.
- Trump-linked American Bitcoin buys 11,298 miners, boosts capacity to 28.1 EH/s
Apr 23, 2026
[Abstract BTC - Bitcoin sign. Crypto concept. digital technology background. Explore the Future of Finance. ETF]
Vertigo3d
* American Bitcoin (ABTC [https://seekingalpha.com/symbol/ABTC]) on Wednesday announced the completion of the energization of ~11,298 Bitcoin miners at the Drumheller site.
* The miners, which were purchased earlier this year, are now fully deployed, contributing an incremental ~3.05 exahash per second at an efficiency of ~13.5 joules per terahash to the company's operational fleet, according to a statement [https://seekingalpha.com/pr/20483082-american-bitcoin-completes-energization-of-11298-additional-asics-at-drumheller-site-adding].
* Following energization, American Bitcoin's owned fleet now consists of ~89,242 miners deployed at ~28.1 EH/s with an average efficiency of ~16.0 J/TH.
* "Scaling hashrate is one of the ways we strengthen our position in Bitcoin. Bringing these miners online at Drumheller reflects exactly how we intend to lead: moving quickly, allocating capital with discipline, and growing our Bitcoin exposure efficiently at institutional scale," said Eric Trump, co-founder and chief strategy officer at American Bitcoin (ABTC [https://seekingalpha.com/symbol/ABTC]).
* The company's shares were up 1.5% in extended trading.
MORE ON AMERICAN BITCOIN
* American Bitcoin: A Strong Model, But Overvalued In A Severe Crypto Bear Market [https://seekingalpha.com/article/4870248-american-bitcoin-a-strong-model-but-overvalued-in-a-severe-crypto-bear-market]
* DeFi Development records highest short interest in March, while Bitgo lags among firms with up to $2B market cap [https://seekingalpha.com/news/4572490-defi-development-records-highest-short-interest-in-march-while-bitgo-lags-among-firms-with-up-to-2b-market-cap]
* American Bitcoin Q4 earnings hit by bitcoin slide [https://seekingalpha.com/news/4557826-american-bitcoin-q4-earnings-hit-by-bitcoin-slide]
* Historical earnings data for American Bitcoin [https://seekingalpha.com/symbol/ABTC/earnings]
* Financial information for American Bitcoin [https://seekingalpha.com/symbol/ABTC/income-statement]
- Trump Media CEO’s Exit Caps a 90% Drop as MAGA Stocks Stumble
Apr 22, 2026
(Bloomberg) -- Truth Social has rarely been more important on Wall Street, where traders hang on White House posts that can send the market tumbling or soaring back up again. The company’s stock, though, is much less in vogue.
Most Read from Bloomberg
Anthropic’s Mythos Model Is Being Accessed by Unauthorized Users Inside Alex Cooper’s Unwell: Tears, Screaming and Employees Looking for the Exit Trump Encourages Companies Not to Seek Tariff Refunds Trump Extends Iran Ceasefire, Keeps Blockade as Talks Falter Kuwait Declares Further Force Majeure on Oil Shipments
Trump Media & Technology Group Corp.’s struggle to parlay the president’s power into a successful social-media company was underscored by the departure late Tuesday of Chief Executive Officer Devin Nunes, a dairy-farmer-turned-MAGA-congressman who was plucked to lead the upstart a little over four years ago.
The company hasn’t gone the way of Trump steaks, Trump Shuttle or Trump University. But after a promising early run — when meme-stock types hoping for a big score pushed the shares of the shell company that was bringing it to market to as much as $97.54 in early 2022 — it has since tumbled some 90% as it lost hundreds of millions of dollars and only managed to bring in $3.7 million of annual revenue. On Wednesday, Trump Media slipped 0.4% to around $9.80, not far from last month’s record low.
“One can argue that the stock is actually performing somewhat decently considering its fundamentals,” said Steve Sosnick, chief strategist at Interactive Brokers. “It’s difficult to imagine any CEO remaining unscathed.”
Trump Media is part of a cohort of MAGA-linked stocks that have subsequently petered. GrabAGun Digital Holdings Inc. and American Bitcoin Corp., both of which have ties to the Trump family, have tumbled sharply. Ditto Phunware Inc., a money-losing software company that designed the app for Trump’s 2020 campaign, and PSQ Holdings Inc., which had launched an online marketplace aimed at “freedom-loving Americans.”
Trump Media is the parent of the social-media network that President Donald Trump formed after being kicked off of Twitter following the 2021 riot by his supporters in the Capitol. In his second term, Trump has used the site to roll out policies, negotiate with other nations and announce the latest moves in his war against Iran — often spurring swings across equity, bond and commodity markets.
But beyond that, it never really caught on, and even Trump’s posts quickly pop up on other sites like Elon Musk’s X. Its stock tumbled over 60% last year, despite Trump’s return to the Oval Office. Trump Media went on to branch into new ventures in prediction markets, cryptocurrencies, investing and even nuclear fusion, through a planned combination with TAE Technologies Inc.
Story Continues
“DJT stock has uncoupled from Trump at this point,” said Matthew Tuttle, chief executive officer of Tuttle Capital Management, which along with Rex Shares runs an exchange-traded fund offering double the daily gain or loss in Trump Media’s stock. “Nothing he does as president has a direct impact and I think the memeyness of the stock is pretty much gone at this point.”
The company announced that Nunes was out of the role in a statement that thanked him but did not give a reason for his departure. Kevin McGurn, who has previously held roles at T-Mobile US Inc., Vevo and Hulu, will act as interim CEO.
“I look forward to building on the strong foundation established by the team,” McGurn said in a statement provided by a company representative. “I am committed to delivering long-term value for shareholders while continuing to strengthen and scale the Truth Social and Truth+ platforms.”
McGurn sits in a position of power in at least one other business in the Trump family’s orbit. He is the CEO of a blank-check company that Eric Trump and Donald Trump Jr. advise, according to a filing last year. That special-purpose acquisition company, called New American Acquisition I Corp., said it’s looking to take over a US-based manufacturer.
Nunes said on Truth Social that it was the “appropriate time” for McGurn to lead the company through a transition period, which would allow Nunes to focus on other roles, including leading an intelligence advisory group. The company representative pointed Bloomberg to that statement and didn’t comment further.
--With assistance from Vildana Hajric and Annie Massa.
Most Read from Bloomberg Businessweek
QVC Lost the Home Shoppers to Social Media Influencers A Restaurant That’s Barely Raised Prices Since 1973 Three Bedrooms for €60 Million Shows Monaco’s Dirty Money Headache TikTok Makes Americans Want Chinese EVs They Can’t Have AI Startup Has Helped Reverse Thousands of Denied Health Insurance Claims
©2026 Bloomberg L.P.
View Comments
