Why Trump Media & Technology Group Corp. (DJT) Crashed Last Week

We recently published a list of These 10 Stocks Just Rocked The Market. In this article, we are going to take a look at where Trump Media & Technology Group Corp. (NASDAQ:DJT) stands against other stocks that just rocked the market.

Trump Media fell by 17 percent week-on-week as investors disposed of shares following news that it was raising $2.5 billion through the sale of more shares and bonds.

In a regulatory filing, Trump Media & Technology Group Corp. (NASDAQ:DJT) said that it entered into a subscription agreement with 50 institutional investors for the sale of roughly 50 million shares of the company at a price of $25.72 apiece. The fundraising activity sparked sell-offs among existing investors as it immediately resulted in the dilution of their equity.

Why Trump Media & Technology Group Corp. (DJT) Crashed Last Week

Additionally, Trump Media & Technology Group Corp. (NASDAQ:DJT) clinched a $1-billion subscription agreement with certain investors for the sale of bonds that can also be converted at a later date.

Proceeds from both fundraising programs are intended to be used for their Bitcoin treasury strategy, which they expect to be the largest treasury to date.

“We view Bitcoin as an apex instrument of financial freedom, and now Trump Media will hold cryptocurrency as a crucial part of our assets,” said CEO Devin Nunes.

Overall, DJT ranks 5th on our list of stocks that just rocked the market. While we acknowledge the potential of DJT, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than DJT and that has 100x upside potential, check out our report about this cheapest AI stock.

READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires.

Disclosure: None. This article is originally published at Insider Monkey.