Trump Media stock closes up 5% in heavy trading after co-founders dump DJT shares

Shares of Trump Media closed up 5.58% on Friday, finishing the week at $14.76 per share, after major shareholder United Atlantic Ventures, LLC, sold nearly 11 million shares in the company on Thursday.

UAV, an investment partnership of former "Apprentice" contestants Andrew Litinsky and Wes Moss, dumped virtually its entire stake in the company, retaining just 100 shares. Trump Media operates the social media app Truth Social, and its largest shareholder is former president Donald Trump.

Litinsky and Moss co-founded the social media company with Trump in 2021. The two have since fallen out with Trump and engaged in legal disputes with Trump Media over their shares.

UAV's decision to sell its 5.4% stake comes after the expiration of a lockup agreement on Sept. 19, which had barred Trump and other early investors from selling their shares.

Thursday's Securities and Exchange Commission filing did not disclose how much UAV made from offloading its shares. But based on the price range that DJT has sold for since the lockup expired, UAV may have received between $128 million and $170 million for its stock.

Following six straight trading days in the red since the expiration of the lockup restrictions, including hitting a new 52-week low on Monday, Trump Media shares snapped a losing streak Tuesday, ending the trading day up more than 5% at $12.79 per share.

Trump, who owns nearly 57% of the outstanding shares, said he has "absolutely no intention to sell."

In previous regulatory filings, Trump Media has stated that the success of its sole product, Truth Social, depends on Trump's popularity and continued use of the platform.

Despite the recent uptick, as of Friday's close the stock was down 77.76% overall since Trump Media made its market debut on the Nasdaq in late March after a merger with a special purpose acquisition company. As of Friday's close, Trump Media had a market capitalization of $2.954 billion.