Trump Media & Technology Group (DJT): Assessing Valuation After $2 Billion Bitcoin Move and Crypto Strategy Shift

Trump Media & Technology Group (DJT) is drawing attention after reports it has dramatically boosted its bitcoin holdings, purchasing $2 billion worth and raising $2.3 billion through new stock and debt offerings. The move comes as bitcoin prices climb following Donald Trump’s reelection.

See our latest analysis for Trump Media & Technology Group.

With all eyes on Trump Media & Technology Group's bitcoin pivot, momentum around the stock remains unsettled. The latest $2 billion crypto bet comes on the heels of a difficult stretch. Its most recent 30-day share price return is -4.37%, while the total shareholder return over the past year sits at -45.3%. In short, even explosive headlines have not reversed a downward trend, though some investors are eyeing potential upside if confidence builds around the company’s new crypto strategy.

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With such a bold pivot into cryptocurrency, the question now is whether Trump Media & Technology Group’s share price reflects all the risk and potential, or if this volatility underscores a unique chance for investors to buy in ahead of possible growth.

Price-to-Book of 2x: Is it justified?

Trump Media & Technology Group is currently trading at a price-to-book (P/B) ratio of 2x, which anchors its valuation against comparable firms. With a last close price of $16.18, the stock appears more attractively priced than its direct peers on this metric.

The price-to-book ratio compares the company's market value to its net assets. For media and tech firms that are often asset-light and rapidly changing, this ratio remains a useful checkpoint for fair value, especially in the absence of sustained profitability or strong revenue growth.

DJT's P/B of 2x stands out as a relative bargain compared to its peer average of 2.9x. This suggests the market is either underestimating its asset value or questioning its ability to deliver returns from those assets. However, when compared to the US Interactive Media and Services industry average P/B of 1.3x, DJT looks rather expensive. This raises questions about whether investors are pricing in future growth or simply paying a premium for the brand. There is insufficient data to calculate a fair ratio, so market direction may shift with new financials or catalysts.

See what the numbers say about this price — find out in our valuation breakdown.

Result: Price-to-Book of 2x (ABOUT RIGHT)

However, ongoing net losses and lack of clear revenue growth could challenge optimism, particularly if the crypto pivot fails to generate near-term profits.

Find out about the key risks to this Trump Media & Technology Group narrative.

Build Your Own Trump Media & Technology Group Narrative

If you want to dig deeper, the data is all available for your own investigation. You can form a personal view in just a few minutes, so why not Do it your way

A great starting point for your Trump Media & Technology Group research is our analysis highlighting 3 important warning signs that could impact your investment decision.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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