DJT

DJT is not an operating business in any investable sense: FY2025 revenue was $3.68M (up just 1.8% YoY) while the company posted a -$712M net loss and a -$573M operating loss, for an operating margin of -15,561% and a net margin of -19,343%. Revenue has gone nowhere for four years ($4.13M in 2023 down to $3.62M in 2024 and back to $3.68M in 2025) even as losses ballooned and the accumulated deficit reached -$3.66B. R&D was cut 13% to $42.8M. At $7.49 the market cap is $2.07B against that $3.68M of revenue — a price-to-sales multiple of 562.8x that no plausible advertising or streaming ramp from Truth Social/Truth+ can justify. Management itself frames TMTG as 'an early stage company' that 'expects to incur operating losses for the foreseeable future.'

What actually backs the price is a balance sheet that has been transformed into a digital-asset treasury, not a media franchise. The MD&A discloses ~$2,473.2M of cash, investments, equity securities and digital assets against ~$947.1M of debt (the current-portion-of-debt line exploded to $947M, up 19,703% YoY). Net of that debt, the liquid/asset backing is roughly $1.5B, or about $5.50 per share on 277M shares — meaningfully below the $7.49 quote. So the equity already trades at a premium to its net asset value, and that NAV is itself a leveraged bet on bitcoin and Cronos, which the company concedes are 'highly volatile assets' whose price moves 'are likely to influence our financial results and the market price of our listed securities.' The -$712M loss is substantially the cost of this pivot, not a path to a profitable platform.