Trump Media (DJT) lost 14.56% on Thursday, enriching short-sellers. Bears are betting that the firm does not have a workable business model. The spike in selling volume suggests that DJT stock has further to fall.
Stock markets are nearing a summer peak. The S&P 500 (SPY) keeps trading at all-time highs. Should it show exhaustion, sellers will dump companies that do not have profits. DJT stock is one of them.
Nikola (NKLA), like Workhorse (WKHS), is reverse-splitting its shares. The 1-for-30 reverse stock split is long overdue. Nikola still has an unsustainable $650 million market cap. It is a zombie company that raised public money through an SPAC.
Workhorse (WKHS), which has a $35.3 million market cap, announced a 1-for-20 reverse stock split on June 13.
After the reverse split, it will likely keep falling sub $1.00. When that happens, the exchange will delist the stock.
Sofi (SOFI) risks losing rebound momentum at $6.32. Qatar Investment Authority sold its entire 19.8 million shares in the company. This is a bearish vote against the fintech company. Sofi keeps diluting shareholders. It grew its share count by 12% Y/Y to over 1 billion shares.
CEO Anthony also gets many shares through stock compensation. The CEO received 800,000 in compensation and sold half of that position.
