Donald Trump’s media company was hit by a new wave of selling on Wednesday, wiping out a year’s worth of gains along with the rising political success of its namesake.

Shares fell more than 6% to less than $17, which is less than their value at the start of 2024.

The stock price, which peaked during the former president’s criminal trial in April, has fallen more than 70 percent since its peak.

The company, which operates the social media platform Truth Social, still has a market value of more than $3.3 billion – a proud sum for a small company with declining sales and growing losses.

Mr Trump’s victory in the Republican primaries in January helped boost interest in Trump media earlier this year.

Buyers rushed to buy shares of Digital World Acquisition Corp., a publicly traded shell company created for the purpose of buying Trump Media and viewed on Wall Street as a proxy for the company.

Around the time the merger was formally completed in March, demand skyrocketed.

The price fluctuated greatly in the following months.

The stock reached its most recent high in July, after Trump survived an assassination attempt and before President Joe Biden dropped out of the race. However, the price has continued to fall in recent weeks.

The price declines come just before the date when Trump and other early investors can begin selling their shares.

Mr Trump’s stake is currently worth about $2 billion, up from over $6 billion a few months ago.

Analysts had warned investors of major fluctuations in value and called the stock a “meme stock” that was driven by sentiment rather than financial factors.