After a brief period of success, former President Donald Trump's media company, Trump Media & Technology Group, is grappling with a rocky reception on Wall Street. The company, known by its ticker symbol DJT, experienced a significant drop of 18.4% in Monday's trading session, following a 21% plunge the previous week.

The decline in value can be attributed to Trump Media's recent filing with the U.S. Securities and Exchange Commission, which has opened the door for the potential future sale of millions of shares. The document, called an S-1, includes warrants held by investors that can be converted into shares, as well as shares held by insiders, including Donald Trump himself. However, Trump is under a "lockup" agreement, preventing him from selling his shares for approximately five more months. This restriction also applies to his son, Donald Trump Jr., who serves as a director on the board, and CEO Devin Nunes.

These recent developments have resulted in a significant loss of value for Trump's stake in the company. When DJT shares initially began trading on March 26, his 57% ownership position was valued at $6.25 billion. However, due to the recent slump, Trump's stake is now valued at $2.1 billion, resulting in a paper loss of $4.15 billion. Overall, shareholders have collectively lost $7.2 billion in value since the stock reached a peak of $79.38 on March 26. On Monday, the shares tumbled by $5.98, or 18.4%, to $26.61.

It is worth noting that Trump's supporters make up a significant portion of the company's investor base. CEO Devin Nunes expressed gratitude for their support on Fox Business earlier this month. Some investors on the Truth Social platform, which serves as Trump's primary social media platform, remain optimistic that the stock will recover. Others used the stock's dip as an opportunity to purchase more shares, with one investor stating their intention to hold onto the shares for at least six months.

Despite the recent filing with the SEC, supporters on Truth Social emphasized that there is no indication of Trump intending to sell his 57% ownership stake in Trump Media. Chad Nedohin, a pastor and musician, clarified on Truth Social that the increase in total shares mentioned in the filing are for warrants and not for new unexpected issuances.

As of now, Trump Media & Technology Group has not commented on the recent developments. Trump himself relies on Truth Social as his primary social media platform, where he has approximately 7 million followers. On the platform, he frequently criticizes his opponents and promotes favorable polls. He has recently used the platform to discuss his ongoing criminal trial, which started on Monday, related to accusations of falsifying business records connected to a "hush money" payment.

Around 600,000 retail investors have invested in Trump Media & Technology Group, with around 200,000 of them purchasing shares in the past few weeks, according to CEO Devin Nunes. These small investors have experienced a tumultuous ride since DJT began trading on March 26, with the shares losing over two-thirds of their value.

In the previous fiscal year, Trump Media reported a loss of $58 million on revenue amounting to $4.1 million, significantly lower than the annual sales generated by a single Chick-fil-A location.

While the road ahead remains uncertain, all eyes are on Trump Media & Technology Group as it navigates the challenges on its path to success in the ever-competitive media landscape.