Truth Social’s $400M Buyback Fails to Stem Stock Decline Amid Crypto Ambitions

Truth Social parent TRUMP Media & Technology Group saw shares slide 1.5% despite announcing a $400 million stock repurchase program. The buyback, authorized by the board, would retire both common shares and warrants - a move that typically boosts shareholder value but failed to impress markets.

CEO Devin Nunes framed the decision as part of broader capital allocation strategy, citing the company's $3 billion balance sheet. The executive separately highlighted upcoming cryptocurrency initiatives as a "crown jewel" in the platform's development pipeline, though details remain scarce.

Market reaction suggests skepticism about the social media firm's valuation, with investors apparently discounting both the buyback announcement and Nunes' bullish commentary about future crypto ventures.