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The value of former President Donald Trump’s social media company surged on Monday following an assassination attempt that left him injured over the weekend.
Shares of Trump Media & Technology Group surged more than 30% in early trading Monday, their biggest one-day gain since the company went public in late March.
Trump Media’s shares surged 70% in premarket trading before stabilizing during regular trading hours.
The surge has significantly boosted the value of Trump’s majority stake in the company, which owns Truth Social. At current prices, Trump’s 114.75 million shares in Trump Media are worth nearly $5 billion, up from $3.5 billion on Friday, the day before the shooting at the Butler rally in Pennsylvania.
Trump Media, which trades under the ticker “DJT,” has received a high valuation despite having minimal revenue and Truth Social’s small presence in the social media space.
Experts describe Trump Media as a meme stock, driven by momentum and hype rather than financial fundamentals.
For months, Trump media allowed investors bet Trump may return to the White House and believes that “truth social” may become the main platform for presidential communication.
Matthew Tuttle, CEO of Tuttle Capital Management, told CNN on Monday that traders are speculating on the likelihood of a Trump victory. Winning There has been a significant increase in attention regarding the upcoming election over the past few days.
“You see the Trump trade discounted here. The Dow is the top pick,” Tuttle said.
The rally comes as Trump prepares to formally accept the Republican presidential nomination at the Republican convention in Milwaukee this week.
Recently, Trump Media announced that it would be included in the Russell 1000 Large Cap Index and the Russell 3000 Index. As a result, many retail investors now indirectly own Trump Media shares through mutual funds and exchange-traded funds (ETFs).
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