The actions of Trump Media & Technology Group (DJT) increased around 4% in the negotiation prior to the market on Tuesday, based on a significant increase of 10% since the previous day. This increase occurs after Elon Musk made a surprise visit to Donald Trump’s demonstration in Butler, Pennsylvania, which is remarkable because it was the same place where Trump survived an attempt to murder in July.
Musk, who is the CEO of Tesla and Spacex and has the social media platform X (previously known as Twitter), has been very vocal about his support for Trump as the elections are approaching. At the rally, Musk told attendees that Trump is the only candidate capable of “preserving democracy in the United States,” and added that this choice could be “the last” if Trump does not win.
Currently, Trump is in a closed race against Vice President Kamala Harris, the Democratic nominee. Harris has been intensifying his presence in the media to strengthen his position in the surveys. Recently, he appeared in the popular “Call Her Daddy” podcast and appeared in “60 minutes.”
Trump has a significant participation in DJT, with approximately 60% property. At the current price of the shares of around $ 19, Trump Media is valued at approximately $ 3.8 billion, which means that Trump’s participation is worth approximately $ 2.3 billion. This is a decrease of more than $ 4.5 billion since the company was public earlier this year.
DJT began operating at Nasdaq after merging with Digital World Acquisition Corp, but the actions have experienced ups and downs that closely follow news developments. Last month, the actions reached their lowest level from the merger, coinciding with the end of a blocking period that previously prevented shareholders, including Trump, selling their shares for six months. After this blockade expired on September 19, Trump said he plans to keep his actions, saying: “I have absolutely no intention to sell. I love it. I use it as a method to get my word.”
The action saw an increase in June after President Biden tripped into a debate against Trump. However, after Biden’s recent announcement to leave the presidential career, DJT’s shares have been under pressure since investors consider the possibility of a Harris victory.
In May, Trump was convicted of falsifying commercial records to influence the 2016 presidential campaign, which led to a 5% drop in the shares after the verdict. His sentence is now postponed until November 26. Since it was made public, the actions have fallen by around 70%.
After being expelled from the main social media platforms such as Facebook and Twitter after the disturbances of the Capitol of January 6, 2021, Trump launched Truth Social. Since then he has returned to X in mid -August after a one -year break. However, concerns about the financial stability of social truth remain.
In August, DJT reported a net loss of $ 16.4 million for the second quarter, with almost half of that amount due to costs related to its merger. The company also revealed that it won just under $ 837,000 for the quarter ending on June 30, which is a 30% decrease compared to the same time last year. In addition, it was announced last week that the company’s COO resigned in September.
Key points
- Musk support: Its support to Trump is to increase the confidence of the stock market.
- Stock fluctuations: DJT’s actions have been unstable, closely linked to political events and media attention.
- Financial concerns: There are questions about the long -term health of Trump Media and its profitability.
Ishhook finance expert thinking
In conclusion, the recent increase in the Trump media and technology group (DJT) shares the surprise of Elon Musk in Donald Trump’s concentration shows the impact of political dynamics on the performance of actions. While this emotion can benefit the company in the short term, questions remain about its long -term stability and the financial health of social truth.
Investors must remain alert while Trump navigates through the next elections, with key figures such as Musk potentially influencing the public feeling and shares of shares. Ultimately, the way in which Trump Media addresses his financial challenges will determine his future in this competitive panorama.
Also read: Tesla’s shares are based on 5% after the third quarter delivery figures below expectations
(Tagstotranslate) Djt stock arises
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