**Trump Media Sees Surge in Stock Price Despite Concerns**
Shares of Trump Media, the operator of Truth Social, have been on a tear, surging over 19% on Tuesday to mark its fourth consecutive day of gains. This is the longest positive streak for the company since June. The stock price briefly touched $22, nearly 90% higher than its intraday low of $11.75 per share on September 24. However, it still remains well below its peak of $79.38 in late March.
The rally has gained momentum since Saturday, when Donald Trump, the company’s majority owner, held a presidential campaign rally in Pennsylvania. The event drew thousands of supporters, including Tesla CEO Elon Musk, who endorsed Trump’s candidacy. Musk stated that Trump “must win to preserve democracy in America.”
Despite the surge, Trump Media has faced some concerning news. The company’s chief operating officer, Andrew Northwall, resigned in late September, and the reason for his departure remains unknown. Additionally, the company’s chief product officer, Sandro de Moraes, has also left the company. ProPublica reported that multiple lower-level employees have recently departed Trump Media.
Furthermore, Trump Media is handing over nearly 800,000 shares of common stock to an early investor, ARC Global Investments II, following a judge’s ruling that the company breached a stock agreement. A company controlled by two co-founders of Trump Media also sold nearly all of their 11-million-share stake in late September.
Despite these concerns, Trump Media’s market capitalization remains over $4 billion, with Trump owning nearly 57% of the company. The former president has vowed not to sell his shares. Some analysts view Trump Media as a way for retail investors to support Trump or bet on his odds of winning the presidential election.
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