Shares of Trump Media & Technology Group surged by over 30% on Monday morning following an assassination attempt on former President Donald Trump over the weekend, creating a significant opportunity for investors.
The dramatic spike has substantially increased the value of Trump’s dominant stake in the company, which owns the social media platform Truth Social. During premarket trading, shares soared by as much as 70% before stabilizing in regular trading hours.
With current prices, Trump’s 114.75 million shares in Trump Media are now valued at nearly $5 billion, up from $3.5 billion last Friday, prior to the incident at a rally in Butler, Pennsylvania.
Trading under the ticker symbol “DJT,” Trump Media has garnered a significant valuation despite generating minimal revenue and Truth Social’s relatively small presence in the social media landscape. Experts have classified Trump Media as a meme stock, driven by momentum and hype rather than fundamentals.
The assassination attempt has not only raised security concerns but also reignited the national debate on gun control. The attack at the rally has intensified discussions among lawmakers and the public about the need for stricter gun laws to prevent such incidents in the future.
For months, Trump Media has served as a vehicle for investors betting on Trump’s potential return to the White House, positioning Truth Social as a primary platform for presidential communications.
Matthew Tuttle, CEO of Tuttle Capital Management, noted that recent events have fueled speculation about Trump’s improved chances in the upcoming November election. “You are seeing the Trump trade on steroids here. DJT is the go-to,” Tuttle said.
Investors are closely watching how the political climate and ongoing discussions on gun control might impact Trump Media’s performance and the broader stock market. The recent spike in share prices highlights the volatile nature of investments tied to high-profile political figures and the unpredictable market reactions to major news events.
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