Trump Media & Technology Group Sees Stock Surge Following Elon Musk’s Rally Appearance

On Monday, shares of Trump Media & Technology Group (DJT) experienced a notable increase of over 10%, spurred by tech mogul Elon Musk’s unexpected presence at Donald Trump’s rally in Butler, Pennsylvania. This event took place at the same venue where Trump narrowly escaped an assassination attempt in July.

Musk Voices Support for Trump Amid Election Season

Elon Musk, who is the CEO of Tesla and SpaceX and also owns social media platform X (formerly Twitter), has been vocal about his endorsement for Trump as the election approaches next month. In a recent statement, Trump mentioned he might consider offering Musk a position in his cabinet; however, he acknowledged that due to Musk’s numerous commitments, it would be unlikely for him to accept.

During Saturday’s rally, Musk declared to attendees that he believes Trump is the sole candidate capable of “preserving democracy in America,” emphasizing that this could be “the last election” if Trump’s campaign does not succeed.

The Political Landscape: A Tight Race Ahead

The former president finds himself locked in a competitive race against current Vice President Kamala Harris, who has recently ramped up her media engagements to bolster her standing in polls. Harris made appearances on popular platforms such as “Call Her Daddy,” aimed at younger audiences like Generation Z, along with an interview segment on “60 Minutes.”

Financial Overview: DJT’s Market Performance

Donald Trump’s stake in DJT stands around 60%. With shares currently priced near $19 each, this positions the market capitalization of Trump Media at approximately $3.8 billion—translating into a personal stake valued around $2.3 billion for the former president. Initially post-public debut earlier this year when merging with Digital World Acquisition Corp., Trump’s share value exceeded $4.5 billion.

The company went public on Nasdaq late March but has faced significant volatility since then; stock prices have fluctuated dramatically due to ongoing news cycles affecting investor sentiment.

A Bumpy Ride Post-Lockup Period Expiration

The trump-media-shares-investment-opportunity/” title=”Trump Set to Cash In: The Green Light for Media Shares Is Just Around the Corner!”>expiration of a six-month lockup period on September 19 allowed stakeholders—including Trump—to sell or transfer their shares freely; however, he stated his intention not to divest any holdings during a press conference prior to this date: “I have absolutely no intention of selling,” he affirmed while expressing his commitment to using Truth Social as his communication platform.

Biden’s Withdrawal and Its Impact on Stock Prices

This past June saw fluctuations after President Joe Biden faltered during their first debate leading up to the elections; shortly thereafter Biden announced his withdrawal from running just one month later which kept pressure on DJT shares amid speculation regarding Harris’ potential victory.

Legal Challenges Affecting Market Confidence

This year also brought legal challenges for Donald Trump when he was found guilty on all counts related to falsifying business records linked with influencing the 2016 presidential campaign—a verdict that caused stocks to dip by 5% immediately following its announcement. His sentencing has been postponed until November 26th.

A Decline Since Public Debut

Shares have plummeted nearly 70% since their initial public offering earlier this year amidst these developments and ongoing scrutiny surrounding Truth Social’s viability against established social media giants after Trump’s ban from major platforms like Facebook and Twitter post-January 6 riots led him to create Truth Social as an alternative outlet for communication—though he’s since returned officially back onto X mid-August after nearly one year away from mainstream social media channels.

Difficult Financial Results Raise Questions About Future Viability

Diving deeper into financial performance reveals troubling signs: DJT reported second-quarter losses amounting to $16.4 million—with half attributed directly towards expenses incurred through its SPAC merger—and revenue figures fell short too—recording just under $837K representing a staggering drop-off by roughly thirty percent compared year-over-year results ending June thirty.