Shares of Trump Media, which owns the Truth Social social network, rose 5% in early trading Friday following the first U.S. presidential debate, and some investors believe it could become a bigger spokesperson for the former president if he is. re-elected.
President Joe Biden and former President Donald Trump clashed Thursday night over issues including abortion, immigration and the January 6, 2021, insurrection at the U.S. Capitol.
Biden’s performance was widely seen as uneven, especially early on. He repeatedly tried to take on Trump, who countered Biden’s criticism by relying on falsehoods about the economy, illegal immigration and his role in the Jan. 6 insurrection.
In political futures markets, where investors can bet on the political fate of candidates, the odds that Biden will remain the Democratic Party’s nominee fell 29% after the debate.
Citi analysts said Friday there could be increased interest in Trump Media & Technology based on headlines following the debate.
Trump Media & Technology shares have been rocked by Trump’s presidential bid and swung wildly a day after Trump was convicted in his trial over payments to suppress damaging news.
A New York jury found Trump guilty of falsifying business records in a scheme to illegally influence the 2016 election through hush money payments to a porn actress who said the two had sex.
The stock, which trades under the ticker symbol “DJT,” has been extraordinarily volatile since its debut in late March, joining the group of meme stocks that are prone to bouncing from highs to lows as small-pocketed investors try to catch a well-timed turn of bullish momentum.
This year, the stock has tripled in value, with double-digit percentage moves up or down in a single day. It hit an intraday high of nearly $80 on March 26. The S&P 500 index is up nearly 10% so far this year.
Trump Media & Technology reported in May that it lost more than $300 million last quarter, according to its first earnings report as a publicly traded company.
