Trump Media Stocks Are Rising And Keep Rising

Shares of Trumpmedia rose as much as 19% on Tuesday, putting the Truth Social operator on track for a fourth straight day of gains – the longest positive price streak since June.

DJT shares rose as high as $22 at one point during extremely heavy trading.

Trump Media, where former President Donald Trump is the majority owner, was trading 80% higher than its intraday low of $11.75 per share on September 24.

But the stock price is still well below its late-March peak, when shares hit $79.38 in the company’s trading debut on the Nasdaq.

As of 2:30 PM ET on Tuesday, more than 34 million DJT shares had been exchanged, nearly tripling its 30-day average volume.

The rally has gained momentum since Saturday, when Trump held a campaign rally near Butler, Pennsylvania, the same place where he was nearly killed at a campaign rally on July 13.

Trump’s return to the site attracted thousands of supporters, as well as Tesla CEO Elon Musk, who endorsed Trump for president minutes after the assassination attempt.

Musk, the mega-billionaire who owns the social media site X, told the crowd that Trump “must win to preserve democracy in America.”

But the price increase also comes despite news about Trump Media that would normally raise concerns about a company’s well-being.

On Thursday, the company announced that its chief operating officer, Andrew Northwall, had resigned at the end of September.

Neither Trump Media nor Northwall said why he quit, and the company has not announced a successor.

Sandro de Moraes, Trump Media’s chief product officer, also left the company, according to his Truth Social account.

ProPublica reported last week that in addition to De Moraes, several lower-level employees recently left Trump Media.

Thursday’s filing with the Securities and Exchange Commission also showed that Trump Media is transferring nearly 800,000 shares of its common stock to an entity called ARC Global Investments II, an early investor in the blank check firm that took Trump Media public through a merger brought.

The measure followed a judge’s ruling that Trump Media had violated an equity agreement with ARC Global.

In late September, a company controlled by two Trump Media co-founders, which owned more than 5% of DJT shares, sold almost all of their 11 million equity stake.

That sale took place shortly after early investors in the company, including Trump, were allowed to sell their shares.

Trump owns nearly 57% of Trump Media — a stake worth nearly $2.5 billion as of Tuesday. The former president has promised not to sell his shares.

In its two most recent quarterly reports, Trump Media posted a net loss of more than $340 million on revenue of less than $2 million. The Truth Social platform attracts only a fraction of the audiences of established social media giants, including X and Facebook.

Despite the lack of profits, the company has a market capitalization of over $4 billion.

Some analysts see Trump Media as a way for retail investors to support Trump or bet on his chances of defeating Democratic presidential candidate Kamala Harris in the November election.

This is news development. Check back later for updates.