Trump Media and Technology Stock Surges After First Presidential Debate: Analyzing the Risks and Rewards of Investing in DJT
Following the highly anticipated first U.S. presidential debate, shares of Truth Social, owned by Trump Media, experienced a 5% increase at the opening bell. Some investors speculate that if former President Donald Trump is re-elected, the platform could become a more prominent voice for him. During the debate, President Joe Biden and Trump clashed on several topics, including abortion, immigration and the attack on the U.S. Capitol in 2021. While Biden’s performance was seen as uneven, Trump faced criticism for spreading falsehoods.
In political futures markets, Biden’s odds of remaining the Democratic party’s nominee decreased by 29% after the debate. Citi analysts predict that there may be increased interest in Trump Media & Technology based on news headlines following the event. The stock, traded under the ticker symbol “DJT,” has been volatile throughout its history, particularly during Trump’s run for president and after his conviction in a hush money trial.
Trump Media & Technology saw significant swings in its stock price earlier this year, peaking at nearly $80 in intraday trading in late March. Despite these fluctuations, the stock has tripled in value this year alone making it an attractive but risky investment opportunity for those looking to diversify their portfolio. The company reported a loss of over $300 million in its first earnings report as a publicly traded entity which raises questions about its long term viability as a business venture
