Shares of Trump Media & Technology Group (DJT) surged about 15% on Monday after Elon Musk made a surprise appearance at Donald Trump’s rally in Butler, Pa., over the weekend. It was the same location where the former president survived an assassination attempt in July.
The tech billionaire Musk, who serves as the CEO of Tesla (TSLA) and SpaceX and also owns social media platform X (formerly Twitter), has been outspoken about his support of Trump ahead of next month’s election. Trump has even said he would consider a cabinet position for Musk but that the businessman likely would not be able to serve “with all the things he’s got going on.”
At Saturday’s rally, Musk told the crowd that Trump is the only candidate who can “preserve democracy in America,” adding this will be “the last election” if Trump does not win.
The former president remains in a deadlocked race against current vice president and Democratic nominee Kamala Harris, who just embarked on a flurry of media appearances in an attempt to solidify recent momentum in the polls.
Harris appeared on an episode of “Call Her Daddy,” a popular podcast catered toward Generation Z, along with a sit-down interview for “60 Minutes.”
Trump maintains a roughly 60% interest in DJT. At current levels of around $19 a share, Trump Media boasts a market cap of about $3.8 billion, giving the former president a stake worth around $2.3 billion. Right after the company’s public debut, Trump’s stake was worth just over $4.5 billion.
Trump Media went public on the Nasdaq in late March after merging with special purpose acquisition company Digital World Acquisition Corp. But the stock has been on a bumpy ride since, with shares oscillating between highs and lows as the moves have typically been tied to a volatile news cycle.
Last month, the stock traded at its lowest level since the company’s debut following the expiration of its highly publicized lockup period.
Stakeholders, including the former president, were subject to a six-month lockup period before being able to sell or transfer shares. That lockup period expired on Sept. 19, although Trump said at the time that he would not sell his stake.
“I have absolutely no intention of selling,” the former president told reporters at a press conference prior to the lockup period expiration. “I love it. I use it as a method of getting out my word.”
In June, the stock popped (then fell) after current commander in chief Joe Biden stumbled in his first presidential debate of 2024 with Trump. Biden dropped out of the presidential race one month later.
Since Biden’s announcement, shares have remained under pressure as investors debate the possibility of a Harris win.
In May, Trump was found guilty on all 34 counts of falsifying business records intended to influence the 2016 presidential campaign — a verdict that sent shares down 5% the day after the conviction. His sentencing was recently delayed until Nov. 26.
Shares have fallen about 70% since the company’s public debut.
Trump founded Truth Social after he was kicked off major social media apps like Facebook (META) and Twitter, now X, following the Jan. 6, 2021, Capitol riots. Trump has since been reinstated on those platforms. He officially returned to X in mid-August after about a year’s hiatus.
But as Truth Social attempts to take on the social media incumbents, the fundamentals of the company have long been in question.
In August, DJT reported second quarter results that revealed a net loss of $16.4 million, about half of which was tied to expenses related to the company’s SPAC deal. The company also reported revenue of just under $837,000 for the quarter ending June 30, a 30% year-over-year drop.
Last week, the company revealed that its COO had stepped down in September.
Alexandra Canal is a Senior Reporter at Yahoo Finance. Follow her on X @allie_canal, LinkedIn, and email her at alexandra.canal@yahoofinance.com.
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