Shares of Trump Media & Technology Group (DJT) rose 19% on October 8 as a rally in the social media stock gathers momentum.
Trump Media, which runs the Truth Social app that is modeled after X/Twitter, has seen its share price gain 36% in the past week, marking its longest win streak since June of this year. DJT stock, which is majority owned by Donald J. Trump, began rising after Tesla (TSLA) CEO Elon Musk appeared at a campaign rally with the former U.S. president.
Some 45 million shares of Trump Media changed hands on October 8, more than triple its 30-day average trading volume. DJT stock is currently trading at $21.80 per share, up 85% from an intraday low of $11.75 a share on September 24. The rally has accelerated since Musk appeared with Trump at a campaign rally near Butler, Pennsylvania, the site where the former president was nearly assassinated on July 13.
Troubles at Trump Media
Despite the big leg higher in recent days, DJT stock remains 73% below the all-time high of $79.38 reached shortly after its market debut this past spring. Trump Media is also dealing with several financial and personnel problems.
In recent days, the company revealed that its chief operating officer (COO) Andrew Northwall resigned in late September. Trump Media has not named his successor. Additionally, Trump Media’s chief product officer, Sandro de Moraes, quit the company. Trump Media & Technology Group posted net losses of more than $340 million on revenue of less than $2 million in its first two quarterly financial reports.
Donald Trump owns 57% of Trump Media stock, a stake worth almost $2.5 billion as of today’s (October 8) market close.
Is DJT Stock a Buy?
No analysts cover Trump Media stock. However, the chart below clearly shows that DJT stock has enjoyed a big rally in recent days as investors cheer on the former U.S. president and his social media company.
