Shares Of Trump Media Surge as Election Nears
Last Updated :
31 Oct, 2024
Blog Author :
Edited by :
Ashish Kumar Srivastav
Reviewed by :
Dheeraj Vaidya, CFA, FRM
Table of Contents
What Are Analysts Saying?
According to industry analysts, Trump Media shares’ performance is similar to classic meme stocks. As one can observe, social sentiment is driving Trump Media shares price, resulting in a speculative trading frenzy. Some experts and analysts believe that the stock’s valuation of 1600 times enterprise value defies logic as market participants are trading the stock with their hearts, not their heads.
According to Steve Sosnick, the chief strategist of Interactive Brokers, the line between gambling and trading is becoming increasingly blurred. Some investment research firms, for example, S3 Partners, are of the opinion that the stock might become worthless if Trump fails to win the 2024 election. However, according to S3 Partners, short sellers could incur substantial losses in case Trump wins.
About Trump Media and Technology Group Corp.
Headquartered in Sarasota, Florida, Trump Media & Technology Group Corp operates Truth Social, a social media platform that opposes censorship and promotes free speech. Former US President Donald J. Trump is the company’s largest shareholder, owning over 57% of the shares. Trump Media shares debuted on the NASDAQ in March 2024.