Shares of Trump Media experienced a remarkable surge, rising more than 21% in just one day, marking the stock's best performance since October. This increase comes as President-elect Donald Trump prepares for his second inauguration on January 20. At Monday's market close, Trump Media's capitalization stood at over $9.3 billion. The leap in share value follows the conclusion of a lockup period, which had previously restricted company insiders from selling their stakes for six months. This lockup was associated with a merger involving a special purpose acquisition company (SPAC), which facilitated public trading of DJT shares.
The trust holding these shares is managed by Donald Trump Jr., who possesses sole voting and investment power. Late last year, Donald Trump transferred his entire stake in Trump Media to this revocable trust, positioning his son as the lone trustee. This move has placed significant influence over the company's future in the hands of Donald Trump Jr., as he navigates the investment landscape following the stock's impressive upward trajectory.
The surge in stock price also coincides with notable support from major tech companies and executives for Trump's inaugural fund. Google, OpenAI, and Meta each contributed $1 million to bolster the fund, while Apple CEO Tim Cook and Amazon also made contributions. This influx of financial backing underscores the technology sector's engagement with Trump's upcoming term.
Trump's inaugural celebrations are set to begin with a reception on Saturday, followed by additional festivities and a "victory rally." These events will precede his swearing-in ceremony, where he will commence his second term in office.
Since hitting its lowest point in September 2021, Trump Media's stock has climbed an impressive 250%. The recent surge reflects renewed investor confidence and anticipation surrounding Trump's return to the White House. The past week's performance is reminiscent of the stock's earlier rally on October 28, which followed a campaign event by Trump himself.
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