Former President Donald Trump’s social media platform, Truth Social, surged in the stock market Monday.
The parent company of Truth Social – Trump Media & Technology Group (DJT) – increased by 15%, CNN Business reported Monday late afternoon. (RELATED: ‘It’s Not Going To Be Close’: Mark Halperin Says Women Will Decide Election)
Truth Social is a 3 years old tech startup.
It’s worth $5.4 billion.
If you (a venture capitalist) had done a $1m on $10m post seed round, you would be sitting on $500m+ in gains and a 714% IRR.
This is why VCs should NEVER pass on founders based on political views.
— John Coogan (@johncoogan) October 16, 2024
The stock price has drastically wavered since it went public in March. Its value quadrupled over five weeks before nosediving 41% over the last three trading sessions, CNN Business noted.
Market analysts pointed to Trump’s recent success in election prediction sites as a potential factor in the stock’s surge. (RELATED: ‘I’m Just Nervous, Nervous, Nervous’: CNN’s Van Jones ‘Worried’ Over Harris’ Chances In Pennsylvania)
The election betting site Polymarket gives Trump a roughly 58% chance of winning Tuesday’s election as of Monday afternoon. However, other polls have the race in a deadheat, particularly in swing states.
Trump’s odds are back on the rise.
🟥 Trump • 57.7% chance
🟦 Harris • 42.3% chanceTomorrow is election day. pic.twitter.com/M3Pawmk2Sn
— Polymarket (@Polymarket) November 4, 2024
An Emerson College poll gives Trump a one-point edge in Pennsylvania (49% to 48%) and Georgia (50% to 49%) while Harris has a two-point edge in Michigan (50% to 48%). The candidates are tied in Nevada and Wisconsin, according to the poll.
The stock’s jump increased Trump’s net worth by around half a billion dollars.
“I’ve never seen anything quite like this,” Managing partner and co-founder of venture capital firm Deepwater Asset Management, Gene Munster, told the CNN. “This company’s values is almost entirely based on the outcome of the election.” (RELATED: Final 202 NY Times/Siena College Polls Shows Contradictions, Surprising Shifts In Key States)
DJT’s shares skyrocketed over 200% in October, The New York Post reported.