Shares of Trump Media surged more than 18% on Monday, boosting Donald Trump’s on-paper net worth by hundreds of millions of dollars. This increase followed a shift in online election betting markets showing odds tilting in Trump’s favor, despite polls indicating a tight race between him and Vice President Kamala Harris. The surge also coincided with the launch of a new site for Trump Media’s TV streaming app, Truth+. The stock hit an intraday peak above $30 per share and closed at $29.95 after experiencing a flurry of trading with more than 57 million shares exchanging hands.
Despite Trump Media’s market capitalization of nearly $6 billion, the company has a small user base and generates little revenue. Trump owns nearly 57% of the company’s stock, worth around $3.4 billion at Monday’s closing share price. He has pledged not to sell his stake, which constitutes over half of his on-paper net worth. Analysts suggest that many of Trump Media’s retail investors are supporters of the former president who are buying and selling the stock as a way to show their support or bet on his chances of returning to the White House. The surge in the company’s stock price reflects this dynamic.
In addition to the surge in stock price, Trump Media announced the launch of a new website for its streaming service, Truth+. The site offers a range of streaming programming including more than 1,000 movies and series, some of which are exclusive to the platform. The company plans to expand Truth+ to iOS devices and other TV-connected platforms, while making the service “uncancellable by Big Tech.” However, many of the film and TV offerings on the platform appear to be older content and some have been produced using artificial intelligence tools. For example, a documentary on Al Capone features AI-generated photos and voiceover, which raises questions about the quality and originality of the content.
The surge in Trump Media’s stock price and the company’s continued efforts to expand its streaming service come amid a backdrop of shifting odds in online election betting markets that favor Trump. Despite polls indicating a close race, online gambling platforms such as Kalshi, Polymarket, and PredictIt show increasing bets on a Trump victory. This trend suggests that there is a segment of investors who are optimistic about Trump’s chances of winning the presidency again. The support from these investors may be driving the rise in Trump Media’s stock price and market capitalization.
Trump Media’s success in attracting investors who support the former president and believe in his chances of returning to the White House has contributed to its market value of nearly $6 billion. Despite its relatively small user base and revenue generation, Trump Media’s stock price has seen significant fluctuations due to the support from retail investors who are fans of Trump. The company’s stock surge on Monday, along with the launch of a new website for its streaming service, highlights the continued interest and investment in Trump’s media venture. As the race for the presidency heats up, Trump Media’s stock price and market performance may continue to be influenced by the optimism surrounding Trump’s chances.
