Shares of Trump Media surged more than 18% on Monday, resulting in a significant increase in Donald Trump’s net worth. This surge came as online election betting markets showed odds shifting in favor of Trump, following weeks of leaning towards Vice President Kamala Harris. The surge coincided with the launch of a new site for Trump Media’s TV streaming app, Truth+. The stock traded above $30 per share at its peak and closed at $29.95, with over 57 million shares traded on Monday.
Despite polls showing a close race in the presidential election, online gambling platforms such as Kalshi, Polymarket, and PredictIt showed growing odds of a Trump victory. Analysts believe that many of Trump Media’s retail investors are supporters of the former president, buying and selling the stock to show their support or bet on his odds of winning the White House. Trump owns nearly 57% of the company’s stock, worth around $3.4 billion, and has vowed not to sell his stake, which comprises more than half of his on-paper net worth according to Forbes.
In addition to the surge in stock price, Trump Media announced the launch of a new website for its streaming service, Truth+. The platform offers over 1,000 movies and series, including exclusive content, with plans to expand to iOS devices and TV-connected platforms. Despite claims of being “uncancellable by Big Tech,” most of the content appears to be older films and TV shows, some of which may have been created using artificial intelligence tools. For example, a documentary on Al Capone consists of AI-generated photos and an AI voiceover.
The company behind Truth Social, despite having a market capitalization of almost $6 billion, has a relatively small user base and generates little revenue. The high valuation could be attributed to the support from Trump supporters who buy and sell the stock to show their backing or bet on Trump’s chances of reclaiming the presidency. Trump’s ownership of the majority of the company’s stock has contributed significantly to his on-paper net worth, which currently stands at over $3.4 billion.
The surge in Trump Media’s stock price reflects the enthusiasm of Trump supporters and investors who believe in Trump’s potential to win the presidency in the future. The company’s association with the former president has attracted a dedicated following, with the stock price responding to market sentiment and online gambling market trends. Despite questions about the company’s revenue and user base, the stock’s performance has been driven by the perception of Trump’s influence and the possibility of his return to the White House.
In conclusion, the recent surge in Trump Media’s stock price, driven by online betting market trends and the company’s association with former President Donald Trump, has resulted in a significant increase in Trump’s on-paper net worth. The company’s launch of a new website for its streaming service, Truth+, has attracted attention, although some content appears to have been created using artificial intelligence tools. The dynamics of Trump Media’s stock price reflect the influence of Trump supporters and investors who are optimistic about Trump’s chances of returning to the presidency, despite questions about the company’s revenue and user base.
