Shares of Trump Media & Technology Group Corp (NASDAQ: DJT) surged over 50% in premarket trading on Monday after an assassination attempt on former President Donald Trump.
The incident occurred at a rally in Pennsylvania over the weekend, raising questions about its impact on the 2024 U.S. elections and the future of Trump Media.
Trump Media CEO responds to the Incident
Devin Nunes, CEO of Trump Media & Technology Group, expressed his sympathies to the injured and the family of a participant who lost his life in the incident.
He called for a swift federal investigation to uncover the circumstances of this “cowardly attack” and to determine if others were involved.
Former President Donald Trump was rushed to a local hospital after a bullet grazed his ear during a rally in Pennsylvania on Saturday.
What the assassination attempt mean for 2024 U.S. elections
The attempted assassination of Donald Trump has had significant market implications. Experts suggest that the incident might increase Trump’s chances of winning the 2024 presidential election.
Rob Casey of Signum Global Advisors commented on CNBC that the events could strengthen Trump’s position for the upcoming election, reflecting the market’s positive reaction.
This sentiment is echoed in the cryptocurrency market, with Bitcoin up 4% at the time of writing.
However, not all analysts are optimistic. Economists at Goldman Sachs predict that a Trump victory could pose a significant headwind for the Eurozone economy, highlighting the potential global ramifications of U.S. political developments.
Is Trump Media stock worth buying in July 2024?
Trump Media stock has experienced significant volatility in 2024. The stock started the year at $17, peaked at $66 in late March, dropped to $23 in mid-April, and is currently trading around $46.
Despite the recent surge, the stock is still down over 30% from its year-to-date high.
The company, based in Sarasota, Florida, owns the social media platform Truth Social.
In its first financial quarter, Trump Media reported a $328 million loss on $0.77 million in revenue.
CEO Devin Nunes has highlighted plans to enhance the platform by developing a live TV streaming service through their own content delivery network.
Meanwhile, Trump Media faces several risks. The company’s future is closely tied to Donald Trump’s continued use of Truth Social.
If Trump decides to switch to another social media platform, it could significantly impact Trump Media’s value.
The management has acknowledged this risk, adding a layer of uncertainty for potential investors.
Moreover, Trump Media shares are not widely covered by Wall Street analysts, adding another layer of unpredictability for investors considering the stock.
Finally, the recent assassination attempt on Donald Trump has had a notable impact on Trump Media’s stock, sparking a surge amid market speculation about its implications for the 2024 elections. While some analysts see this as a potential boost for Trump’s electoral prospects, others warn of broader economic consequences.
Investors should weigh the volatility and inherent risks before making any decisions regarding Trump Media stock. As the situation unfolds, the company’s future will likely remain closely tied to Donald Trump’s political fortunes and media strategies.
The post Trump Media stock surges 50% after assassination attempt on Donald Trump appeared first on Invezz
