Trump Media & Technology Group shares surged Monday, one week before President-elect Donald Trump is scheduled to be sworn in for his second term in the White House.
Shares for the company behind Trump’s social media platform Truth Social ended the day up 21.5% at $42.91. It was the company’s largest single-day jump on the Nasdaq since Trump won the presidential election in November.
Shares have been volatile since Trump Media went public in March 2024, but Monday’s gains were significant, according to University of Florida finance professor Jay Ritter. The company’s shares have been likened to meme stocks like AMC Entertainment and GameStop because the stock’s success has been based on sentiment rather than hard numbers like revenue and cash flow.
Trump Media, which has a fully diluted market capitalization of more than $9 billion, according to FactSet, had a net loss of $19.2 million and earned $1 million in revenue in the latest quarter.
Trump Media: Trump transfers stake to revocable trust
Trump had been the largest direct shareholder in the company until he transferred his 114.75 million shares, or 53% of the company’s outstanding stock, to a revocable trust last month. Trump’s son, Donald Trump Jr., controls the trust, but the president-elect continues to indirectly own the shares, according to regulatory filings.
Forbes on Monday reported that Trump Media’s gains boosted Trump’s estimated net worth to $7 billion.
Trump’s inauguration is scheduled for Jan. 20 in Washington, D.C., although celebrations kick off Saturday with a reception and fireworks.
This article originally appeared on USA TODAY: Trump Media stock jumps nearly 22% ahead of presidential inauguration
