Shares of Trump Media & Technology (NASDAQ:DJT) rose on Election Day Tuesday, with traders betting a second Trump presidency would give the business prospects of the Truth Social operator a boost.
The stock, whose ticker is taken from former President Donald Trump’s initials, is also seen as a proxy for Republican candidate’s prospects of retaking the White House. Wall Street research firms listed the stock as one to watch leading into Tuesday.
Year to date, Trump Media, which is majority-owned by Trump, has nearly doubled. However, it has struggled recently, as Vice President Kamala Harris appeared to gain momentum heading into Election Day. Shares have plummeted 33% over the past week. But the stock was up 12% on Monday.
“We are trading this like GameStop (NYSE:GME) on steroids right now,” said Jay Woods, chief capital strategist at Freedom Capital Markets, on CNBC Monday.
“And you know, kudos to those that are trading it making money. But over the long term, the metrics don’t make any sense,” Woods added.
Trump Media shares have seen huge retail trader inflows in the week’s leading up to the election and has been the most-discussed stock on Reddit page WallStreetBets, which gained popularity during the GameStop fueled stock meme fad of 2021.
Despite the wild swings in DJT stock, the latest NBC News poll shows Trump and Harris are neck and neck, with both candidates getting support from 49% of voters.
DJT shares acquired $5.80, or 16.8%, to $40.11.
