Trump’s Truth Social stock is performing exceptionally well despite the company facing financial losses. Let’s take a closer look at why this is happening.

– Shares of Donald Trump’s social media platform Truth Social have surged in its initial days of trading
– Trump Media & Technology Group, the parent company of Truth Social, saw a 16% increase on its first day on the market and a 14% jump on the second day
– Truth Social currently has a valuation of over $8 billion despite minimal revenue and no profit
– Trump’s 60% stake in the company could lead to a significant financial gain
– Experts believe that the stock surge is driven by Trump supporters and opportunistic traders rather than financial performance
– Truth Social is compared to meme stocks like GameStop and AMC, indicating a surge in sentiment rather than company performance
– The company has far fewer website visitors and revenue compared to social media giants like Instagram and TikTok
– Trump cannot sell or leverage his stake in Truth Social for at least six months due to a lockup provision
– Financial analysts caution that the stock price of Truth Social may eventually decline as the company’s financial reality becomes more apparent
– Despite challenges, there is potential for Truth Social to serve as a platform for additional Trump-led media ventures.



Source link