Well, folks, strap in because the stock market just went on a roller coaster ride that even Six Flags might think twice about. We’re talking about the grand entrance of Trump Media’s $DJT stock on the Nasdaq, which, to put it mildly, exploded like a Fourth of July fireworks show. That’s right, people, former President Donald Trump’s latest venture into the social media sphere has Wall Street doing double takes and probably triple takes, too.
On its very first day, $DJT soared, climbing a whopping 50% from its opening. Imagine that—half again as much value added in just one day. This isn’t your grandma’s stock market debut; this is the kind of stuff that makes traders spill their morning coffee all over their Bloomberg terminals. Trump Media & Technology Group, the proud parent of Truth Social (Trump’s answer to getting booted off other platforms), not only made a splash but practically caused a tsunami on Wall Street, hitting a jaw-dropping $14 billion valuation ahead of the opening bell. For those keeping score at home, that’s a lot of billions with a “B.”
Now, here’s where it gets even more interesting. Running under the ticker DJT—yeah, those are his initials, in case you were wondering—the company saw a 200% rise in its stock value this year. And President Trump, holding a cozy 78% stake in the company, watched his net worth grow by $6 billion in a single day. Talk about a good day at the office.
But before you start thinking this is all sunshine and rainbows, let’s remember the wise words of Jay Ritter, a finance professor who’s been studying the wild world of initial public offerings for 40 years. He’s calling this situation “very unusual” and suggests that the stock’s divorce from fundamentals might lead to a future where $DJT is looking more like a $2 bargain bin find. So, for all you meme stock aficionados out there, maybe don’t bet the farm just yet.
Despite the cautionary tales, Trump Media raked in $3.4 million over the first nine months of 2023, making Truth Social a beacon for advertisers looking for fresh pastures now that X (formerly Twitter) seems to be scaring them off. With the social media landscape shifting faster than a politician’s promises, the success of $DJT is a testament to Trump’s enduring brand power and perhaps a sign of things to come.
When Trump makes a move, it’s anything but boring. As Congress toys with the idea of banning TikTok or forcing its sale, it’s clear the battle for social media supremacy is just heating up. And with characters like Trump leading the charge, things are looking good so far.