Shares of Trump Media and Technology Group saw a significant increase on Friday following former President Trump’s declaration that he would not sell his stock in the company.
Trump Media, which oversees Trump’s Truth Social platform, experienced a boost after the former president informed reporters at his California golf club that he intends to retain his shares in the company and remain active on the social media platform.
In a public statement, Trump affirmed, “No, I’m not selling. I’m not leaving. I love it. I think it’s great.”
Following these remarks, Trump Media’s stock surged by as much as 30% before closing with a 12% gain for the day. This rise follows a period of consistent decline ahead of crucial dates this month when Trump and other insiders will be permitted to sell their shares.
Trump holds approximately 57% of Trump Media. This stock has gained popularity among retail traders and is often seen as a speculative investment linked to his chances of winning a second presidential term. However, the shares have recently experienced significant losses, exacerbated by President Biden’s decision not to run for re-election and a downturn in polling results for Trump leading up to the November 5 presidential election.
After its market debut in March, Trump Media’s stock value soared to nearly $10 billion. Nevertheless, the value has since dropped, with recent weeks marking a rapid decline.
Provisions associated with Trump Media’s listing allow Trump and other insiders to commence stock sales later this month, potentially increasing the supply of shares in the market.
By the close of trading on Friday, the stock price settled at $17.97, valuing Trump’s stake at approximately $2 billion. Forbes estimates Trump’s total wealth at $3.7 billion.
Reuters contributed to this report.
