Even now, it’s got only two million active users – that’s like 1% of X users and less than 0.1% of the users Facebook has.
It made ZERO revenue last year, yet it’s valued at $8 billion. And it’s not related to any of Trump’s other businesses.
So what gives?
Truth Social, which is owned by Trump Media & Technology, has basically become The Trump Stock. That’s because the “who cares” crowd chasing ways to play Trump’s increasing chances of winning the US presidential race have boosted the stock by 180% in just A MONTH.
Meme vibes
- $DJT hit the market through a SPAC merger with Digital World Acquisition in March.
- In true meme stock fashion, its fundamentals are basically nonexistent.
- Ad revenue in the last quarter came in at only $837,000. Yikes.
The chart below tells quite the story. Since March, $DJT has dropped more than 70%, only to shoot back up by over 120%. But beyond Trump’s election odds, there’s not much else driving this rollercoaster:
Elections fling
The stock seems to be closely tracking Trump’s winning odds in prediction markets. It even jumped to sixth place on Interactive Brokers’ list of the 25 most active symbols last week. So yeah, it could make you a quick buck if Trump’s election chances keep rising… but expect a wild ride.
Steve Sosnick, Interactive Brokers’ chief strategist, calls it “the ultimate leveraged election play.” It’s like gambling with borrowed money – a major win could pay off “bigly,” but a loss could hit even harder.
