Shares in Trump's social media company increase after shooting

Donald Trump owns a majority of Trump Media and Technology Group,  which reported losses of $327m during the first three months of the year. Picture: Gene J Puskar/AP

Shares in Donald Trump’s social media company — Trump Media and Technology Group — rose yesterday after a failed assassination attempt on the former US president.

The company’s main operation is the social media website Truth Social, which was launched after Mr Trump was banned from major sites following the 2021 Capitol riot. It is often criticised for hosting far-right and extreme content.

Mr Trump owns a majority stake in the company.

Shares in the company were trading at just over $41 (€37.60) on Monday when trading resumed. 

The company became listed on the Nasdaq exchange after it merged with the special acquisition company Digital World Acquisition Corporation.

Merging the companies like this means Trump Media and Technology Group could avoid the traditional rigorous due diligence that usually comes with going public through an initial public offering.

Shares in the company had fallen dramatically since the merger at the end of March. Shares peaked at just over $79 after merger, but have since fallen to less than half at $31 prior to the shooting in Pennsylvania.

During the first three months of this year alone, the company said it had lost $327m with revenues of just $770,500.

Other stocks, which would benefit from Mr Trump winning another term in the White House, also rallied—  including in companies which operate private prisons, gunmakers, and cryptocurrency mines.

Shares in gunmakers Smith and Wesson Brands and Sturm Ruger and Company were up 13% and 10% respectively. Private prison companies GEO Group and CoreCivic also rose.

Meanwhile, shares of solar energy firms slumped, given Democrats are seen as being more friendly towards the industry.

• Bloomberg