Trump's social media platform surpasses X in value

After a recent surge in price, Mr. Trump's social network Truth Social is now valued higher than billionaire Elon Musk's X network, formerly Twitter.

Information about Mr. Trump's social network Truth Social stock on the New York Stock Exchange, USA, in March 2024 - Photo: REUTERS

On October 29, local time, shares of Trump Media & Technology Group (TMTG), Mr. Trump's mini social media empire, rose as much as 8.8%. The volatility caused trading of the stock to be suspended several times.

TMTG’s value has soared in recent weeks, tripling this month alone, as former President Donald Trump races toward the end of his presidential campaign. Trump’s majority stake in TMTG is now worth about $5.9 billion.

According to the Guardian , TMTG's market value was $10.3 billion as of the end of October 29, higher than X's estimated value of $9.4 billion. Billionaire Elon Musk bought social network X two years ago for $44 billion.

Still, X is a much larger social network than Truth Social. According to Similarweb, it had 706.2 million visits last month, while Truth Social had just 13.5 million.

But TMTG investors don’t seem to mind. TMTG’s valuation is now higher than that of radio giant SiriusXM, which has about 33 million subscribers and reported a profit of $316 million in the second quarter. TMTG, meanwhile, posted a net loss of $16.4 million in the same period.

Mr Trump's fledgling company had its first notable rally early this year and joined the ranks of "meme stocks" with subsequent sudden surges as "surfers" rushed to buy.

After the dizzying price increases, TMTG's stock also witnessed a terrible decline. In March 2024, TMTG's stock peaked at $66/share but fell to only $12.15/share in September 2024.

TMTG stock has rallied this month as the race for the White House tightened with Donald Trump and Kamala Harris neck and neck in the polls, and the company has quadrupled in value since hitting a low last month.

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Source: https://tuoitre.vn/mang-xa-hoi-cua-ong-trump-vuot-x-ve-gia-tri-2024103012105153.htm