Shares of Trump Media & Technology (DJT), parent company of Truth Social, surged on Monday following a failed assassination attempt on former President Donald Trump over the weekend. Concurrently, Tesla (TSLA) saw a rise after CEO Elon Musk officially endorsed Trump for the 2024 election.
DJT stock climbed 33% to 41.23 during Monday’s trading session, peaking at 46.27 intraday—the highest level since early June.
The surge in Trump’s stock came after an incident where shots were fired during a rally, resulting in Trump being quickly escorted off stage with apparent injuries. Authorities are investigating the incident as an attempted assassination.
In related legal news, a federal judge on Monday dismissed the indictment in the classified documents case against Trump, citing improper appointment of the special counsel.
The value of DJT stock is closely tied to the Trump brand, particularly since the launch of Truth Social following Trump’s removal from Twitter after the January 6, 2021 Capitol riot.
Following the assassination attempt, Trump garnered endorsements from prominent figures in the investing and business community, including Elon Musk and Bill Ackman.
Musk expressed his endorsement on X (formerly Twitter) on Saturday, stating, “I fully endorse President Trump and wish him a speedy recovery.” Tesla stock rose 6.6% to 264.82 early Monday, building on its 25% rally in July.
Despite financial challenges, Trump Media recently raised over $105 million through the exercise of stock warrants between June 20 and July 1. As of July 1, the company reported over $350 million in cash with no debt.
In April, Trump Media filed a preliminary prospectus with the SEC to offer 21.49 million shares of common stock. The company reported a quarterly adjusted EBITDA loss of $12.1 million in May, with revenue below $1 million for the second consecutive quarter.
Despite financial losses, Trump Media believes it has sufficient working capital to sustain operations in the foreseeable future.
DJT, formerly Digital World Acquisition Corp., gained over 16% on March 26 after completing its SPAC merger with Trump Media & Technology Group. Since becoming DJT, the stock has risen 77% in 2024, with Trump holding a nearly 65% stake in the company.
