Donald Trump’s social media platform “Truth Social” is now valued higher than Elon Musk’s X as it has surged in worth since late September, surpassing an estimation of over 10 billion dollars. According to Fidelity’s latest valuation, X is estimated to be around 9.4 billion dollars.
It is widely believed that the stock price of Trump Media & Technology Group (TMTG) is not necessarily tied to its own profit prospects but often fluctuates with the U.S. presidential election dynamics. This phenomenon indicates that many investors believe Trump may potentially return to the White House.
On Tuesday, the stock surged over 12% to $53.30, following a 21.6% increase on Monday. Due to significant price fluctuations, trading was briefly halted multiple times in the morning. At the end of last month, the stock price had dropped to about $12.
After being banned from Twitter and Facebook following the Capitol riot on January 6, 2021, Trump founded TMTG. He owns about 57% of the company’s shares but is not involved in its operations.
TMTG, headquartered in Sarasota, Florida, is currently operating at a loss and is striving to boost its revenue.
However, with Trump’s rising influence, TMTG’s current market value has surpassed that of many companies, including Caesars Entertainment, Match Group, Walgreens Boots Alliance, and Hasbro.
Elon Musk is one of the most crucial supporters in Trump’s campaign for reelection. As the world’s wealthiest person, Musk has pledged over 70 million dollars in support of Trump, and recently held several town hall events to endorse the former president.