Former President Donald Trump’s venture into the social media world is making headlines once again as his company, Trump Media & Technology Group, prepares to begin trading under the ticker “DJT” on Tuesday. This move comes after the merger with a special purchase acquisition company (SPAC), Digital World Acquisition Corp., was approved by shareholders last Friday.
The eponymous symbol “is so on brand” for Trump, according to Kristi Marvin, chief executive of SPACInsider.com. The stock price of Digital World Acquisition Corp. surged 23% to $45.50 on Monday, indicating a potential valuation of $5 billion or more for the new Truth Social company.
Despite the excitement surrounding the IPO, some investors are cautious due to Truth Social’s modest revenue of $3.3 million for the first nine months of 2023. With an estimated 5 million active members, the platform still has a long way to go compared to giants like Reddit, which reported 73.1 million daily active users and $804 million in revenue last year.
Interestingly, this isn’t the first time Trump has been associated with the DJT ticker. In 1995, Trump took his Trump Hotels & Casino Resorts public with the same symbol, only to see the stock price plummet to pennies before filing for bankruptcy in 2004.
As Trump Media & Technology Group gears up for its public debut, all eyes will be on how Truth Social performs in the competitive social media landscape. Stay tuned for more updates on this developing story.
