By Noël Randewich
(Reuters) – Shares of Trump Media & Technology Group, majority owned by former U.S. President Donald Trump, rose nearly 5% on Monday after a poll showed the Republican candidate in a tight race against Vice President Kamala Harris in front of the White House.
The rebound in the company’s shares follows weeks of declines that sent it to record lows and comes ahead of key dates this month when Trump and other company insiders will be allowed to sell their shares.
Trump Media, whose main asset is the Truth Social app, saw its value soar to nearly $10 billion after listing in March, lifted in part by Trump supporters and traders betting he would win the November election.
Monday’s recovery in Trump Media follows a new poll suggesting that Democratic rival Harris’ recent gains against Trump have stalled and may have been reversed.
Trump is ahead of Harris by one percentage point at 48%-47%, according to a national poll conducted by The New York Times and Siena College.
With eight weeks to go before the Nov. 5 presidential election, the contracts for Trump and Harris’ victories are both trading at 52 cents, with a potential payout of $1, on the PredictIt political betting platform. Harris had led Trump by 54 cents versus 50 cents on Saturday.
Monday’s stock gain in Trump Media follows several weeks of declines and leaves the company’s market value at $3.6 billion. That brings Trump’s 57% stake to more than $2 billion.
For the June quarter, Trump Media reported a loss of $16.4 million and revenue of $837,000 – equivalent to the revenue of two Starbucks (NASDAQ:) stores.
Under terms of Trump Media’s listing, Trump and other insiders will be allowed to sell shares starting later this month, potentially flooding the market with additional shares.
If the stock price remains at or above $12 for 20 trading days from August 22, Trump will be free to sell shares from September 20. Otherwise, he will be eligible to sell shares starting September 26. last at $17.94 on Monday.
