The stock price of Trump Media experienced a decline of over 10% on Wednesday, following a presidential debate where former President Donald Trump faced off against Vice President Kamala Harris. This drop comes after Trump’s debate performance was widely criticized, resulting in the company’s stock closing at its lowest since publicly trading as DJT on the Nasdaq in late March. Investing in Trump Media is often associated with Trump’s political fortunes, as the company’s success is linked to his popularity and electoral chances.
Analysts believe Trump’s electoral prospects significantly impact the company’s value. The stock’s drop on Wednesday may reflect dissatisfaction among Trump’s supporters regarding his performance in the debate held in Philadelphia. Commentators from both ends of the political spectrum noted that Harris appeared more prepared and composed than Trump, who frequently deviated from the topics Harris introduced.
After the debate, Harris’s team expressed confidence by challenging Trump for another debate, a suggestion Trump appeared hesitant to entertain. He commented on Truth Social, asserting that Harris’s desire for a rematch stemmed from her belief that he was “beaten badly.” Interestingly, Trump Media’s stock had seen a brief rise of up to 10% during trading on Tuesday, possibly indicating some optimism regarding Trump’s debate performance. However, this increase followed a significant decline, with the stock having dropped as much as 75% from its intraday high in late March, coinciding with the company’s merger with a blank-check firm.