Trump Media, Reddit surge despite questionable profit prospects, taking on the 'meme stock' mantle

  • 📰 SooToday
  • ⏱ Reading Time:
  • 49 sec. here
  • 2 min. at publisher
  • 📊 Quality Score:
  • News: 23%
  • Publisher: 85%

Coin Coin Headlines News

Coin Coin Latest News,Coin Coin Headlines

NEW YORK (AP) — Reddit and Trump Media are the first notable social media companies to begin trading publicly in the last five years.

NEW YORK — Reddit and Trump Media are the first notable social media companies to begin trading publicly in the last five years. They're also, thanks to the rabid reception among investors coupled with the companies' fuzzy profit outlooks, the latest meme stocks.

Then Trump Media stole Reddit's thunder by jumping as much as 59% on its first day of trading Tuesday, before cooling off and closing with a gain of 16%. On Wednesday, the stock gained an additional 14% to close at $66.22. Former President Donald Trump holds a majority stake in Trump Media that could bring him billions.

Research firm Similarweb estimates that Truth Social had roughly 5 million monthly visits in February of this year. By comparison, Facebook had 15.2 billion visits, while Reddit had 2 billion. Granted, GameStop had the backing of Ryan Cohen, founder of the e-commerce pet food company Chewy, who investors likely thought could modernize GameStop's business. But a number of investors were individuals who belonged to the Reddit community Wall Street Bets and bought shares in order to “stick it to” to big institutions that had made bets the stock would drop. As the stock took off, even more investors seized the opportunity to buy.

 

Thank you for your comment. Your comment will be published after being reviewed.
Please try again later.
We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:

 /  🏆 8. in COİN

Coin Coin Latest News, Coin Coin Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

Reddit IPO: How the social media stock is trading on day 2Reddit (RDDT) has entered its first full day of trading since its IPO on the New York Stock Exchange on Thursday. Despite soaring 48% on its market debut...
Source: YahooFinanceCA - 🏆 47. / 63 Read more »