Trump Media stock jumps after former president says he won't sell his shares

Shares of Trump Media and Technology Group surged on Friday after former President Trump vowed not to sell his stock in the company.

Trump Media is the parent company of Trump's Truth Social, and the former president told reporters at his California golf club on Friday afternoon that he was keeping his shares in the firm and that he will not leave the social media platform.

"No, I’m not selling," Trump said. "I’m not leaving. I love it. I think it’s great."

Trump Media surged as much as 30% following his comments before closing with a 12% gain for the day.

Trump owns about 57% of Trump Media, which saw its shares slump this week following his televised debate with Democratic rival Vice President Kamala Harris.

Friday's leap in the stock follows weeks of steady declines ahead of key dates this month when Trump and other company insiders will be allowed to sell their shares.

Trump Media saw its value balloon to nearly $10 billion following its stock market listing in March. Trump Media's stock is popular among retail traders and is seen as a speculative bet on his chances of securing a second four-year term as president.

However, since its listing, Trump Media shares have lost most of their value, with losses accelerating in recent weeks after President Biden gave up his re-election bid and Trump lost a lead in opinion polls ahead of the Nov. 5 presidential election.

According to provisions related to Trump Media's listing, Trump and other insiders will be allowed to sell stock beginning later this month, potentially flooding the market with additional shares.

The stock ended at $17.97 on Friday following Trump's comments, making his stake worth about $2 billion. Forbes values Trump's wealth at $3.7 billion.