Why Rumble Stock Skyrocketed Today
Rumble (NASDAQ: RUM) stock surged in Tuesday's trading. The video-streaming company's share price ended the daily session up 15.4%, according to data from S&P Global Market Intelligence.
While there wasn't any business-specific news propelling Rumble's share price higher today, the stock gained in conjunction with an explosive valuation surge for another alternative media company. After completing its merger with a special purpose acquisition company (SPAC), Trump Media & Technology Group began trading on the market today and rocketed higher in its debut. In addition to the Trump bump, investors also likely poured into Rumble stock in anticipation of some big company-specific news this week.
Excitement surrounding Trump Media lifts Rumble
Trump Media, which houses the Truth Social business and is backed by former president Donald Trump, had been up as much as 58.9% earlier in Tuesday's trading. While the stock gave up some of its early gains, it still ended the day up 16.1%. The strong trading start for the media company, which Trump owns a majority stake in, also seemed to help increase bullish sentiment for Rumble.
Rumble and Trump Media both operate social platforms that host user-generated content as well as content from media outlets. The two companies also have a video-hosting partnership. As with Trump Media and its Truth Social platform, Rumble is broadly viewed as a conservative-leaning platform. With Trump Media stock surging in its first day of trading since the completion of the company's merger with Digital World Acquisition, Rumble benefited from the excitement.
What's next for Rumble?
Rumble is scheduled to report its fourth-quarter earnings results and host a conference call after the market closes tomorrow. With election season for the 2024 U.S. presidential and congressional elections heating up, the company could have some encouraging engagement numbers for investors tomorrow.
Rumble's founder and CEO Chris Pavlovski will also participate in a live interview and call-in session that will be broadcast on the company's platform tomorrow at 7 p.m. ET. It's possible that Pavlovski will have some major news to announce during the interview. Regardless of how tomorrow's big events shake out, it's likely that Rumble stock will see some big moves in the near term.
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Keith Noonan has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.
Why Rumble Stock Skyrocketed Today was originally published by The Motley Fool
