DWAC update: Meme stock crowd looks to push Trump’s SPAC to the moon
It’s primed, in other words, to become the most meme-y of meme stocks ever, and the online day-trader crowd has wasted no time driving share prices through the roof. Like GameStop and AMC before it, DWAC is all over the WallStreetBets subreddit, and Nasdaq said this morning it was still one of the most active stocks before the bell. DWAC shares were trading at under $10 on Tuesday afternoon, but had surged to $175 by Friday, a more than 1,750% increase that triggered volatility halts by Nasdaq.
DWAC’s value soared north of $10 billion, and this morning, stocks are still selling for almost $100 a share. As a regular feature of meme stocks, much of it is the work of traders who don’t necessarily believe in viability of the company they’re investing in: One told Reuters, he doesn’t support Trump, but wanted to make a quick profit. “Is Trump’s social network going to work out? Probably not,” he said. “But that doesn’t mean you can’t make money in the meantime.”
Because Trump’s company hasn’t provided even a business plan, much less any basis for its valuation, for now everything is just words on paper. Technically, you can “pre-order” the Truth Social app in Apple’s App Store, but it won’t debut until the first quarter of 2022. (Individuals who can’t wait and want beta access are invited to “visit www.truthsocial.com to sign up for the invite list.”)
