Phunware (NASDAQ:PHUN) and Digital World Acquisition (NASDAQ:DWAC) stocks looked like extending their new-found celebrity status with fresh gains in Monday’s premarket trading.
Phunware rose 20% and DWAC 5% in volatile trading after closing Friday with gains of 471% and 107%, respectively.
It was DWAC first that shot into limelight Thursday after previous day’s announcement it would merge with Trump Media & Technology Group, an outfit set up by the former President to pursue opportunities in media.
The heart of that business will be a new social media platform called ‘TRUTH Social,’ that he says will “stand up to the tyranny of Big Tech.”
Since the announcement, DWA stock rose 1,657% before closing Friday with gains of 846% over two days, reflecting anticipation that the president will be able to monetize his still-large public following through the business.
Even as DWAC was basking in its new-found status, the world discovered Phunware, catapulted into prominence by traders who dug out an old article by USA Today and circulated in social media. The May 2020 piece highlighted a partnership between Phunware and the Trump campaign of 2020.
According to that USA Today article, Phunware was associated with the Trump re-election campaign. Based on the article, the market speculated if Phunware would be the one developing Trump’s platform. There’s no final word yet on that though.
Phunware soared as much as 1,471% in just Friday’s session before giving up some of the gains.
The company operates a platform for mobile that provides companies products, solutions and data and services necessary to engage and make money off its mobile application consumer base.
Trump has been off social media as both Facebook (NASDAQ:FB) and his then favorite, Twitter (NYSE:TWTR), banned him from their platforms for his alleged role in inciting the January 6 Capitol riot. Since then, the former President has been exploring ways to revive social media presence, against a backdrop of reports that he will run again for President in 2024.
This article originally ran on investing.com.