Why Trump Media Stock Surged 14.7% Last Month and Has Kept Rising in 2026

Core Insights - Trump Media & Technology Group's stock experienced a significant increase of 14.7% in December, driven by major merger news, although it remains down approximately 60% over the past year [1][3]. Group 1: Merger and Acquisition - Trump Media announced a $6 billion all-stock merger with TAE Technologies, aiming to create one of the world's first publicly traded fusion companies [3]. - The merger is expected to close around mid-2026, with plans to begin production on a fusion power plant this year [5]. - The shift towards nuclear energy marks a significant pivot for Trump Media, which has previously explored various business avenues including social media and financial trading services [4]. Group 2: Market Performance - Following the merger announcement, Trump Media's stock continued to rise, with an additional increase of approximately 5% in 2026 due to plans to distribute cryptocurrency tokens to shareholders [6][7]. - The company's stock gains are attributed to its strategic partnerships and the potential growth in energy demand related to artificial intelligence [5][8]. Group 3: Business Strategy and Challenges - Trump Media has leveraged its connections to former President Donald Trump to attract investor support and facilitate partnerships [8]. - Despite the positive market response, the company has yet to establish significant revenue streams, raising questions about the sustainability of its growth initiatives [8].