Shares in Donald Trump’s media company, Trump Media & Technology Group, surged as election results started to roll in on Tuesday evening.

With the former president seeking re-election in a close race against Democratic Vice President Kamala Harris, investors closely tracked Trump Media’s stock as a potential indicator of his political fortunes.

The stock initially rose 10% after formal trading hours and continued its climb in late trading, reaching a 43% gain and surpassing $48 a share on the Robinhood platform.

This volatility in Trump Media’s shares underscores the market’s response to political developments and the broader uncertainty of the 2024 election.

Election night drives Trump Media shares up by 43%

Trump Media’s stock price surged 43% in special late trading on Tuesday, signalling strong investor interest as the election results remained uncertain.

The stock’s rise came as polling stations across the US reported results, with Trump showing an early lead in the Electoral College.

With the media sector sensitive to political outcomes, Trump Media & Technology Group’s performance on election night reflected market sentiment surrounding Trump’s re-election bid.

During the election season, Trump Media shares have experienced notable volatility, mirroring the competitive nature of the race between Trump and Harris.

Market observers have pointed to the stock as a proxy for Trump’s political prospects, with share price fluctuations reflecting his changing odds in a polarised political environment.

Investors appear to view Trump Media & Technology’s future performance as intertwined with the former president’s potential return to the White House.

Trump Media posts $19.2 million loss in Q3 earnings

In a surprise earnings announcement, Trump Media reported a $19.2 million loss for the third quarter, raising questions about its financial resilience.

Despite the loss, Trump Media shares rallied, highlighting the influence of Trump’s political standing over financial performance in driving investor sentiment.

Market analysts suggest that while the loss may raise concerns, the stock’s strong performance is primarily driven by speculative trading linked to the election.

Trump Media stock benefits from Robinhood’s late trading boost

Trading on Robinhood after formal market hours provided an additional lift to Trump Media’s stock, with investors actively buying shares on Election Day.

Robinhood, which facilitates retail trading, reported heightened activity for Trump Media shares, underscoring the influence of retail investors on the stock’s post-election movements.

The 43% increase, achieved in this extended trading window, marked one of Trump Media’s most significant gains of the year.

Despite the absence of a decisive result from major swing states, Trump’s early lead in the Electoral College appeared to fuel optimism among Trump Media investors.

As news outlets held off on calling key states, the preliminary results prompted a bullish response from traders expecting a favourable outcome for Trump.

This speculative trading indicates that, for now, Trump Media’s value may hinge on the evolving election narrative.

Tuesday’s spike pushed Trump Media’s share price to levels not seen in months, reflecting a highly responsive trading environment influenced by the election.

With its price now above $48, Trump Media’s stock has become a focal point for investors speculating on the political landscape.

Analysts caution, however, that future gains may depend on Trump’s long-term political and legal viability.

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As the 2024 presidential election unfolds, betting markets have swung sharply in favour of Donald Trump.

While traditionally Republican and Democratic states have aligned with their respective candidates, early signs indicate Trump is likely to secure key battlegrounds such as Georgia and North Carolina.

This momentum shift has seen Trump’s odds on major betting platforms rise dramatically, reflecting increased confidence among market participants in his potential win.

As financial and prediction markets react to these early developments, both candidates’ paths to victory are becoming clearer, though no major swing state has yet been called.

Kalshi and PredictIt show dramatic rise in Trump’s odds

On Tuesday night, prediction markets recorded a striking surge in Trump’s odds of victory. Kalshi, a popular forecasting platform, saw his odds leap to 90% from a 57% probability at the beginning of the day.

PredictIt similarly reflected a shift, with a contract on Trump winning the election climbing to 88 cents from 54 cents just 24 hours prior.

Meanwhile, Interactive Brokers’ Forecast Trader indicated a comparable rise, with Trump’s chances soaring to 90% from 59%, echoing the broader sentiment across financial prediction platforms.

Crypto-based markets also favour Trump’s chances

The influence of blockchain-based prediction markets is adding a new layer to election forecasts.

On Polymarket, a crypto-driven prediction site, Trump’s odds surged to 94% from a starting point of 62% on Tuesday morning.

These odds shifts suggest that users on decentralised platforms, which cater to a tech-savvy demographic, have also taken note of early vote counts favouring Trump.

The higher odds signal a broader market anticipation of his victory and underline the wider adoption of crypto markets in high-stakes forecasting.

Financial markets price in Trump victory, boosting dollar and Bitcoin

Beyond betting markets, financial instruments have shown a clear response to the prospect of a Trump presidency.

The dollar strengthened in after-hours trading, with a corresponding rise in Treasury yields, Bitcoin, and stocks of Trump Media and Technology Group.

This shift indicates investor sentiment adjusting to a potential continuation of Trump’s policies, particularly those favourable to market deregulation and tax relief, which had defined his previous administration.

These early movements suggest that investors are preparing for a renewed pro-market environment should Trump secure the presidency.

Traditional poll predictions still highlight close race

Despite market trends, traditional election trackers continue to emphasise a close race.

The New York Times currently forecasts an 89% chance of a Trump victory, while The Washington Post’s forecast suggests a slightly narrower path to his winning the electoral college.

This reflects the inherent volatility of real-time election tracking, where early results and projections can often swing based on turnout in key urban and suburban districts.

Harris’s early momentum dips despite prior gains in Iowa

While Tuesday’s betting market shifts suggest a Trump lead, Kamala Harris had previously gained traction over the weekend, backed by positive polling in critical areas.

The Des Moines Register/Mediacom Iowa Poll by Selzer & Co., a respected barometer of Iowa voter sentiment, showed Harris leading Trump by 47% to 44%.

This temporary gain, however, appears to have waned as the first votes were counted, illustrating the unpredictable nature of election night dynamics and the rapid shifts in market sentiment.

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Super Micro, a major player in the server manufacturing sector, reported unaudited quarterly financials on Tuesday, missing revenue expectations and issuing a weaker-than-anticipated forecast.

Super Micro is at risk of being delisted from the Nasdaq stock exchange if it does not file its annual report by mid-November.

The company’s stock fell by 17% in extended trading, heightening concerns about its governance and transparency.

In recent months, Super Micro has come under fire following allegations by an activist investor that it engaged in accounting irregularities and potentially violated export controls by shipping sensitive technology to sanctioned nations.

Despite the company’s reassurances that a special board committee found no evidence of fraud, the inability to provide audited annual results has unnerved investors and analysts alike.

Revenue falls short of expectations, impacted by Nvidia chip shortages

Super Micro reported revenue of $5.9 billion to $6 billion for the quarter ending Sept. 30, below the $6.45 billion experts had anticipated.

The figures represented a substantial 181% year-over-year increase, driven primarily by demand for its AI-optimised servers equipped with Nvidia processors.

Yet, Nvidia’s latest Blackwell GPU release has faced distribution delays, and Super Micro’s CEO Charles Liang highlighted ongoing challenges in securing sufficient chip supplies to meet demand.

Q4 forecast trails expectations, continues to weigh on market sentiment

For the upcoming December quarter, Super Micro provided revenue guidance of $5.5 billion to $6.1 billion, trailing the market’s expectation of $6.86 billion.

The company projects adjusted earnings per share (EPS) between 56 and 65 cents, significantly below the 83-cent consensus forecast.

Investors have shown concern about the company’s growth trajectory, as uncertainties regarding financial oversight continue to impact its valuation.

The departure of EY as Super Micro’s auditor last week signalled potential governance issues, prompting the board to establish a special committee tasked with investigating the firm’s financial oversight practices.

After a three-month review, the committee concluded there was no evidence of fraud but recommended a series of governance enhancements.

This report is expected to be finalised within days, potentially offering insights into the firm’s next steps to restore investor confidence.

CEO Charles Liang stated that Super Micro is urgently working to address its delayed reporting, aiming to retain its Nasdaq listing.

In the meantime, the company is actively seeking a new auditing firm to resolve its compliance issues.

Super Micro’s share price, which reached a high of $118.81 in March following its inclusion in the S&P 500, has since plummeted by nearly 80%, erasing over $55 billion in market capitalisation.

The recent developments highlight Super Micro’s struggle to balance rapid growth with effective regulatory compliance and transparent governance practices.

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If Donald Trump secures a return to the White House, his policies could bring mixed outcomes for Tesla and its CEO, Elon Musk.

While a Trump presidency might provide Musk with favourable conditions to advance certain initiatives, experts warn it could also unsettle Tesla’s consumer base and market stability.

Musk, a vocal Trump supporter, could see some policies work to his advantage, yet the broader electric vehicle (EV) sector may face challenges under Trump’s administration.

Tesla’s advantage in a Trump-led economy

A primary concern for the EV industry under Trump’s leadership is the potential elimination of federal EV subsidies and tax incentives.

Trump has historically supported the fossil fuel industry and criticised green energy policies, suggesting his approach would likely be less supportive of EV growth compared to the Biden administration.

Tesla’s expansive scale in the EV market could give it a unique edge over smaller US competitors if federal support dwindles.

According to a report by Investing.com, analysts at Wedbush suggest that Tesla’s market dominance and unmatched production capabilities could allow it to weather a less EV-friendly economic environment better than most.

By reducing or removing subsidies, Tesla could benefit from a reduction in market competition.

Domestic players lacking Tesla’s production capabilities would face steeper challenges in maintaining competitiveness without these incentives, potentially narrowing the field in favour of Musk’s company.

Trade policies and Tesla’s position against Chinese EV manufacturers

Another aspect likely to favour Tesla under a Trump administration would be stricter trade policies, particularly tariffs targeting Chinese goods.

Trump has previously imposed significant tariffs on Chinese imports, and analysts predict he may intensify these measures if re-elected.

Chinese EV manufacturers like BYD and Nio, known for producing affordable electric cars, may find it harder to penetrate the US market under Trump’s tariffs.

This protectionist stance could allow Tesla to maintain a stronger hold on the American market without the influx of low-cost EV imports from China, thereby boosting Tesla’s sales opportunities domestically.

Support for Musk’s autonomous driving ventures amid regulatory changes

Musk’s interest in autonomous vehicles could gain momentum with Trump’s support for deregulation.

Analysts speculate that Trump’s approach to technology and business deregulation may expedite Musk’s ambitious goals in autonomous driving.

The introduction of Tesla’s anticipated “Cybercab” robotaxi, for instance, could be fast-tracked under a Trump administration that is less stringent about the regulatory red tape surrounding self-driving technology.

While full production of the Cybercab is not anticipated until at least 2027, a friendlier regulatory landscape could accelerate its development timeline, giving Tesla a potential advantage in the autonomous vehicle sector.

Potential backlash from US consumers amid political polarisation

Despite these favourable prospects, a Trump-backed Tesla could face significant backlash from American consumers.

Tesla’s brand has historically aligned with environmentally conscious buyers, and Musk’s association with Trump could alienate parts of this demographic.

Wedbush analysts warn that Musk’s vocal support for Trump could influence consumer sentiment, potentially driving some environmentally focused customers away from Tesla.

While this impact may be gradual, it could create long-term challenges for Tesla’s brand, particularly if eco-conscious buyers view Tesla as politically aligned with policies that don’t support the broader green agenda.

Market volatility and Tesla’s valuation amid election uncertainties

Trump’s polarising stance on green energy and climate change has the potential to inject more volatility into the EV market, particularly for Tesla investors.

As the stock market reacts to political shifts, Tesla’s valuation could see significant swings depending on investor sentiment and expectations about EV incentives.

Analysts advise investors to be cautious, highlighting that a Trump victory could lead to uncertainty for Tesla’s future earnings, even with potential support for Musk’s business initiatives.

Assessing Tesla’s stock prospects in a Trump-led administration

With Trump’s potential return to office, investors face complex questions about Tesla’s stock value.

The mix of potential deregulation, trade protections, and weakened competition may provide Tesla with certain advantages, yet concerns over consumer sentiment and market volatility complicate the outlook.

While Tesla’s long-term potential remains robust, a Trump 2024 win presents a double-edged sword for Musk, bringing both opportunities and risks to Tesla’s future in the ever-evolving EV market.

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SoundHound (SOUN) stock price has moved sideways in the past few months as the momentum it had a few months ago has faded. It was trading at $5.37 on Tuesday as traders repositioned for the upcoming earnings, which will provide more color about its growth trajectory. 

What is SoundHound?

SoundHound is a technology company that has become popular in the new artificial intelligence era. It is a firm that creates tools that help companies deliver quality conversational experiences to companies. This is a big market, which Juniper Research estimates will be worth $165 billion by 2016.

There are many areas where AI voice can be used. For example, companies are leveraging SoundHound’s technology to deliver customer care solutions to their customers. Also, restaurants can leverage its technology to improve the ordering process, saving substantial sums of money at a time when wage growth is growing.

SoundHound’s technology is also used by electronic manufacturers like smart TVs and smartphones. Some of the top clients include the likes of Stellantis, Honda, Hyundai, Dunkin, and White Castle.

SoundHound has expanded its business by acquiring Amelia, a company that makes AI agents for enterprises. Its technology is used to manage critical tasks and processes and help employees to be more productive. It spent $80 million to fund the acquisition.

SOUN business is growing

SoundHound’s business has been growing, and analysts expect it to keep expanding in the coming years. Its annual revenue rose from over $7.7 million in 2019 to over $45.9 million in 2023. 

The challenge, however, is that this growth has come at a great cost. Its annual loss has moved from $64.5 million in 2019 to over $89 million last year. Its trailing twelve-month net loss has risen to $108.5 million.

The most recent results showed that SoundHound’s business was doing well, with its revenue growing by 54% to $13.5 million. However, the gross margin dropped to 63%.

The net loss also grew to $37.3 million. Most notably, the company had a cumulative subscriptions and bookings backlog of over $723 million, more than double what it had last year. 

The company ended the last quarter with over $201 million in cash and short-term investments. Part of this cash came from the $100 million it raised in 2023 and some of the investment it received from NVIDIA.

Analysts expect that the company’s revenue will continue growing this year. Its revenue is expected to grow to $23.02 million. For the year, SoundHound is expected to have $82 million in revenue, an 80% increase from last year. 

SoundHound’s 2025 revenue is expected to be $152 million, a 84% increase from what it will make in 2023. The company has a long history of beating analysts’ estimates, meaning that its growth will continue.

The risk for the SOUN stock price is that the company may need to raise cash in the past few years. Its outstanding shares have risen from 194 million in 2023 to over 315 million.

Read more: SoundHound stock is getting closer to removing a huge overhang

SoundHound stock price analysis

SOUN chart by TradingView

The daily chart shows that the SOUN share price has moved sideways in the past few months as investors focus on its growth. It has formed an ascending channel shown in black. This channel connects the lowest and highest swings since May 10. It has moved between the 50% and 61.8% Fibonacci Retracement levels.

SOUN stock has remained above the 50-day and 100-day Exponential Moving Averages (EMA). It has also formed a bearish flag chart pattern. It has also formed a head and shoulders pattern, a popular bearish sign.

Therefore, the stock will likely remain in this range ahead of its earnings results on December 11. It will then have a bearish breakout, with the next point to watch being at $4.0.

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