Why Digital World Acquisition Stock Skyrocketed 26% in February

Shares of Digital World Acquisition (NASDAQ: DWAC) gained 26% in February, according to data from S&P Global Market Intelligence. The special purpose acquisition company's (SPAC) stock gained ground leading up to and following the release of the Truth Social app from Trump Media & Technology Group (TMTG), which is led by CEO Devin Nunes and Chairman Donald Trump.

Digital World Acquisition is set to take Trump Media & Technology Group public through a merger, and a relatively strong debut for the latter company's social media platform helped push the SPAC's share price higher. Truth Social, which is positioned as a competitor to Twitter and other platforms, launched on Feb. 21 and helped power a continued bullish run for the stock.

Following its release last month, Truth Social quickly shot to the top of the free-application download charts on Apple's App Store. Despite facing bugs and outages upon its debut, the social media platform appears to have gotten off to a solid start in terms of user engagement, and Digital World Acquisition's stock is now up roughly 90% across 2022's trading.

Source Fool.com