On election day, Trump-linked Phunware's stock continues rally

MW On election day, Trump-linked Phunware's stock continues rally

By James Rogers

Shares of Trump-related mobile-advertising company Phunware are up more than 8% in premarket trades after snapping a five-day losing streak Monday

Shares of Trump-related mobile-advertising company Phunware Inc. continued their rally Tuesday, climbing 9.3% in premarket trades as America heads to the polls.

Phunware's stock $(PHUN)$ tumbled Monday after the company said Chief Financial Officer Troy Reisner is stepping down and as a poll put Vice President Kamala Harris ahead in the battleground state of Iowa. The company's shares recovered to end Monday's session up 2.5%, snapping a five-day losing streak.

Phunware, which developed and launched a mobile app for Trump's 2020 re-election campaign, also announced a deal to acquire a controlling stake in MyCanvass Monday. MyCanvass provides voter- and advocacy-engagement tools, including mobile apps, and is a subsidiary of Campaign Nucleus, a software-as-a-service platform founded by Brad Parscale, the digital director of Trump's 2016 campaign and his 2020 campaign manager.

Related: Phunware's stock slides after CFO steps down and poll puts Harris ahead in Iowa

The two companies plan to use MyCanvass as the foundation of a partnership focused on developing artificial-intelligence-powered canvassing, Phunware added. Campaign Nucleus is providing services for Trump's 2024 campaign.

Like Trump Media & Technology Group Corp. $(DJT)$, which is viewed as a Wall Street proxy for Trump's election bid, shares of Phunware have soared in recent weeks and rallied for most of October. The mobile-advertising company's stock is up 90.9% in the last three months, outpacing Trump Media's gain of 26.7%.

The last few weeks have been busy for Phunware. On Oct. 24, the company announced the retirement of Chief Executive Mike Snavely, which sent the stock tumbling. Just over a week earlier, the stock rose after Snavely gave a business update and announced the development of a new generative-AI platform.

Related: Phunware's stock climbs 18% after mobile-advertising company touts generative AI

Phunware will report third-quarter results after market close Thursday, the company said Monday.

Phunware shares are up 68.5% in 2024, compared with Trump Media's gain of 96.2% and the S&P 500 index's SPX gain of 19.8%.

Shares of Trump Media, which operates the social-media platform Truth Social, are up 11.7% in premarket trades after ending Monday's session up 12.4% to snap a three-day losing streak.

-James Rogers

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November 05, 2024 07:38 ET (12:38 GMT)

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