CF Acquisition (NASDAQ:CFVI) is a top-performing special purpose acquisition company (SPAC) today, gaining 4.7% on news related to its merger partner. So what is the specific news lifting CFVI stock today?
Importantly, the rally today comes alongside 9.2% gains in Digital World Acquisition (NASDAQ:DWAC). Digital World is the SPAC which is bringing former President Donald Trump’s Truth Social platform to market.
This week has created a very difficult market in the world of alternate social media platforms. More specifically, Elon Musk’s acquisition of Twitter (NYSE:TWTR) has thrown DWAC and CFVI stocks into question. Those consumers looking at Truth Social, Rumble or other similar platforms have less to like in this environment. Twitter just got a new celebrity CEO, making it a much more attractive place to interact.
Today, though, these SPAC stocks reversed course. Let’s dive into what the market is watching with this stock.
Why Is CFVI Stock Up Today?
Interestingly, a tweet from Elon Musk today highlighting Truth Social’s standing as the No. 1 app on the Apple App Store, ahead of Twitter and TikTok, has some investors excited. For CF Acquisition, this may seem like a trivial factoid.
However, CF Acquisition is a SPAC that’s close to closing on a deal to bring alternative social media company Rumble public. With other social media platforms picking up steam (and potentially market share from Twitter), investors seem to like CF Acquisition’s prospects better today. Additionally, Rumble is closely linked to Truth Social.
Additionally, yesterday, CF announced that a film from Dinesh D’Souza would be launching on Rumble.
These potential growth catalysts are ones that appear to be concrete enough to warrant more bids than asks today. Accordingly, investors watching the social media space may want to keep CFVI stock on their radars right now.
On the date of publication, Chris MacDonald did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
