Morgan McGarvey

Representative Morgan McGarvey, a Democrat from Kentucky and an outspoken critic of President-elect Donald Trump, disclosed earlier this week that he had purchased shares of Trump Media & Technology Group.

On Thursday, the president-elect rang the opening bell at the New York Stock Exchange. His media company, which runs the Truth Social platform, trades under the symbol DJT, and according to McGarvey's disclosure, the congressman purchased DJT stock on November 6 before selling it on November 8. He also purchased stock in Amazon, Charles Schwab, Microsoft, Tesla and Shell last month.

The notes section of the filing said the DJT stock was purchased "without knowledge of filer or spouse" before being sold at a loss. While this suggests the stock was purchased without McGarvey's knowledge, experts say the sale may still call into question his previous criticism of Trump.

Newsweek has contacted McGarvey for comment via email.

Democratic Representative Morgan McGarvey in Louisville, Kentucky, on April 12, 2023. McGarvey recently disclosed that he purchased Trump Media stock, although the filing suggested it was done without his knowledge. Democratic Representative Morgan McGarvey in Louisville, Kentucky, on April 12, 2023. McGarvey recently disclosed that he purchased Trump Media stock, although the filing suggested it was done without his knowledge. Michael Swensen/Getty Images

"While we don't know exactly how much money was lost on the transaction, the very act of purchasing and selling Trump Media stock is going to draw attention from a member of Congress so vocal in opposition to Trump's candidacy," Alex Beene, a financial literacy instructor at the University of Tennessee at Martin, told Newsweek.

"The claim is that the congressman himself was not aware of the transaction, and that's always possible, as well. A financial adviser could have made the trade assuming DJT would see a bump postelection that never manifested."

Even if a financial adviser made the investment, Beene said, they'd likely be aware of the optics surrounding such a purchase for McGarvey, a Democratic public official.

"Regardless of how much was known about the transaction, it's a bad look and gives the impression that some elected officials are more interested in making money than standing on their principles," Beene said.

In May, following Trump's conviction in New York, McGarvey said in a statement: "In America, no one is above the law. Donald Trump, the convicted felon, is the presumptive Republican nominee for president and he is unfit to serve in any public office, especially President of the United States."

DJT stock surged in price heading into to the election on November 5. When McGarvey purchased the stock, it traded between $34.13 and $45.77. When the stock was sold, DJT stock had gone down to between $26.70 and $33.03, meaning McGarvey lost money in the trade.

Michael Ryan, a finance expert and the founder of michaelryanmoney.com, called the investment "part calculated risk, part political Russian roulette."

The investment, which resulted in a loss of up to $6,255, showed the thin line between personal finance and political integrity, Ryan told Newsweek.

"When a politician like McGarvey trades in a stock directly opposed to his public stance, it's more than just a financial decision," he added.

"Don't just listen to what politicians say—watch what their financial disclosures reveal. In today's hyper-connected world, every trade tells a story more revealing than a thousand speeches," he continued.

Though McGarvey lost in his Trump Media sale, he likely gained a profit from selling his Tesla stock.

For that stock, he purchased shares in October when they cost between $255.32 and $269.49. In November, the value had grown to between $322.50 and $344.60. It now stands above $400.

DTJ has faced extreme volatility in recent months. While the stock soared by as much as 44 percent when Trump was projected to win the election, shares fell 23 percent shortly after when rumors that Trump would sell Truth Social began to circulate.

The president-elect has denied these rumors, writing on Truth Social: "There are fake, untrue, and probably illegal rumors and/or statements made by, perhaps, market manipulators or short sellers, that I am interested in selling shares of Truth. THOSE RUMORS OR STATEMENTS ARE FALSE. I HAVE NO INTENTION OF SELLING!"