Newsmax Stock Soars in Explosive NYSE Debut

By Roberta Buckridge

On March 31, 2025, Newsmax Inc., the conservative media powerhouse, made a thunderous entrance onto the New York Stock Exchange (NYSE), with its stock surging an astonishing 735% on its first day of trading. Trading under the ticker symbol "NMAX," the company’s shares opened at $14—above the initial public offering (IPO) price of $10—and skyrocketed to an intraday high of $78.27 before closing at $83.51. This meteoric rise valued Newsmax at nearly $8 billion by day’s end, doubling the market cap of Trump Media & Technology Group and reaching roughly a third of Fox Corp’s valuation, the parent company of Fox News.

The Boca Raton, Florida-based network raised $75 million through its IPO, selling 7.5 million Class B common shares under Regulation A+, a streamlined process allowing smaller companies to access public markets with fewer regulatory hurdles. This public offering followed a $225 million private preferred share sale in February 2025, bringing the company’s total capital haul to $300 million for the year. The debut, orchestrated by Digital Offering LLC, marked a rare event—a standalone cable news network going public in the U.S., a feat unseen in decades according to Dealogic data.

The stock’s explosive performance drew immediate comparisons to the meme stock frenzy of 2020-2021, when retail investors propelled companies like GameStop to dizzying heights. Over six million shares changed hands on March 31, with trading repeatedly halted due to volatility. Individual investors, particularly from Newsmax’s loyal conservative audience, appeared to drive the surge, with the stock ranking among the top 25 most actively traded on Fidelity’s platform. Social media buzzed with excitement, likening the rally to “memecoins” and celebrating the network’s defiance of mainstream media dominance.

CEO Christopher Ruddy, a veteran journalist who founded Newsmax in 1998, hailed the IPO as a pivotal moment. Appearing on CNBC’s Squawk Box, Ruddy emphasized the company’s growth trajectory, noting its rise to the fourth highest-rated cable news channel per Nielsen, behind only CNN, MSNBC, and Fox News. “People really like the Newsmax brand,” he told anchor Shaun Kraisman, projecting confidence in the company’s ability to expand its television and digital footprint with the fresh capital. Ruddy also downplayed perceptions of Newsmax as a Trump-centric outlet, insisting it maintains an “independent news mission” that challenges all administrations.

Yet, the debut wasn’t without scrutiny. Financial disclosures reveal Newsmax lost $55 million in the first half of 2024 on $80 million in revenue, with liabilities of $142 million outstripping assets of $69 million. While annual revenue grew to $135 million in 2023—a significant jump from prior years—the company remains unprofitable, relying heavily on advertising for over 60% of its income. Analysts caution that the stock’s first-day spike mirrors past IPO booms where initial euphoria often gave way to steep declines. Of the two dozen U.S. stocks that gained 300% or more on debut over the past five years, most have since shed an average of 85% of their value.

Newsmax’s ascent comes amid a shifting media landscape, where traditional cable TV faces pressure from streaming platforms, yet conservative news thrives on loyal viewership. The network, which reaches over 40 million Americans monthly across its cable channel, streaming service Newsmax+, and digital properties like Newsmax.com, has capitalized on this demand. Its post-2024 election surge in popularity, bolstered by regular appearances from figures like Donald Trump, has positioned it as a scrappy rival to Fox News, which still dwarfs it with 3.1 million primetime viewers to Newsmax’s 309,000.

The timing of the IPO also aligns with broader political currents. Trump reportedly called Ruddy on March 31 to discuss the debut, with Ruddy later posting on social media platforms, “A rising Trump lifts all boats!”—a nod to the symbiotic relationship between the network and the former president’s base. This connection, however, carries baggage: Newsmax settled a $40 million defamation lawsuit with Smartmatic in 2024 over false 2020 election claims, a reminder of the risks tied to its editorial stance.

As trading closed, Newsmax hosts like Rob Schmitt and Carl Higbie joined executives to ring the NYSE bell, calling the moment “surreal.” The stock edged up another 1% in after-hours trading, hinting at sustained momentum into April 1. For now, Newsmax stands as a financial and cultural lightning rod—its soaring debut a testament to retail investor fervor and conservative media’s enduring appeal, though questions linger about whether this high-flying start can defy gravity in the weeks ahead.

Roberta Buckridge is a freelance journalist and writer for Veritas Expositae

You can reach her at roberta.buckridge@veritasexpositae.com