Conservative news channel Newsmax’s stock plummeted more than 70% on its first day of trading after listing on the New York Stock Exchange. The stock fell 77.5%, reversing a 2,230% surge in just two days. At one point, it surpassed $30 billion in market value, eclipsing major media companies like Warner Bros. Discovery and Fox Corp.
Newsmax used a Regulation A offering to go public, allowing retail investors to buy shares without full SEC registration. This move attracted retail traders who saw the stock as a “New GME” – similar to GameStop’s speculative trading boom in 2021. However, with only a small float of shares available for public trading, the surge was short-lived.
Newsmax has gained popularity under President Donald Trump and other prominent Republicans, but still lags behind Fox News in ratings. Despite this, it ranks among the top 20 cable networks in terms of average viewership, according to Nielsen data.
Source: https://www.cnbc.com/2025/04/02/conservative-cable-channel-newsmax-shares-plunge-more-than-70percent-after-a-dizzying-2-day-surge.html