Overview

• Newsmax's stock price dropped over 40% on April 2, 2025, after a dramatic surge that pushed its market cap above $20 billion earlier this week.
• The company raised $75 million in its IPO on March 31, 2025, selling shares at $10 each, before the stock skyrocketed over 700% on its first trading day.
• Retail investor enthusiasm and comparisons to 'meme stocks' fueled the initial surge, with shares peaking at $233 on April 1, 2025.
• Newsmax reported a 26% revenue increase in 2024 but remains unprofitable, with a $72 million net loss and ongoing legal liabilities, including a $1.6 billion lawsuit from Dominion Voting Systems.
• CEO Christopher Ruddy retains over 80% of voting power through a dual-class share structure, positioning the company for ambitious growth despite market volatility and financial risks.