Newsmax Stock Surges Over 500% in NYSE Debut

Newsmax made a notable debut on the New York Stock Exchange under the ticker symbol 'NMAX,' opening at $14 per share and soaring over 500% to a peak of $76.64 within hours, leading to multiple trading halts due to volatility. The initial public offering raised $75 million by selling 7.5 million shares priced at $10 each, with CEO Chris Ruddy retaining a majority stake. This remarkable surge positions Newsmax's market capitalization at over $5.5 billion, surpassing several established media companies. Analysts suggest that while the IPO response is strong, sustaining such high valuations is challenging for newly public companies. The timing of the IPO capitalizes on increasing interest in conservative media, coinciding with the political landscape shaped by former President Trump. Despite the surge, experts caution that the stock may not retain all its gains in the long term, which is typical for IPOs tied to controversial political contexts.