Conservative Cable Channel Nmax Surges Over 700% on the First Day of NYSE Trading

Newsmax (NYSE:NMAX), founded by Christopher Ruddy in 1998, went public yesterday on the New York Stock Exchange after US President Donald Trump's election boosted the conservative TV news outlet's ratings and network audience.

Newmax's IPO success shares similarities with the performance of other companies associated with conservative media, including video-sharing platform Rumble (NASDAQ:RUM) and Trump Media & Technology Group (NASDAQ:DJT), which rallied in the run-up to the 2024 presidential election.

The stock price opened late Monday morning at £10.87 ($14) apiece after pricing its class B common shares at £7.76 ($10) apiece to raise £58.22 million ($75 million). Soon after, Nmax shares surged over 735% to close at £64.84 ($83.51) on Monday and are up another 41% during Tuesday's pre-market hours, surpassing a £10.09 billion ($13 billion) valuation.

The Florida-based company began as a digital brand before announcing its cable news channel over a decade ago. Newsmax also offers free streaming through its app and YouTube.

The company had announced its IPO plans in early 2025, which is almost a rarity for pure-play TV networks, according to Dealogic data. The public listing comes as traditional cable TV has struggled amid a consumer exodus to streaming platforms. The timing of the NYSE debut also coincides with the growing demand for right-wing primetime content following Trump's reelection. With a successful IPO, Newsmax joins a small group of media firms that have tried to go public in recent years, potentially signalling increasing competition between traditional cable networks and digital streaming platforms.

Although Fox News and CNN dominate the cable news industry, Newsmax continues to grow its audience steadily, and its content is available on most major pay-TV providers. Ruddy told CNBC yesterday that he saw an opportunity to join the mix since Fox Corp., adding that 'there was a demand for more competition against Fox.'

He added that Newsmax is the 'No. 4 cable news channel in the US, right behind CNN.' Nielsen confirmed that company ratings have 'consistently' remained in the fourth spot behind Fox News, MSNBC and CNN, but its audience has yet to reach the levels of Fox News.

For instance, Newsmax recorded an average of 309,000 primetime viewers and 211,000 daytime viewers between 30th December 2024 and 20th March 2025. Meanwhile, Fox News attracted an average of 3 million primetime viewers and almost 2 million daytime viewers in the same period.

"I think it's a pretty big achievement for a 10-year-old, new cable company," Ruddy noted.

Newsmax used to depend mostly on advertising revenue but has negotiated collecting licensing fees from cable TV providers amid rising popularity.

In H1 2024, the company recorded £62.11 million ($80 million) in revenue, 60% of which came from advertising sales, per regulatory filings. However, the company recorded losses of £42.7 million ($55 million) and listed £110.24 million ($142 million) in total liabilities with assets of £53.57 million ($69 million).

Nmax stock price surge quickly drove speculations across markets and social media platforms, with many users drawing parallels with the 2021 GameStop rally. However, institutional investors remained cautious about the company's financial health.

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