Newsmax (NYSE:NMAX) Shares Down 7% - What's Next?

Key Points

• Newsmax shares fell 7% to about $10.11, with trading volume roughly 84% below the stock’s average daily volume.
• Analyst sentiment is mixed: the consensus rating is “Hold” with an average price target of $23, while Weiss Ratings reaffirmed a “sell (e+)” rating.
• Newsmax recently exceeded quarterly EPS expectations, reporting $0.02 versus the projected loss of $0.03, but it continues to post negative net margins and return on equity; analysts forecast a full-year loss of $0.07 per share.

Newsmax Inc. (NYSE:NMAX - Get Free Report)'s stock price dropped 7% on Monday . The company traded as low as $10.47 and last traded at $10.1120. Approximately 209,292 shares traded hands during trading, a decline of 84% from the average session volume of 1,332,270 shares. The stock had previously closed at $10.87.

Wall Street Analyst Weigh In

Separately, Weiss Ratings reaffirmed a "sell (e+)" rating on shares of Newsmax in a research note on Wednesday, July 8th. One equities research analyst has rated the stock with a Buy rating, one has assigned a Hold rating and one has given a Sell rating to the stock. According to MarketBeat.com, Newsmax currently has a consensus rating of "Hold" and an average target price of $23.00.

Newsmax Price Performance

The company has a market capitalization of $1.32 billion, a P/E ratio of -15.40 and a beta of 2.55. The company has a 50 day moving average of $8.27 and a 200-day moving average of $7.23.

Newsmax (NYSE:NMAX - Get Free Report) last released its quarterly earnings results on Thursday, August 13th. The company reported $0.02 EPS for the quarter, beating analysts' consensus estimates of ($0.03) by $0.05. Newsmax had a negative return on equity of 8.28% and a negative net margin of 3.15%.The business had revenue of $54.12 million during the quarter. Research analysts predict that Newsmax Inc. will post -0.07 EPS for the current fiscal year.

Institutional Trading of Newsmax

A number of institutional investors and hedge funds have recently added to or reduced their stakes in the business. Advisory Services Network LLC purchased a new position in Newsmax during the 3rd quarter valued at $26,000. Osterweis Capital Management Inc. purchased a new stake in shares of Newsmax in the 2nd quarter worth about $32,000. Smartleaf Asset Management LLC purchased a new stake in shares of Newsmax in the 4th quarter worth about $32,000. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. bought a new stake in shares of Newsmax during the 2nd quarter valued at about $63,000. Finally, Tower Research Capital LLC TRC purchased a new position in shares of Newsmax during the second quarter valued at about $76,000.

Newsmax Company Profile

Newsmax NYSE: NMAX is a diversified media company that produces and distributes conservative-oriented news, opinion and informational content. The company operates across multiple platforms, including a cable news channel, a digital streaming service, a website, a print magazine and various mobile applications. Newsmax focuses on delivering political coverage, financial analysis and cultural commentary to its audience.

Originally launched as a news website in 1998, Newsmax expanded into print with the debut of Newsmax magazine in 2003 and later launched its flagship cable network, Newsmax TV, in 2014.

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