Newsmax (NYSE:NMAX) Stock Price Down 5.6% - Here's What Happened

Key Points

• Newsmax shares fell 5.6% to $8.25 in Monday trading, with volume down 80% from the average session. The stock has a market capitalization of approximately $1.08 billion.
• Analyst sentiment remains cautious: Weiss Ratings reiterated a “sell,” Wall Street Zen downgraded the stock to “hold,” and Freedom Broker raised it to “hold,” resulting in a consensus “Reduce” rating.
• Newsmax recently exceeded quarterly EPS expectations, reporting $0.02 versus an expected loss of $0.03 on $54.12 million in revenue, but it continues to show a negative net margin and analysts forecast a full-year loss of $0.02 per share.

Newsmax Inc. (NYSE:NMAX - Get Free Report)'s stock price was down 5.6% on Monday. The stock traded as low as $8.18 and last traded at $8.2510. Approximately 261,109 shares were traded during mid-day trading, a decline of 80% from the average session volume of 1,277,047 shares. The stock had previously closed at $8.74.

Wall Street Analyst Weigh In

NMAX has been the topic of several recent research reports. Weiss Ratings reiterated a "sell (e+)" rating on shares of Newsmax in a research report on Friday, October 2nd. Wall Street Zen downgraded Newsmax from a "buy" rating to a "hold" rating in a report on Saturday. Finally, Freedom Broker raised Newsmax to a "hold" rating in a research report on Wednesday, October 14th. One research analyst has rated the stock with a Hold rating and one has assigned a Sell rating to the company's stock. Based on data from MarketBeat.com, the stock presently has a consensus rating of "Reduce".

Newsmax Price Performance

The stock has a fifty day moving average price of $10.41 and a two-hundred day moving average price of $8.53. The company has a market cap of $1.08 billion, a P/E ratio of -167.80 and a beta of 2.56.

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

Insider Transactions at Newsmax

In other news, major shareholder Conyers Investments Llc sold 282,063 shares of the company's stock in a transaction on Monday, September 14th. The shares were sold at an average price of $11.55, for a total value of $3,257,827.65. Following the completion of the sale, the insider owned 22,051,478 shares in the company, valued at $254,694,570.90. This represents a 1.26% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available through this hyperlink. Over the last quarter, insiders have sold 494,886 shares of company stock worth $5,611,995. 61.03% of the stock is owned by insiders.

Institutional Investors Weigh In On Newsmax

Large investors have recently added to or reduced their stakes in the stock. Bank of New York Mellon Corp bought a new position in shares of Newsmax in the second quarter valued at approximately $814,000. Caitong International Asset Management Co. Ltd bought a new stake in shares of Newsmax during the 4th quarter worth $230,000. Abel Hall LLC bought a new stake in shares of Newsmax during the 1st quarter worth $100,000. Great Lakes Advisors LLC acquired a new position in Newsmax in the 2nd quarter valued at $123,000. Finally, Allegheny Financial Group bought a new position in Newsmax in the 1st quarter worth $69,000.

Newsmax Company Profile

Newsmax, Inc is a media and communications company that operates Newsmax, a conservative news and information brand. Its businesses provide news, political commentary, analysis and lifestyle content through television, digital media and publishing platforms.

The company's principal properties include Newsmax TV, a news and opinion television network distributed through pay-TV providers and streaming services, and Newsmax.com, its online news and information platform. Newsmax also offers content through mobile and connected-device applications, email newsletters, podcasts and social media channels, along with magazine and publishing products.

Newsmax was founded in 1998 by Christopher Ruddy, who serves as the company's chief executive officer and chairman.

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