Newsmax (NYSE:NMAX) Stock Falls 5.6% – What’s Next?

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

Analyst Upgrades and Downgrades

A number of analysts have weighed in on the stock. Wall Street Zen downgraded shares of Newsmax from a “buy” rating to a “hold” rating in a report on Saturday. Freedom Broker upgraded Newsmax to a “hold” rating in a research note on Wednesday, October 14th. Finally, Weiss Ratings reaffirmed a “sell (e+)” rating on shares of Newsmax in a report on Friday, October 2nd. One research analyst has rated the stock with a Hold rating and one has given a Sell rating to the stock. According to data from MarketBeat, the stock has a consensus rating of “Reduce”.

Newsmax Price Performance

The stock has a market cap of $1.08 billion, a price-to-earnings ratio of -167.80 and a beta of 2.56. The stock’s 50 day simple moving average is $10.41 and its two-hundred day simple moving average is $8.53.

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

Insider Buying and Selling

In other Newsmax news, major shareholder Conyers Investments Llc sold 282,063 shares of Newsmax stock in a transaction that occurred on Monday, September 14th. The stock was sold at an average price of $11.55, for a total transaction of $3,257,827.65. Following the sale, the insider directly owned 22,051,478 shares of the company’s stock, valued at approximately $254,694,570.90. The trade was a 1.26% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Insiders have sold a total of 494,886 shares of company stock worth $5,611,995 in the last three months. 61.03% of the stock is owned by company insiders.

Hedge Funds Weigh In On Newsmax

Several hedge funds and other institutional investors have recently modified their holdings of NMAX. Bank of New York Mellon Corp bought a new stake in Newsmax in the second quarter valued at $814,000. Allworth Financial LP lifted its holdings in shares of Newsmax by 55.4% during the second quarter. Allworth Financial LP now owns 11,983 shares of the company’s stock valued at $99,000 after acquiring an additional 4,270 shares during the period. Arizona State Retirement System acquired a new stake in shares of Newsmax in the 2nd quarter valued at $98,000. Great Lakes Advisors LLC acquired a new stake in shares of Newsmax in the 2nd quarter valued at $123,000. Finally, NewEdge Advisors LLC grew its holdings in shares of Newsmax by 7.9% in the 1st quarter. NewEdge Advisors LLC now owns 17,415 shares of the company’s stock worth $91,000 after purchasing an additional 1,282 shares during the last quarter.

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.