Financial losses and legal issues make Newsmax a risky investment.

The announcement that billionaire Patrick Soon-Shiong plans to take the Los Angeles Times public was met with a mix of panic ...

With $75 million in gross proceeds from the IPO and $225 million raised from a prior private placement of preferred stock to accredited investors, Newsmax leadership has outlined plans to fuel growth.

Newsmax has a history of producing losses, however. Last year, the company lost $72.2 million compared to losses of $30.4 million and $41.8 million in 2022 and 2023, respectively.

Following the breakout year for Newsmax in 2024, leading up to the recent IPO, its main challenge will be maintaining rapid audience growth while navigating a highly competitive media landscape.

Newsmax is only 24.2% above its IPO price as of Friday. Shares of digital health firm Omada Health Inc. finished last week down 10% from its IPO price despite debuting up 21.1% on June 6.

Newsmax also broke records in Q1 2025, and for all of 2024, becoming No. 1 for all U.S. news networks (broadcast and cable) for per-follower social interaction rate on Facebook, X and Instagram.

Newsmax (NYSE: NMAX) completed its IPO at the end of March. In the company's short life as a public company, the share price has been on a wild ride. Where to invest $1,000 right now?

With $75 million in gross proceeds from the IPO and $225 million raised from a prior private placement of preferred stock to accredited investors, Newsmax leadership has outlined plans to fuel growth.

BOCA RATON, FL / ACCESS Newswire / May 15, 2025 / Newsmax Inc. (NYSE:NMAX) (“Newsmax” or the “Company”) today announced its financial results for the first quarter ended March 31, 2025.