Can Newsmax Jumpstart the Sleepy Media IPO Market?

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Most media companies lack the passionate following of the “MAGA fanboys” who jumped at the chance to buy Newsmax shares, one analyst tells TheWrap

Christopher Smith for TheWrap
Christopher Smith for TheWrap

If you follow the media world at all, there is a good chance Newsmax’s initial public offering has caught your attention. How could it not?

The conservative news outlet made its Wall Street debut on Monday morning, and, over the course of the next two days, saw its share price dart from $10 to $233. Newsmax’s remarkable surge helped push the profitless company’s valuation north of $20 billion — making it more valuable in investors’ eyes than industry titans like The New York Times and News Corp. by Tuesday afternoon. But the ride took a roller-coaster plunge on Wednesday, with shares of the Boca Raton, Florida-based company plummeting 77% to $52.52

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