Newsmax, a conservative cable news channel, experienced a dramatic surge in its stock price following its initial public offering (IPO) on the New York Stock Exchange on Monday. The stock, which debuted at $10 per share, soared by 2,230% to $233 by the end of its second trading day, briefly valuing the company at over $30 billion and surpassing Fox Corp's market cap. This surge was driven by approximately 30,000 retail investors, with the stock being labeled as a 'meme stock' due to its rapid rise despite the company's financial fundamentals. However, the stock's value plummeted by nearly 80% on the third day of trading, closing at $52.71. This sharp decline erased a significant portion of the gains, reducing Newsmax's market capitalization to about $4.7 billion. The volatility in the stock's price reflects the speculative nature of its trading, with comparisons being drawn to other meme stocks like GameStop and Trump Media & Technology Group. Only 7.5 million shares were available for public trading out of a total of 128 million fully diluted shares. Newsmax, founded by Christopher Ruddy, reported a $72 million loss in 2024 on revenues of $171 million. Despite the financial losses, the company's stock surge was fueled by investor enthusiasm for companies associated with President Donald Trump. Newsmax is also facing legal challenges, including a $1.6 billion lawsuit from Dominion Voting Systems over false claims related to the 2020 election.