Street Calls of the Week
NEW YORK - Newsmax Inc. (NYSE:NMAX), currently trading at $10.82 and down over 86% year-to-date according to InvestingPro data, announced Thursday that its board of directors has authorized a plan to purchase up to $5 million in Bitcoin and Trump Coin over the next 12 months, subject to market conditions.
The media company, with a market capitalization of $1.46 billion and a healthy current ratio of 2.5, said it expects to join more than 100 public companies that hold cryptocurrencies on their balance sheets. According to the announcement, public company-held Bitcoin represents over 4.7% of total Bitcoin in circulation.
Newsmax CEO Christopher Ruddy stated, "Bitcoin is fast becoming the gold standard of cryptocurrency, and we believe it would be an important company marker to add this asset to our company reserves." Analysis from InvestingPro shows the company holds more cash than debt on its balance sheet, potentially providing flexibility for this crypto investment strategy. Subscribers can access 8 additional ProTips and comprehensive financial metrics on the platform.
The company also plans to include Trump Coin in its cryptocurrency reserves. The meme coin, launched earlier this year by President Trump, has a circulating value exceeding $1.2 billion and a total market value of approximately $6 billion, according to figures cited from Coinbase.
Newsmax anticipates making its first cryptocurrency purchase soon and claims it would be the first NYSE-listed company to purchase Trump Coin. The company said it has established protocols for digital asset custody and management, partnering with institutional cryptocurrency services providers.
The media outlet, which operates the Newsmax channel, completed its NYSE listing in March 2025 after raising $300 million through a Private Preferred raise and Regulation A+ IPO offering.
This announcement comes months after President Trump announced the establishment of a Strategic Bitcoin Reserve for the United States in March.
The information in this article is based on a press release statement from Newsmax Inc. For detailed financial analysis and real-time updates on NMAX’s performance, visit InvestingPro for exclusive insights and advanced metrics.
In other recent news, Newsmax Inc. reported a significant 18.4% increase in second-quarter revenue, reaching $46.4 million, driven by strong growth in its broadcasting segment. The company experienced a 28.5% rise in broadcasting revenue, bringing it to $38 million, while advertising revenue increased 26.2% to $29.9 million, attributed to higher Nielsen ratings. Despite these gains, Newsmax posted an adjusted loss per share of -$0.59 for the quarter ending June 30, 2025. Additionally, Newsmax filed a federal antitrust lawsuit against Fox Corporation and Fox News Network, alleging anticompetitive practices aimed at blocking competition in the right-leaning pay television news market. In another development, Noble Capital initiated coverage on Newsmax with an Outperform rating, setting a price target of $23.00. The research firm noted Newsmax’s expanding reach across cable and digital platforms. Furthermore, Newsmax appointed David Gandler, CEO of FuboTV Inc., to its Board of Directors, joining five existing members, including CEO Christopher Ruddy.
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