Newsmax Outlook: A Bearish Technical Picture Amid Mixed Fundamentals

Market Snapshot

Headline Takeaway: Newsmax is currently facing a bearish technical environment and a modestly pessimistic analyst outlook, despite positive underlying fundamentals.

News Highlights

Recent news across various sectors has not offered much optimism for Newsmax. Key stories include:

• U.S. Vaccine Policy Shifts: The Department of Health and Human Services has revised guidelines for the approval and distribution of Covid-19 vaccines, which could have indirect effects on media and public health coverage.
• Trump’s Tariff Policy: A series of tariff announcements and actions by President Trump have sparked market volatility and geopolitical uncertainty, potentially affecting advertiser sentiment and revenue.
• China’s Manufacturing Slowdown: While China's factory activity contracted in May, signs of slight improvement were noted, which may offer some hope for global markets but are unlikely to directly benefit Newsmax in the near term.

Analyst Views & Fundamentals

Analyst sentiment is mixed. The simple average rating score is 4.00, while the historical performance-weighted rating is 0.00, indicating a sharp divergence between recent activity and historical accuracy. Michael Kupinski of Noble Capital Markets is the only active analyst, giving a “Buy” rating in early August, though his historical performance shows zero success in previous predictions.

The stock’s current price trend is downward, with a -1.27% decline, which aligns with the pessimistic market expectations. However, fundamentals are showing some strength:

• Quick Ratio: 2.71 (internal diagnostic score 1.0): Reflects strong liquidity.
• Basic EPS YoY Growth: 41.52% (internal diagnostic score 2.0): Demonstrates earnings momentum.
• Net Income/Revenue: -13.25% (internal diagnostic score 3.0): Points to margin compression.
• Operating Cycle: 63.80 days (internal diagnostic score 2.0): Indicates moderate working capital efficiency.

Money-Flow Trends

Newsmax has seen mixed fund-flow activity. While small and medium investors are showing relatively high inflow ratios (48.59% and 51.84%, respectively), large and extra-large investors are not following suit, with inflow ratios below 50% (50.95% and 49.06%, respectively).

The overall fund-flow trend is negative, and the block investor inflow ratio is 49.50%, slightly below parity. The fund-flow score is 7.85, which is “good” by our internal scale, but this appears to be driven by small and medium retail flows rather than conviction from institutional money.

Key Technical Signals

Backtest the impact of Newsmax with MACD Death Cross, from 2022 to now. The technical outlook is weak. Newsmax is showing zero bullish indicators and six bearish signals over the last five days. Our internal technical score is 1.0, indicating a strong sell bias.

• MACD Death Cross: Internal diagnostic score 1.0 — a bearish divergence between the price and momentum.
• Dark Cloud Cover: Internal diagnostic score 1.0 — a bearish reversal pattern observed on December 17, 2025.
• Bearish Engulfing: Internal diagnostic score 1.0 — a strong bearish signal on the same date.

Other indicators like Long Upper Shadow and Piercing Pattern are also skewed bearishly, with scores of 1.0 each. The key technical insight is that the trend is clearly bearish, and the dominance of negative signals over the past five days suggests caution for near-term buyers.

Conclusion

Given the poor technical score (1.0), mixed analyst sentiment, and weak price performance (-1.27%), we recommend avoiding Newsmax for now. While the fundamentals are not terrible, the risk-reward profile is skewed to the downside in the short term. Investors may want to wait for a clearer turnaround signal or a potential pullback with more positive momentum confirmation before considering a long position.