Shares of Newsmax Inc. (NMAX) continued their rollercoaster ride on Friday, plummeting 5.60% during intraday trading. This latest decline follows a pre-market drop of 13.4%, which came on the heels of an 18.2% jump in the previous session, highlighting the extreme volatility that has characterized the stock since its initial public offering (IPO) earlier this week.

The conservative media outlet's stock has been on a wild ride since its market debut. After launching at $10 per share, NMAX experienced a meteoric rise of 2,230% in its first two days of trading, briefly touching $233. However, this euphoria was short-lived, with the stock subsequently plunging 77.5% during Wednesday's session. The ongoing fluctuations reflect investors' struggle to determine Newsmax's true valuation.

Market analysts attribute the continued volatility to several factors. Profit-taking by early investors who benefited from the initial surge is likely playing a role. More significantly, there's a growing reassessment of the company's fundamentals and skepticism about its long-term prospects. Investors are questioning the justification for Newsmax's brief multi-billion-dollar market capitalization in light of its reported $171 million revenue last year. Additionally, concerns linger about potential financial impacts from ongoing litigation related to the company's 2020 election coverage. As the dust settles from the IPO frenzy, it appears that investors are adopting a more cautious approach, leading to continued pressure on the stock price.