WWE Stock Target Price Increased By Key Brokerage Firm After Vince McMahon’s Retirement

WWE saw its stock price take off after news of Vince McMahon’s retirement from the company. McMahon has been embroiled in a hush money scandal where he paid employees to keep quiet about sexual relationships. Many believed the stock would tank once the story broke, but it held steady.

The main reasons for the increase are twofold. First, the company announced that it was outperforming its 2nd quarter guidance by nearly double. That news got Loop Capital, an influential brokerage firm, to increase the stock’s target price from $59 to $90. Many saw that as a sign that a sale could be imminent.

Since then, other firms have followed suit. Brandon Thurston of Wrestlenomics noted that Benchmark raised its target on WWE from $71 to $80. News such as this naturally causes prices to increase. WWE will likely finish in the green again today.

There was much speculation that a change in CEO and on the creative side was the reason for WWE’s stock increase. Wall Street does not care about wrestling storylines and angles, however. The bottom line is that the company is doing great business, has strong streaming and broadcast rights deals, and live event attendance is up.

Excellent performance in the marketplace by WWE is bolstered by the slow economy. Investors are looking for stocks that are still strong despite inflation and low consumer confidence. WWE fits the bill perfectly.

It will be interesting to keep an eye on WWE’s continued performance. The experts are starting to agree that the company looks like a good pick. Time will tell if that momentum will keep rolling.

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