Why is everyone unloading WWE Stock ?
Wow reports came out today that several major holders of WWE stock are going to consider dumping it. Reports have a major investor dumping 3.5 million shares at around $21 per share.
There could be several reasons the WWE stock is headed for a major downward spiral and the company could actually be in trouble.
Though I have written many blogs on the USA shows RAW and SMACKDOWN the fact is this year WWE has seen a drop in viewers, and the WWE Universe has not really expanded as the company expected. This created a short coming on revenues for the company.
The stock also never really moves over the past years it sits usually between 19 to 23 dollars the only advantage the stock had was the higher dividends it paid to investors at nearly ,50 cents per share. The McMahon family had made a killing of the dividends for years however many people that analyze companies thought this eventually could hurt the WWE stock and company.
If a major stock holder drops the stocks it will be interesting to see who may buy them up. The WWE has been on top of the wrestling industry for years but new companies are coming up and facing the WWE in a head to head match for TV time and Fans.
Several former wrestlers or entertainers have left WWE as well to go to smaller venues.
The company is constantly on the verge of many lawsuits, issues with contracts with the entertainers, and recently has had a wide selection of older entertainers leave the WWE.
If the stocks are dumped it may actually be a good time to buy them if they drop below $18 a share. If a person could buy enough shares and hold onto them for a good dividend run and the company came back and the stocks rose up again you may make a few dollars of the WWE.
However if this sale of stocks starts looking like investors are out and the company may struggle.
This one is 50/50 we will have to wait and see what happens!
There could be several reasons the WWE stock is headed for a major downward spiral and the company could actually be in trouble.
Though I have written many blogs on the USA shows RAW and SMACKDOWN the fact is this year WWE has seen a drop in viewers, and the WWE Universe has not really expanded as the company expected. This created a short coming on revenues for the company.
The stock also never really moves over the past years it sits usually between 19 to 23 dollars the only advantage the stock had was the higher dividends it paid to investors at nearly ,50 cents per share. The McMahon family had made a killing of the dividends for years however many people that analyze companies thought this eventually could hurt the WWE stock and company.
If a major stock holder drops the stocks it will be interesting to see who may buy them up. The WWE has been on top of the wrestling industry for years but new companies are coming up and facing the WWE in a head to head match for TV time and Fans.
Several former wrestlers or entertainers have left WWE as well to go to smaller venues.
The company is constantly on the verge of many lawsuits, issues with contracts with the entertainers, and recently has had a wide selection of older entertainers leave the WWE.
If the stocks are dumped it may actually be a good time to buy them if they drop below $18 a share. If a person could buy enough shares and hold onto them for a good dividend run and the company came back and the stocks rose up again you may make a few dollars of the WWE.
However if this sale of stocks starts looking like investors are out and the company may struggle.
This one is 50/50 we will have to wait and see what happens!
.jpeg)
.jpeg)
Comments
Post a Comment