Slammed in December, shares of World Wrestling Entertainment (WWE) are on fire.
At the moment, it’s up about 20% to $86.45 on a volume spike to 2.52 million shares, as compared to daily average volume of 637,048.
All on the news former CEO Vince McMahon is returning to the board.
In fact, as noted by Reuters, “The former executive, who holds a majority of voting power in the company, had informed WWE that he was electing himself and two former co-presidents and directors Michelle Wilson and George Barrios to the board. McMahon, who ran the company for four decades, said that the only way for WWE to fully capitalize on the growing demand for content and live entertainment was for him to return as executive chairman.”
There’s also speculation of a potential sale, says Barron’s.
The review and possibility of a sale are “a clear positive for the stock in our opinion,” JPMorgan analysts noted. “The opportunity to own rather than rent sports rights would draw real interest from multiple media and streaming firms.”
Guggenheim analyst Curry Baker’s analysis says WWE could command somewhere in the $100 to $110 per share range, as also noted by Barron’s.
In short, keep an eye on WWE.
