WWE and CEO Vince McMahon keep racking up W’s while piledriving Wall Street with a vengeance.
Of course, as you WealthLABBERs know, [WWE]’s been crushing it on the stock exchange, quadrupling in value over the past year. The stock’s currently trading at $80.92, good for a $6.27B market value.
Just for some context: That’s a 3.7X vs. their $1.7B market cap average over the past five years—and a whopping 8.6X above their five-year low of $728.39M.
So why’s the stock’s so high, #WealthGANG? Let’s take a look.

Record Q2 growth
In Q2, WWE reported revenue of $281.6M—a 31% year-over-year jump and 18% above analyst estimates ($239.5M). WWE’s paid subscribers rose 10% to 1.8M, which were in line with earlier projections.
On the digital side, WWE’s digital video views rose 58% in Q2. The total consumption, in terms of digital content, rose 71% to 509M hours, showing a healthy appetite for bodyslams and suplexes.
Crazy lucrative TV deals…
What really helped send the stock surging was McMahon’s ability to score lucrative TV deals with Fox and Comcast/NBC Universal. According to US News, the new deals came out to 3.6 times the value of WWE’s previous TV deal for WWE’s weekly shows “Monday Night Raw” and “SmackDown Live.”
In other words. The wrestling franchise will increase TV revenues from $270M to over $600M. Just let that simmer for a bit…
Female wrestling viewers?!
WWE’s traditionally focused on male wrestlers, skewing to their male-dominated audience. But that looks like it could change.
Led by former UFC superstar and current WWE Women’s champ Ronda Rousey, the company is staging its first-ever PPV this year in an ambitious attempt to broaden their female audience base.
This event will include over 50 female wrestlers from the “Raw” and “SmackDown” franchises.
Can they keep it up in Q3?
If you ask Wall Street analysts? Then the answer is yes. The suits down at the Street say that these deals will trigger long-term revenue, earnings, and free cash flow growth for WWE.
Specifically, as things stand now, the company will raise its OIBDA (operating income before depreciation and amortization) from $150M to between $160M and $170M for 2018.
For Q3, WWE has an estimated subscriber count of 1.67M with adjusted OIBDA between $30-34M. Not too shabby for a family business. Let’s give a three-count to good ol’ Vinnie Mac, shall we?

Mr. McMahon, FTW. Credit: WWE, Facebook.
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