NYSE:WWE

Stock Analysis Report

World Wrestling Entertainment

Executive Summary

World Wrestling Entertainment, Inc., an integrated media and entertainment company, engages in the sports entertainment business in North America, Europe, the Middle East, Africa, the Asia Pacific, and Latin America.

Snowflake

Fundamentals

Outstanding track record with high growth potential.

Risks

  • World Wrestling Entertainment has significant price volatility in the past 3 months.

Similar Companies

Share Price & News

How has World Wrestling Entertainment's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

5.4%

NYSE:WWE

2.8%

US Entertainment

1.6%

US Market


1 Year Return

13.6%

NYSE:WWE

1.8%

US Entertainment

2.8%

US Market

WWE outperformed the Entertainment industry which returned 1.2% over the past year.

WWE outperformed the Market in United States of America which returned 2.3% over the past year.


Share holder returns

WWEIndustryMarket
7 Day5.4%2.8%1.6%
30 Day-2.1%3.8%2.5%
90 Day-16.5%7.1%2.2%
1 Year14.3%13.6%2.5%1.8%5.0%2.8%
3 Year334.4%315.6%77.0%71.0%48.3%38.4%
5 Year629.7%557.0%104.4%92.1%57.8%40.3%

Price Volatility Vs. Market

How volatile is World Wrestling Entertainment's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is World Wrestling Entertainment undervalued based on future cash flows and its price relative to the stock market?

9%

Discount to future cash flow value


Intrinsic Value Based on Future Cash Flows

World Wrestling Entertainment's share price is below the future cash flow value, but not at a moderate discount (< 20%).

World Wrestling Entertainment's share price is below the future cash flow value, but not at a substantial discount (< 40%).


Price Based on Earnings

World Wrestling Entertainment is overvalued based on earnings compared to the US Entertainment industry average.

World Wrestling Entertainment is overvalued based on earnings compared to the United States of America market.


Price Based on Expected Growth

World Wrestling Entertainment is poor value based on expected growth next year.


Price Based on Value of Assets

World Wrestling Entertainment is overvalued based on assets compared to the US Entertainment industry average.


Next Steps

Future Growth

How is World Wrestling Entertainment expected to perform in the next 1 to 3 years based on estimates from 10 analysts?

31.4%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

World Wrestling Entertainment's revenue is expected to grow by 11% yearly, however this is not considered high growth (20% yearly).

World Wrestling Entertainment's earnings are expected to grow significantly at over 20% yearly.

World Wrestling Entertainment's revenue growth is expected to exceed the United States of America market average.

World Wrestling Entertainment's earnings growth is expected to exceed the United States of America market average.

World Wrestling Entertainment's earnings growth is expected to exceed the low risk savings rate of 2.7%.


Earnings per Share Growth Estimates


Future Return on Equity

World Wrestling Entertainment is expected to make outstanding use of shareholders’ funds in the future (Return on Equity greater than 40%).


Next Steps

Past Performance

How has World Wrestling Entertainment performed over the past 5 years?

57.9%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

World Wrestling Entertainment has delivered over 20% year on year earnings growth in the past 5 years.

World Wrestling Entertainment's 1-year earnings growth exceeds its 5-year average (63.9% vs 57.9%)

World Wrestling Entertainment's earnings growth has exceeded the US Entertainment industry average in the past year (63.9% vs 62.5%).


Return on Equity

World Wrestling Entertainment has efficiently used shareholders’ funds last year (Return on Equity greater than 20%).


Return on Assets

World Wrestling Entertainment used its assets more efficiently than the US Entertainment industry average last year based on Return on Assets.


Return on Capital Employed

World Wrestling Entertainment has significantly improved its use of capital last year versus 3 years ago (Return on Capital Employed).


Next Steps

Financial Health

How is World Wrestling Entertainment's financial position?


Financial Position Analysis

World Wrestling Entertainment is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.

World Wrestling Entertainment's cash and other short term assets cover its long term commitments.


Debt to Equity History and Analysis

World Wrestling Entertainment's level of debt (73.4%) compared to net worth is high (greater than 40%).

The level of debt compared to net worth has increased over the past 5 years (11.5% vs 73.4% today).

Debt is well covered by operating cash flow (83.1%, greater than 20% of total debt).

Interest payments on debt are well covered by earnings (EBIT is 6.8x coverage).


Balance Sheet

High level of physical assets or inventory.

Debt is covered by short term assets, assets are 1.9x debt.


Next Steps

Dividend

What is World Wrestling Entertainment's current dividend yield, its reliability and sustainability?

0.70%

Expected Dividend Yield


Dividend Yield and Payments Analysis

World Wrestling Entertainment's pays a lower dividend yield than the bottom 25% of dividend payers in United States of America (1.44%).

World Wrestling Entertainment's dividend is below the markets top 25% of dividend payers in United States of America (3.69%).

World Wrestling Entertainment is not paying a notable dividend for United States of America, therefore no need to check if the payments are stable.

World Wrestling Entertainment is not paying a notable dividend for United States of America, therefore no need to check if the payments are increasing.


Current Payout to Shareholders

No need to calculate the sustainability of World Wrestling Entertainment's dividends as it is not paying a notable one for United States of America.


Future Payout to Shareholders

No need to calculate the sustainability of World Wrestling Entertainment's dividends in 3 years as they are not expected to pay a notable one for United States of America.


Next Steps

Management

What is the CEO of World Wrestling Entertainment's salary, the management and board of directors tenure and is there insider trading?

4.4yrs

Average management tenure


CEO

Vince McMahon (72yo)

9.8yrs

Tenure

US$5,658,238

Compensation

Mr. Vincent K. McMahon, also known as Vince, has been Chairman of World Wrestling Entertainment, Inc. (WWE) since 1987 and has been its Chief Executive Officer since September 16, 2009. He is a third gener ...


CEO Compensation Analysis

Vince's remuneration is about average for companies of similar size in United States of America.

Vince's compensation has been consistent with company performance over the past year, both up more than 20%.


Management Age and Tenure

4.4yrs

Average Tenure

52yo

Average Age

The tenure for the World Wrestling Entertainment management team is about average.


Board Age and Tenure

6.4yrs

Average Tenure

57yo

Average Age

The tenure for the World Wrestling Entertainment board of directors is about average.


Insider Trading

No 3 month insider trading information.


Recent Insider Transactions

SellUS$1,850,11901 Oct 18
Kevin Dunn
EntityIndividual
Role
Executive Vice President of Television Production
Shares19,108
Max PriceUS$97.36
SellUS$4,811,00028 Sep 18
George Barrios
EntityIndividual
Role
Co-President & Director
Member of the Board of Directors
Shares50,000
Max PriceUS$96.22
SellUS$220,10017 Sep 18
Mark Kowal
EntityIndividual
Role
Chief Accounting Officer
Shares2,500
Max PriceUS$88.04
SellUS$2,171,75007 Sep 18
Kevin Dunn
EntityIndividual
Role
Executive Vice President of Television Production
Shares25,000
Max PriceUS$86.87
SellUS$333,36029 Aug 18
George Barrios
EntityIndividual
Role
Co-President & Director
Member of the Board of Directors
Shares4,000
Max PriceUS$83.34
SellUS$207,57528 Aug 18
Mark Kowal
EntityIndividual
Role
Chief Accounting Officer
Shares2,500
Max PriceUS$83.03
SellUS$352,38527 Aug 18
Jeffrey Speed
EntityIndividual
Role
Member of the Board of Directors
Shares4,300
Max PriceUS$81.95
SellUS$7,315,77221 Aug 18
George Barrios
EntityIndividual
Role
Co-President & Director
Member of the Board of Directors
Shares90,685
Max PriceUS$81.47
SellUS$984,54416 Aug 18
Michael Luisi
EntityIndividual
Shares12,461
Max PriceUS$79.01
SellUS$198,62513 Aug 18
Mark Kowal
EntityIndividual
Role
Chief Accounting Officer
Shares2,500
Max PriceUS$79.45
SellUS$3,016,64013 Aug 18
George Barrios
EntityIndividual
Role
Co-President & Director
Member of the Board of Directors
Shares37,708
Max PriceUS$80.00
SellUS$300,00010 Aug 18
Jeffrey Speed
EntityIndividual
Role
Member of the Board of Directors
Shares3,750
Max PriceUS$80.00
SellUS$197,90009 Aug 18
Jeffrey Speed
EntityIndividual
Role
Member of the Board of Directors
Shares2,500
Max PriceUS$79.16
SellUS$983,48308 Aug 18
George Barrios
EntityIndividual
Role
Co-President & Director
Member of the Board of Directors
Shares12,292
Max PriceUS$80.01
SellUS$509,44207 Aug 18
Frank Riddick
EntityIndividual
Role
Member of the Board of Directors
Shares6,300
Max PriceUS$81.09
SellUS$11,204,20001 Aug 18
Michelle Wilson
EntityIndividual
Role
Co-President & Director
Member of the Board of Directors
Shares140,000
Max PriceUS$80.03
SellUS$7,918,44831 Jul 18
Kevin Dunn
EntityIndividual
Role
Executive Vice President of Television Production
Shares100,000
Max PriceUS$80.31

Ownership Breakdown


Management Team

  • Rajan Mehta

    CTO & Executive VP

    • Tenure: 3.8yrs
  • Kevin Dunn (57yo)

    Executive Vice President of Television Production

    • Tenure: 4.9yrs
    • Compensation: $5.93m
  • Michael Weitz

    Senior Vice President of Investor Relations

  • Brian Nurse (46yo)

    Senior VP

    • Tenure: 0.8yrs
  • George Wells

    Managing Director of International Operations and Senior Vice President

  • Mark Kowal (42yo)

    Chief Accounting Officer

    • Tenure: 5.0yrs
  • Triple H Levesque (48yo)

    Executive VP of Talent

    • Tenure: 7.8yrs
    • Compensation: $5.03m
  • George Barrios (52yo)

    Co-President & Director

    • Tenure: 1.3yrs
    • Compensation: $9.11m
  • Vince McMahon (72yo)

    Co-Founder

    • Tenure: 9.8yrs
    • Compensation: $5.66m
  • Michelle Wilson (52yo)

    Co-President & Director

    • Tenure: 1.3yrs
    • Compensation: $9.19m

Board Members

  • Jeff Speed (55yo)

    Director

    • Tenure: 10.8yrs
    • Compensation: $201.98k
  • Patricia Gottesman (59yo)

    Director

    • Tenure: 8.0yrs
    • Compensation: $174.48k
  • Frank Riddick (61yo)

    Director

    • Tenure: 10.8yrs
    • Compensation: $201.98k
  • Laureen Ong (65yo)

    Director

    • Tenure: 5.0yrs
    • Compensation: $170.33k
  • Triple H Levesque (48yo)

    Executive VP of Talent

    • Tenure: 4.3yrs
    • Compensation: $5.03m
  • Stuart Goldfarb (64yo)

    Director

    • Tenure: 7.8yrs
    • Compensation: $184.48k
  • George Barrios (52yo)

    Co-President & Director

    • Tenure: 1.3yrs
    • Compensation: $9.11m
  • Vince McMahon (72yo)

    Co-Founder

    • Tenure: 32.4yrs
    • Compensation: $5.66m
  • Michelle Wilson (52yo)

    Co-President & Director

    • Tenure: 1.3yrs
    • Compensation: $9.19m
  • Stephanie Levesque (41yo)

    Chief Brand Officer & Director

    • Tenure: 4.3yrs

Company Information

World Wrestling Entertainment, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: World Wrestling Entertainment, Inc.
  • Ticker: WWE
  • Exchange: NYSE
  • Founded: 1980
  • Industry: movies and entertainment
  • Sector: media
  • Market Cap: US$6.004b
  • Shares outstanding: 78.05m
  • Website: Click here

Number of Employees


Location

  • World Wrestling Entertainment, Inc.
  • 1241 East Main Street
  • Stamford
  • Connecticut
  • 6902
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
WWENYSE (New York Stock Exchange)YesClass A Common StockUSUSDOct 1999
WWFADB (Deutsche Boerse AG)YesClass A Common StockDEEUROct 1999
0M1GLSE (London Stock Exchange)YesClass A Common StockGBUSDOct 1999

Biography

World Wrestling Entertainment, Inc., an integrated media and entertainment company, engages in the sports entertainment business in North America, Europe, the Middle East, Africa, the Asia Pacific, and Lat ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/06/19 23:51
End of Day Share Price2019/06/19 00:00
Earnings2019/03/31
Annual Earnings2018/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.