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

High growth potential with solid track record.


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

6.7%

NYSE:WWE

1.1%

US Entertainment

0.8%

US Market


1 Year Return

-15.3%

NYSE:WWE

3.3%

US Entertainment

1.9%

US Market

WWE underperformed the Entertainment industry which returned 4% over the past year.

WWE underperformed the Market in United States of America which returned 2.1% over the past year.


Share holder returns

WWEIndustryMarket
7 Day6.7%1.1%0.8%
30 Day9.0%1.2%3.4%
90 Day-1.3%-3.4%2.1%
1 Year-14.7%-15.3%4.1%3.3%4.2%1.9%
3 Year308.0%292.1%65.2%59.7%46.7%37.2%
5 Year508.3%451.3%94.1%82.0%62.3%44.5%

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?

13%

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 11 analysts?

28.8%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

World Wrestling Entertainment's revenue is expected to grow by 10.8% 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 efficiently use shareholders’ funds in the future (Return on Equity greater than 20%).


Next Steps

Past Performance

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

55.3%

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 is less than its 5-year average (49.3% vs 55.3%)

World Wrestling Entertainment's earnings growth has exceeded the US Entertainment industry average in the past year (49.3% vs 31.1%).


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 (65.8%) compared to net worth is high (greater than 40%).

The level of debt compared to net worth has increased over the past 5 years (12.2% vs 65.8% today).

Debt is well covered by operating cash flow (51%, greater than 20% of total debt).

Interest payments on debt are well covered by earnings (EBIT is 7x coverage).


Balance Sheet

High level of physical assets or inventory.

Debt is covered by short term assets, assets are 2.2x debt.


Next Steps

Dividend

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

0.72%

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 (1.43%).

World Wrestling Entertainment's dividend is below the markets top 25% of dividend payers in United States of America (3.67%).

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?

4.6yrs

Average management tenure


CEO

Vince McMahon (73yo)

10yrs

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

4.6yrs

Average Tenure

53yo

Average Age

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


Board Age and Tenure

6.7yrs

Average Tenure

58yo

Average Age

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


Insider Trading

World Wrestling Entertainment individual insiders have only sold shares in the past 3 months.


Recent Insider Transactions

SellUS$276,32309 Aug 19
Patricia Gottesman
EntityIndividual
Role
Member of the Board of Directors
Director
Shares4,123
Max PriceUS$67.02
SellUS$10,958,68609 Aug 19
Michelle Wilson
EntityIndividual
Role
Member of the Board of Directors
Co-President & Director
Shares158,134
Max PriceUS$69.30
SellUS$1,027,60002 Aug 19
Kevin Dunn
EntityIndividual
Role
Senior Key Executive
Executive Vice President of Television Production
Shares14,000
Max PriceUS$73.40
SellUS$299,84731 Jul 19
Patricia Gottesman
EntityIndividual
Role
Member of the Board of Directors
Director
Shares4,112
Max PriceUS$72.92
SellUS$1,850,11901 Oct 18
Kevin Dunn
EntityIndividual
Role
Senior Key Executive
Executive Vice President of Television Production
Shares19,108
Max PriceUS$97.36
SellUS$4,811,00028 Sep 18
George Barrios
EntityIndividual
Role
Member of the Board of Directors
Co-President & Director
Shares50,000
Max PriceUS$96.22

Ownership Breakdown


Management Team

  • Vince McMahon (73yo)

    Co-Founder

    • Tenure: 10yrs
    • Compensation: US$5.66m
  • George Barrios (53yo)

    Co-President & Director

    • Tenure: 1.6yrs
    • Compensation: US$9.11m
  • Kevin Dunn (58yo)

    Executive Vice President of Television Production

    • Tenure: 5.2yrs
    • Compensation: US$5.93m
  • Rajan Mehta

    CTO & Executive VP

    • Tenure: 4.1yrs
  • Michelle Wilson (53yo)

    Co-President & Director

    • Tenure: 1.6yrs
    • Compensation: US$9.19m
  • Triple H Levesque (49yo)

    Executive VP of Talent

    • Tenure: 4.6yrs
    • Compensation: US$5.03m
  • Mark Kowal (43yo)

    Chief Accounting Officer

    • Tenure: 5.3yrs
  • Michael Weitz

    Senior Vice President of Investor Relations

    • Tenure: 0yrs
  • George Wells

    Managing Director of International Operations and Senior Vice President

    • Tenure: 0yrs
  • Brian Nurse (47yo)

    Senior VP

    • Tenure: 1yrs

Board Members

  • Stuart Goldfarb (65yo)

    Director

    • Tenure: 8.1yrs
    • Compensation: US$184.48k
  • Frank Riddick (62yo)

    Director

    • Tenure: 11.1yrs
    • Compensation: US$201.98k
  • Vince McMahon (73yo)

    Co-Founder

    • Tenure: 10yrs
    • Compensation: US$5.66m
  • George Barrios (53yo)

    Co-President & Director

    • Tenure: 1.6yrs
    • Compensation: US$9.11m
  • Patricia Gottesman (60yo)

    Director

    • Tenure: 8.3yrs
    • Compensation: US$174.48k
  • Jeff Speed (56yo)

    Director

    • Tenure: 11.1yrs
    • Compensation: US$201.98k
  • Stephanie Levesque (42yo)

    Chief Brand Officer & Director

    • Tenure: 4.6yrs
  • Laureen Ong (66yo)

    Director

    • Tenure: 5.3yrs
    • Compensation: US$170.33k
  • Michelle Wilson (53yo)

    Co-President & Director

    • Tenure: 1.6yrs
    • Compensation: US$9.19m
  • Triple H Levesque (49yo)

    Executive VP of Talent

    • Tenure: 4.6yrs
    • Compensation: US$5.03m

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$5.971b
  • Shares outstanding: 78.66m
  • Website: https://corporate.wwe.com

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 Analysis2019/09/17 23:53
End of Day Share Price2019/09/17 00:00
Earnings2019/06/30
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.