WWE Stock Drops Shortly After the Publishing of Forbes Article

This afternoon, on Wednesday, March 26, we here at WrestlingRumors.net detailed an article by Forbes.com regarding WWE. For the piece, Forbes.com sat down with WWE Chairman Vince McMahon, who discussed a number of topics such as his growing wealth and past failures.

In addition to interviewing Mr. McMahon, Forbes.com took a look at the WWE Network. The article detailed how the WWE Network came about and what value it may have for the company. Not only did the article focus on the positives for WWE, it also brought up some troubling signs for the company going forward. It noted that Intrepid Capital Management sold its 10 percent stake in WWE in early 2014. Its portfolio manager, Jayme Wiggins, revealed that he does not believe the WWE Network will draw 1,000,000 subscribers, a goal set by WWE. His estimate is around 700,000 because he feels only the core of the WWE Universe will subscribe.

Additionally, the article looked at WWE’s rising stock. WWE’s stock has been on a tremendous rise, tripling over the past six months. However, Forbes.com also took a look at the company’s revenue, and noted that it has barely budged over the past couple of years with stagnant profits.

Shortly after the article came out at 1:00 p.m. EST, WWE’s stock took a dramatic fall. At the closing bell, WWE’s stock ended up dropping 2.18, about a 7.34 % decrease.

To read the Forbes.com article, click here.