WWE Stock Spikes Due to New Rumors About a Buyout

Investment and stock market review website SeekingAlpha.com has been tracking the performance of WWE’s stock and claims that the stock spiked on July 17 due to new rumors about a possible buyout of the company. WWE stock saw an 8% increase at one point on July 17, all due to these new reports in regards to the claim that WWE may sell to another company.

This would not be the first time WWE was rumored to be looking to sell to a buyer. Prior to the launch of the WWE Network and then prior to the reveal of WWE’s domestic television deal, WWE stock was at an all-time high. Potential buyers at that time were companies like Viacom and AMC. However, WWE was not going to sell.

Stock then plummeted for the company when their TV deal wasn’t what they projected and the WWE Network was underperforming (and still is). WWE has been undergoing numerous budget cuts due to their projected losses this year alone, and have released staff and superstars alike.

However, speculation in regards to a potential buyout began again and on July 17 WWE stock spiked. SeekingAlpha.com writes,

Shares of World Wrestling Entertainment (WWE +6.5%) move higher on heavy volume on renewed buyout speculation. The M&A buzz in the media sector kicked into a higher gear yesterday after 21st Century Fox made an offer for Time Warner. Though the streaming sub growth at WWE hasn’t dazzled, analysts think the initiative could still draw interest from a company on the distribution side of the business.

Editor’s Note:
Here we go again. WWE is not going to sell to a bigger company. Come on.