World Wrestling Entertainment (NYSE:WWE) Downgraded by Zacks Investment Research to “Hold”

World Wrestling Entertainment (NYSE:WWE) was downgraded by Zacks Investment Research from a “strong-buy” rating to a “hold” rating in a research note issued to investors on Saturday, Zacks.com reports. They currently have a $50.00 price target on the stock. Zacks Investment Research‘s price target points to a potential upside of 20.89% from the company’s current price.

According to Zacks, “Shares of WWE have surged in the past three months. The stock got a boost following the company’s impressive first-quarter 2020 results. Notably, the company continued with its earnings beat streak for the fourth quarter in row. Further, revenues outdid the consensus mark following a miss in the preceding four quarters. Also, both the top and bottom lines grew year-over-year. Management informed that the company’s quarterly performance was “largely unimpacted” by the coronavirus outbreak. It also notified that the company has undertaken necessary steps such as short-term cost reductions and cash flow improvement actions to address the challenges related to the pandemic. However, falling revenues from Live Events is a concern. Ability to stage events in the presence of fans was impacted in the later part of the quarter.”

WWE has been the topic of a number of other research reports. Morgan Stanley dropped their price target on World Wrestling Entertainment from $50.00 to $45.00 and set an “equal weight” rating on the stock in a research note on Wednesday, April 22nd. Loop Capital lowered World Wrestling Entertainment from a “hold” rating to a “sell” rating and set a $30.00 price target on the stock. in a research note on Wednesday, March 25th. Wells Fargo & Co dropped their price target on World Wrestling Entertainment from $36.00 to $30.00 and set an “underweight” rating on the stock in a research note on Monday, April 20th. Guggenheim restated a “buy” rating and set a $60.00 price target on shares of World Wrestling Entertainment in a research note on Friday, April 24th. Finally, Benchmark boosted their price target on World Wrestling Entertainment from $46.00 to $50.00 and gave the stock a “buy” rating in a research note on Friday, April 24th. Two investment analysts have rated the stock with a sell rating, four have assigned a hold rating and ten have given a buy rating to the company’s stock. World Wrestling Entertainment has an average rating of “Buy” and a consensus price target of $55.75.

WWE traded down $1.66 on Friday, hitting $41.36. The company had a trading volume of 1,107,202 shares, compared to its average volume of 696,501. The stock has a fifty day moving average price of $44.92 and a 200-day moving average price of $48.17. World Wrestling Entertainment has a 12-month low of $29.10 and a 12-month high of $78.76. The company has a debt-to-equity ratio of 1.33, a quick ratio of 1.29 and a current ratio of 1.31. The stock has a market capitalization of $3.33 billion, a price-to-earnings ratio of 32.83 and a beta of 1.45.

World Wrestling Entertainment (NYSE:WWE) last posted its earnings results on Thursday, April 23rd. The company reported $0.31 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.25 by $0.06. World Wrestling Entertainment had a return on equity of 40.28% and a net margin of 10.45%. The company had revenue of $291.00 million for the quarter, compared to analyst estimates of $259.45 million. During the same quarter in the previous year, the firm earned ($0.11) earnings per share. The firm’s quarterly revenue was up 59.5% compared to the same quarter last year. Analysts forecast that World Wrestling Entertainment will post 1.22 EPS for the current fiscal year.

In other news, insider Kevin Dunn sold 33,000 shares of the company’s stock in a transaction that occurred on Wednesday, April 29th. The stock was sold at an average price of $45.46, for a total transaction of $1,500,180.00. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, EVP Paul Levesque sold 23,255 shares of the company’s stock in a transaction that occurred on Monday, May 4th. The stock was sold at an average price of $43.80, for a total value of $1,018,569.00. The disclosure for this sale can be found here. Insiders sold 72,613 shares of company stock valued at $3,260,094 over the last three months. 40.20% of the stock is currently owned by corporate insiders.

Hedge funds have recently made changes to their positions in the company. Psagot Investment House Ltd. acquired a new position in shares of World Wrestling Entertainment during the 4th quarter worth approximately $43,000. Verus Capital Partners LLC acquired a new position in World Wrestling Entertainment in the 4th quarter valued at $68,000. PNC Financial Services Group Inc. raised its stake in World Wrestling Entertainment by 24.5% in the 1st quarter. PNC Financial Services Group Inc. now owns 1,465 shares of the company’s stock valued at $50,000 after purchasing an additional 288 shares during the last quarter. Stephenson National Bank & Trust acquired a new position in World Wrestling Entertainment in the 4th quarter valued at $134,000. Finally, Nelson Van Denburg & Campbell Wealth Management Group LLC raised its stake in World Wrestling Entertainment by 72.4% in the 4th quarter. Nelson Van Denburg & Campbell Wealth Management Group LLC now owns 2,310 shares of the company’s stock valued at $149,000 after purchasing an additional 970 shares during the last quarter. 72.83% of the stock is owned by institutional investors and hedge funds.

World Wrestling Entertainment Company Profile

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. It operates in three segments: Media, Live Events, and Consumer Products. The Media segment engages in the production and monetization of long-form and short-form media content across various platforms, including WWE Network, pay television, and digital and social media, as well as filmed entertainment.

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