WWE stock plunges; Vince McMahon loses $357 million

Discussion in 'The Howard Stern Show' started by Nemo, May 18, 2014.

  1. Nemo

    Nemo Beer Can Thick Gold

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    http://www.sportingnews.com/soccer/...stock-plunges-vince-mcmahon-loses-357-million
    http://www.forbes.com/sites/maggiem...rly-50-as-nbcuniversal-deal-fails-to-impress/

    [​IMG]


    Let the body-slam gags begin: World Wrestling Entertainment, the company that brings muscle-bound entertainers to televisions and arenas, got nailed Friday on the New York Stock Exchange.

    Shares of the entertainment company fell as investors worried about its new TV deal and prospects for its monthly subscription service.


    The count: down $8.66 to $11.27.

    WWE's TV deal is with NBC Universal, but investors responded with a shrug. Even Vince McMahon couldn't convince money men the accord would record increased earnings.

    The pact announced Thursday will continue WWE's Monday Night Raw on USA Network. Friday Night Smackdown will air on SyFy Network. Both cable/satellite channels are under the Peacock's wings.

    The biggest loser on Friday was McMahon, WWE's chairman and CEO. According to Forbes, McMahon lost $357 million, nearly a third of his fortune, in 24 hours.

    Here's the problem: Analysts expected a bigger contract. While the pact brings a 70 percent increase in rights fees, WWE had put expectations on steroids. Observers excepted fees would increase two or maybe three times.

    WWE's albatross, it appears, is the WWE Network, an online operation launched in February. That enterprise is expected to cost between $42 million and $52 million this year, according to the Los Angeles Times.

    Here's the worst of it for McMahon: Investors are calling for management changes, according to Wrestling Observer, an industry publication.

    Another negative? WWE isn't a lucrative ad generator, according to The Motley Fool website. Its rates don't match other sports.
     
  2. jake206

    jake206 Well-Known Member

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    Yes yes yes
     
  3. cia212

    cia212 Well-Known Member VIP

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    How's his football league working out?
     
  4. Nemo

    Nemo Beer Can Thick Gold

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  5. Mlaw

    Mlaw Quite Contrarian Gold

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    SYFY? well it makes sense, wrestling is fiction, not sure where the science comes from
     
  6. Lou Skunt

    Lou Skunt ____________________ Banned User

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    Steroids are a helluva drug. :grad:
     
  7. jake206

    jake206 Well-Known Member

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    It's no different than any other movie or television show; just a different format.
     
  8. Uncle Larry

    Uncle Larry Well-Known Member VIP

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    Bad day for Vince with the stock getting hammered - hopefully the WWE won't have to start running squatty potty ads. Too bad more investors aren't also getting out of many of the overvalued tech companies which are trading at huge prices compared to earnings.
     
  9. Dump Button

    Dump Button Former Mall Security Guard

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    Kinda unique the wwe is a public entity. Perhaps Vince may take it private
     
  10. Phan Neepack

    Phan Neepack Well-Known Member

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    WHAT?? People are losing confidence in a business that primarily consists of roided up dullards pretending to fight ??? .... I guess the tastes of American trailer-parkers are getting more sophisticated
     
  11. Psyche

    Psyche Freethinker

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    [​IMG]
     
  12. ARM

    ARM Well-Known Member

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    Maybe Vince could sue 112 PRODUCTIONS and recoup it all from Wigward for stealing his scripted storylines 2.5 days a week?? HELL...I bet the WWE is MORE real than Wigward's fake shitshow at this point?!

    Hard to believe the WWE could ever take a hit like that with great rasslin like the NWA/WCW no longer competing with them and the WWE having ALL that monopoly real estate to themselves.

    I wonder how much the UFC cuts into them now?? Seems like the UFC has lost a step in momentum from the mid 2000s with every fan-boy, faux tough-guy Jim Norton jagoff driving around in a Dodge or Ford pick-up truck with fucking "TAP OUT" type stickers on the back.
     
    Last edited: May 18, 2014
  13. Psyche

    Psyche Freethinker

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    It was his own fault for being overly boastful during stock holder meetings.. They'll survive though. And Vinnie Mac will learn to keep his F'N mouth shut.
     
  14. knu3421

    knu3421 Well-Known Member

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    Hey O!
     
  15. FSFN

    FSFN Well-Known Member

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    WWE will be just fine, it's the perfect diversionary tactic for white trash in fly over states so they forget how shitty their lives are.
     
  16. broccoli rob

    broccoli rob thanks for the memories DW3

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    still wearing my He Hate Me jersey.
     
  17. Robert Higgins

    Robert Higgins Well-Known Member VIP

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  18. Nemo

    Nemo Beer Can Thick Gold

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  19. Willowglen

    Willowglen Lookin thru the glass ceiling & up Stephs skirt VIP

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    The initial outlay to get the www network up and running was huge. They will be fine. I love the investors thinking they can call for anything at all since everything that was issued publicly is class b not voting stock and all the class a voting stock is still in the McMahon family's portfolios.

    That's why the stock market is such ridiculous bullshit. They got a 70 percent raise but since they thought the raise would be bigger they lose 300 plus million in value?
     
  20. SillyOldMan

    SillyOldMan Well-Known Member

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    Makes sense if a bigger tv revenue deal (double or triple higher) was already priced into the stock.