JPMorgan analyst David Karnovsky raised his overweight rating for WWE stocks and raised his price target from $95 to $105.
Karnovsky outlined that upcoming TV deals in India, United Kingdom, Middle East, Latin America, and China will bring in more money as well as a potential third hour of Smackdown on FOX which would greatly increase WWE’s revenues for 52 more hours of action for the network.
He expects that the India television deal will bring in over the double the amount that the company gets at the moment. A third hour of Smackdown would generate around $25 million per year in extra revenue for WWE.
“We continue to see upside to WWE shares, with the stock remaining our top pick in the live entertainment subsector,” Karnovsky wrote in a note.