WWE stocks took one hell of a smackdown yesterday as Wall Street was not impressed at all with the Q3 2019 numbers.
Investors punished WWE during the trading day, driving the stock 15.65% lower, shaving $10.40 off its price to end the day at $56.
While the Q3 2019 financial results contained mainly bad news, one of the major reasons for the downfall was WWE admitting that it’s having trouble closing a new television deal in the Middle East despite a major push in the area. WWE co-President George Barrios said that they were hoping that the deal would be finalized but it wasn’t and he also failed to provide details of the new TV deals in the United Kingdom and Latin America. In the UK, WWE ditched their three-decade partner Sky to move with BT Sports but no financial terms were ever revealed with the deal kicking off in Janury 2020.
Another lucrative television deal in India is also taking longer than expected to be closed although an announcement is said to be coming before the end of 2019.
The latest financial results also had more troubling news in terms of live event attendance which had been diving for the past several quarters as well as the decline in WWE Network numbers.