WWE stock has taken a major hit over the past couple of days.
WWE stock was well over $91 per share but recently it decided to take a turn and is now sitting at $82.68 per share. This means that the company is down nearly 1.25 billion in market capitalization. Many are surprised by this turn because WWE hasn’t made any major business announcements that would cause a negative effect on the stock market.
Wrestling financial analyst Chris Harrington mention on Twitter that $60 would be a realistic stock price long-term for WWE.
I can't speak to the DCF model, but I think unless the UK & India deals really wow, WWE stock will find a new normal – $60 seems far more realistic than the current state.https://t.co/cktnepoS9T
— Chris Harrington (@mookieghana) October 9, 2018
Additionally, it’s worth mentioning that people I spoke with personally that work on Wall Street sent word that WWE was over valued and it was only a matter of time before they felt the price would drop after it surged to record-breaking numbers earlier this year.