World Wrestling Entertainment, Inc. (NYSE:WWE)
An integrated media & entertainment company engaged in the development, production & marketing of television and pay-per-view programming and live events and the licensing and sale of consumer products featuring World Wrestling Entertainment brands.
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speculation that investments in WW internet will start paying off in coming years
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Great income investing play. Dividend is over 5%!!!
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Its an entertainment business..not wrestling and it has a huge base fan to keep it growing.
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Naturally expanding its business into films. Unlike the XFL, movies are a natural progression.
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People are hot for dividends and this is a consistant performer in the growing entertainment industry. They also pay a 6$ dividend.
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WWE is lossing viewers to MMA like PRIDE and UFC.
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Increased media outlets and acceptance for product. Flagship event will be held at 60,000+ seat stadium in April 07 Slight bias towards a form of entertainment, it may be the downfall of my CAPS portfolio.
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If it's one thing the WWE isn't afraid of it's taking a risk. Over the years the WWE has bought out wcw, ecw, made the xfl, and now has started a production company. I don't think anybody will argue that the XFL was a horrible mistake, but that?s the chance they took. Can you imagine the obscene profits if the XFL had flourished? Most people look at the WWE is silly wrestling, but it's not - it's a media empire, and as a media empire it's always looking to expand its tentacles.
Personally, I'm excited about the expansion into the movie business. How many fans will go see their favorite wrestler in a movie? Many How many will buy the DVD? Alot, that?s how many. From the other end it makes sense to - You have 3 entire rosters of wresters that for the most part can act, so if you need a soldier, gangsters, bad guys, etc... you have somebody that is already used to playing that stereotype and can fit right into the role.
Just another thought on the movie division. The first WWE movie "See No Evil" rated only 5.1/10 on imdb.com, and critics almost unanimously said it stunk. BUT ! The movie is going to break even on DVD sales. How often can a flop be made and still break even? You have to remember - that was their first release, and as they gain experience they'll gain fiscal efficiencies. Imagine the potential profits on a good or even great movie.
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WWE is continually finding ways to monetize its superstars and library (ECW, On-Demand, WWE films). I think Vince McMahon and Co. have learned from the mistakes of the XFL and World restaurant, and are taking on these projects in a cautious manner. Meanwhile, you have growing international sales. Finally, you can't argue with that nice dividend.
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Yes, WWE, the wrestling company, which has turned into a multi-media empire, that pays a large dividend, with good possibilities for growth.
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This stock was picked by TMF Shakespeare.
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