World Wrestling Entertainment (WWE) Fundamental Analysis & Valuation

NYSE:WWE • US98156Q1085

Current stock price

100.65 USD
+2.6 (+2.65%)
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This WWE fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.

6

1. WWE Profitability Analysis

1.1 Basic Checks

  • WWE had positive earnings in the past year.
  • WWE had a positive operating cash flow in the past year.
WWE Yearly Net Income VS EBIT VS OCF VS FCFWWE Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 100M 200M 300M

1.2 Ratios

  • WWE has a better Return On Assets (11.22%) than 96.05% of its industry peers.
  • WWE has a better Return On Equity (18.60%) than 94.74% of its industry peers.
  • WWE has a Return On Invested Capital of 15.06%. This is amongst the best in the industry. WWE outperforms 94.74% of its industry peers.
  • The Average Return On Invested Capital over the past 3 years for WWE is significantly above the industry average of 7.48%.
Industry RankSector Rank
ROA 11.22%
ROE 18.6%
ROIC 15.06%
ROA(3y)13.11%
ROA(5y)12.26%
ROE(3y)39.69%
ROE(5y)35.71%
ROIC(3y)18.26%
ROIC(5y)16.38%
WWE Yearly ROA, ROE, ROICWWE Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 10 20 30 40

1.3 Margins

  • With an excellent Profit Margin value of 12.64%, WWE belongs to the best of the industry, outperforming 90.79% of the companies in the same industry.
  • WWE's Profit Margin has improved in the last couple of years.
  • WWE's Operating Margin of 19.58% is amongst the best of the industry. WWE outperforms 90.79% of its industry peers.
  • In the last couple of years the Operating Margin of WWE has grown nicely.
Industry RankSector Rank
OM 19.58%
PM (TTM) 12.64%
GM N/A
OM growth 3Y21.29%
OM growth 5Y18.38%
PM growth 3Y23.56%
PM growth 5Y30.06%
GM growth 3YN/A
GM growth 5YN/A
WWE Yearly Profit, Operating, Gross MarginsWWE Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 10 20 30 40

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ROAROEROICOperating and Profit MarginShow most profitable peers

8

2. WWE Health Analysis

2.1 Basic Checks

  • With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), WWE is creating value.
  • Compared to 1 year ago, WWE has less shares outstanding
  • WWE has a better debt/assets ratio than last year.
WWE Yearly Shares OutstandingWWE Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 20M 40M 60M
WWE Yearly Total Debt VS Total AssetsWWE Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 200M 400M 600M 800M 1B

2.2 Solvency

  • An Altman-Z score of 10.45 indicates that WWE is not in any danger for bankruptcy at the moment.
  • WWE has a better Altman-Z score (10.45) than 98.68% of its industry peers.
  • The Debt to FCF ratio of WWE is 7.58, which is on the high side as it means it would take WWE, 7.58 years of fcf income to pay off all of its debts.
  • The Debt to FCF ratio of WWE (7.58) is better than 77.63% of its industry peers.
  • WWE has a Debt/Equity ratio of 0.43. This is a healthy value indicating a solid balance between debt and equity.
  • Looking at the Debt to Equity ratio, with a value of 0.43, WWE is in line with its industry, outperforming 56.58% of the companies in the same industry.
Industry RankSector Rank
Debt/Equity 0.43
Debt/FCF 7.58
Altman-Z 10.45
ROIC/WACC1.69
WACC8.9%
WWE Yearly LT Debt VS Equity VS FCFWWE Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 100M 200M 300M 400M 500M

2.3 Liquidity

  • WWE has a Current Ratio of 3.78. This indicates that WWE is financially healthy and has no problem in meeting its short term obligations.
  • With an excellent Current ratio value of 3.78, WWE belongs to the best of the industry, outperforming 81.58% of the companies in the same industry.
  • A Quick Ratio of 3.76 indicates that WWE has no problem at all paying its short term obligations.
  • WWE's Quick ratio of 3.76 is amongst the best of the industry. WWE outperforms 81.58% of its industry peers.
Industry RankSector Rank
Current Ratio 3.78
Quick Ratio 3.76
WWE Yearly Current Assets VS Current LiabilitesWWE Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 200M 400M 600M

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WACCDebt/EquityHow to determine the health of a companyAltman-Z scoreShow peers with great health

6

3. WWE Growth Analysis

3.1 Past

  • WWE shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 0.00%.
  • The Earnings Per Share has been growing by 32.48% on average over the past years. This is a very strong growth
  • Looking at the last year, WWE shows a quite strong growth in Revenue. The Revenue has grown by 8.97% in the last year.
  • Measured over the past years, WWE shows a quite strong growth in Revenue. The Revenue has been growing by 10.03% on average per year.
EPS 1Y (TTM)0%
EPS 3Y44.42%
EPS 5Y32.48%
EPS Q2Q%54.24%
Revenue 1Y (TTM)8.97%
Revenue growth 3Y10.38%
Revenue growth 5Y10.03%
Sales Q2Q%25.06%

3.2 Future

  • The Earnings Per Share is expected to grow by 25.93% on average over the next years. This is a very strong growth
  • Based on estimates for the next years, WWE will show a small growth in Revenue. The Revenue will grow by 7.73% on average per year.
EPS Next Y1.85%
EPS Next 2Y12.15%
EPS Next 3Y20.76%
EPS Next 5Y25.93%
Revenue Next Year4.64%
Revenue Next 2Y6.34%
Revenue Next 3Y9.6%
Revenue Next 5Y7.73%

3.3 Evolution

  • Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
  • When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
WWE Yearly Revenue VS EstimatesWWE Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 500M 1B 1.5B
WWE Yearly EPS VS EstimatesWWE Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2 4 6

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Find the best growth stocksShow best growing peers

4

4. WWE Valuation Analysis

4.1 Price/Earnings Ratio

  • Based on the Price/Earnings ratio of 39.01, the valuation of WWE can be described as expensive.
  • Compared to the rest of the industry, the Price/Earnings ratio of WWE indicates a somewhat cheap valuation: WWE is cheaper than 76.32% of the companies listed in the same industry.
  • Compared to an average S&P500 Price/Earnings ratio of 25.60, WWE is valued quite expensively.
  • Based on the Price/Forward Earnings ratio of 31.63, the valuation of WWE can be described as expensive.
  • Based on the Price/Forward Earnings ratio, WWE is valued a bit cheaper than 67.11% of the companies in the same industry.
  • Compared to an average S&P500 Price/Forward Earnings ratio of 22.84, WWE is valued a bit more expensive.
Industry RankSector Rank
PE 39.01
Fwd PE 31.63
WWE Price Earnings VS Forward Price EarningsWWE Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 10 20 30 40 50

4.2 Price Multiples

  • The rest of the industry has a similar Enterprise Value to EBITDA ratio as WWE.
  • Based on the Price/Free Cash Flow ratio, WWE is valued a bit cheaper than 71.05% of the companies in the same industry.
Industry RankSector Rank
P/FCF 158.69
EV/EBITDA 23.18
WWE Per share dataWWE EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 5 10 15

4.3 Compensation for Growth

  • The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
  • WWE has a very decent profitability rating, which may justify a higher PE ratio.
  • WWE's earnings are expected to grow with 20.76% in the coming years. This may justify a more expensive valuation.
PEG (NY)21.04
PEG (5Y)1.2
EPS Next 2Y12.15%
EPS Next 3Y20.76%

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Price/EarningsPrice/FCFFCF per shareEV/EBITDAPEG RATIOShow best valued peers

5

5. WWE Dividend Analysis

5.1 Amount

  • With a yearly dividend of 0.48%, WWE is not a good candidate for dividend investing.
  • WWE's Dividend Yield is rather good when compared to the industry average which is at 5.72. WWE pays more dividend than 86.84% of the companies in the same industry.
  • Compared to an average S&P500 Dividend Yield of 1.90, WWE's dividend is way lower than the S&P500 average.
Industry RankSector Rank
Dividend Yield 0.48%

5.2 History

  • The dividend of WWE decreases each year by -0.11%.
  • WWE has been paying a dividend for at least 10 years, so it has a reliable track record.
  • WWE has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)-0.11%
Div Incr Years0
Div Non Decr Years10
WWE Yearly Dividends per shareWWE Yearly Dividends per shareYearly Dividends per share 2016 2017 2018 2019 2020 2021 2022 2023 0.1 0.2 0.3 0.4

5.3 Sustainability

  • WWE pays out 21.61% of its income as dividend. This is a sustainable payout ratio.
DP21.61%
EPS Next 2Y12.15%
EPS Next 3Y20.76%
WWE Yearly Income VS Free CF VS DividendWWE Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2016 2017 2018 2019 2020 2021 2022 50M 100M 150M 200M 250M
WWE Dividend Payout.WWE Dividend Payout, showing the Payout Ratio.WWE Dividend Payout.PayoutRetained Earnings

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Find the best dividend stocksShow peers with best dividend

WWE Fundamentals: All Metrics, Ratios and Statistics

World Wrestling Entertainment

NYSE:WWE (9/11/2023, 8:04:00 PM)

After market: 100.65 0 (0%)

100.65

+2.6 (+2.65%)

Chartmill FA Rating
GICS IndustryGroupMedia & Entertainment
GICS IndustryEntertainment
Earnings (Last)08-02
Earnings (Next)10-31
Inst Owners0%
Inst Owner Change0%
Ins Owners0.73%
Ins Owner Change0%
Market Cap8.37B
Revenue(TTM)1.34B
Net Income(TTM)169.13M
Analysts78.57
Price Target115.83 (15.08%)
Short Float %N/A
Short RatioN/A
Dividend
Industry RankSector Rank
Dividend Yield 0.48%
Yearly Dividend0.48
Dividend Growth(5Y)-0.11%
DP21.61%
Div Incr Years0
Div Non Decr Years10
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)7.71%
Min EPS beat(2)-1.42%
Max EPS beat(2)16.85%
EPS beat(4)2
Avg EPS beat(4)7.99%
Min EPS beat(4)-11.69%
Max EPS beat(4)28.23%
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)2
Avg Revenue beat(2)1.47%
Min Revenue beat(2)1.08%
Max Revenue beat(2)1.86%
Revenue beat(4)3
Avg Revenue beat(4)1.54%
Min Revenue beat(4)-3.79%
Max Revenue beat(4)7.01%
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)-0.2%
PT rev (3m)0.99%
EPS NQ rev (1m)2.96%
EPS NQ rev (3m)-6.65%
EPS NY rev (1m)0.53%
EPS NY rev (3m)-6.76%
Revenue NQ rev (1m)-0.59%
Revenue NQ rev (3m)-2.7%
Revenue NY rev (1m)0.51%
Revenue NY rev (3m)1.48%
Valuation
Industry RankSector Rank
PE 39.01
Fwd PE 31.63
P/S 6.26
P/FCF 158.69
P/OCF 31.84
P/B 9.21
P/tB 9.32
EV/EBITDA 23.18
EPS(TTM)2.58
EY2.56%
EPS(NY)3.18
Fwd EY3.16%
FCF(TTM)0.63
FCFY0.63%
OCF(TTM)3.16
OCFY3.14%
SpS16.09
BVpS10.93
TBVpS10.8
PEG (NY)21.04
PEG (5Y)1.2
Graham NumberN/A
Profitability
Industry RankSector Rank
ROA 11.22%
ROE 18.6%
ROCE 20%
ROIC 15.06%
ROICexc 25.04%
ROICexgc 25.39%
OM 19.58%
PM (TTM) 12.64%
GM N/A
FCFM 3.94%
ROA(3y)13.11%
ROA(5y)12.26%
ROE(3y)39.69%
ROE(5y)35.71%
ROIC(3y)18.26%
ROIC(5y)16.38%
ROICexc(3y)35.61%
ROICexc(5y)34.79%
ROICexgc(3y)36.7%
ROICexgc(5y)37.05%
ROCE(3y)30.05%
ROCE(5y)28.36%
ROICexgc growth 3Y28.39%
ROICexgc growth 5Y-2.71%
ROICexc growth 3Y28.79%
ROICexc growth 5Y0.36%
OM growth 3Y21.29%
OM growth 5Y18.38%
PM growth 3Y23.56%
PM growth 5Y30.06%
GM growth 3YN/A
GM growth 5YN/A
F-Score5
Asset Turnover0.89
Health
Industry RankSector Rank
Debt/Equity 0.43
Debt/FCF 7.58
Debt/EBITDA 1.12
Cap/Depr 248.26%
Cap/Sales 15.7%
Interest Coverage N/A
Cash Conversion N/A
Profit Quality 31.19%
Current Ratio 3.78
Quick Ratio 3.76
Altman-Z 10.45
F-Score5
WACC8.9%
ROIC/WACC1.69
Cap/Depr(3y)96.97%
Cap/Depr(5y)82.14%
Cap/Sales(3y)7.3%
Cap/Sales(5y)6.51%
Profit Quality(3y)122.33%
Profit Quality(5y)118.05%
High Growth Momentum
Growth
EPS 1Y (TTM)0%
EPS 3Y44.42%
EPS 5Y32.48%
EPS Q2Q%54.24%
EPS Next Y1.85%
EPS Next 2Y12.15%
EPS Next 3Y20.76%
EPS Next 5Y25.93%
Revenue 1Y (TTM)8.97%
Revenue growth 3Y10.38%
Revenue growth 5Y10.03%
Sales Q2Q%25.06%
Revenue Next Year4.64%
Revenue Next 2Y6.34%
Revenue Next 3Y9.6%
Revenue Next 5Y7.73%
EBIT growth 1Y-14.68%
EBIT growth 3Y33.88%
EBIT growth 5Y30.25%
EBIT Next Year35.87%
EBIT Next 3Y26.93%
EBIT Next 5Y18.62%
FCF growth 1Y-77.46%
FCF growth 3Y33.71%
FCF growth 5Y11.83%
OCF growth 1Y1.63%
OCF growth 3Y38.83%
OCF growth 5Y27.51%

World Wrestling Entertainment / WWE Fundamental Analysis FAQ

What is the fundamental rating for WWE stock?

ChartMill assigns a fundamental rating of 7 / 10 to WWE.


Can you provide the valuation status for World Wrestling Entertainment?

ChartMill assigns a valuation rating of 4 / 10 to World Wrestling Entertainment (WWE). This can be considered as Fairly Valued.


Can you provide the profitability details for World Wrestling Entertainment?

World Wrestling Entertainment (WWE) has a profitability rating of 8 / 10.


Can you provide the financial health for WWE stock?

The financial health rating of World Wrestling Entertainment (WWE) is 8 / 10.


How sustainable is the dividend of World Wrestling Entertainment (WWE) stock?

The dividend rating of World Wrestling Entertainment (WWE) is 5 / 10 and the dividend payout ratio is 21.61%.