WWE is a Bubble Company

[RLStern]

Plain and simple, WWE is overvalued and makes revenue based on past value from past long term deals that were signed on speculation.

WWE used its past success and ratings to secure long term deals, deals in which go up due to inflation of markets.

Without these deals WWE is in the red, they have low ratings, don’t profit much on the network, and attendance is low.

They are in a Bubble, where the company is overvalued by the TV deals, and we saw with the Dot Com Bubble, Bubble’s burst.

They can’t keep getting these 5 year deals every 5 years with the decline their having now. The last TV deals in 2018 even though most probably disagreed with, made sense to executive's.

When that Bubble bursts and they lose the TV deals, if the company doesn’t have their problems fixed with attendance, TV ratings and PPV fixed, they will be forced to sell, fold or take a massive loss to the point where the company has to make massive cuts to survive.

 

[Deezy]

Yeah I'm sure the 5 billion dollars they are getting over the next how many years will instantly dry up and the stock that had been performing steady than most since 99 will magically devalue because......BUBBLES!!!!!!

FUCKING BUBBLES MAN!!!!

 

[RLStern]

Yeah I'm sure the 5 billion dollars they are getting over the next how many years will instantly dry up and the stock that had been performing steady than most since 99 will magically devalue because......BUBBLES!!!!!!

Takes money to produce these shows and they have more people than ever on the roster making more money than ever.

That drives that 5 billion down, if they had to cut people for CO-VID, then they certain would be screwed losing those TV deals when the bubble bursts.

And no, they are not steady, they’re reliant on the TV deals, that’s in a bubble. The second that bubble burst they’re screwed since they don’t draw huge and are niche.

TV deals Bubble bursts and they have no house show business, no PPV, no reliable ad revenue, no reliable form of income.

During the Attitude era, TV deals were far lower compared to today, even for inflation. They made they’re money from Ad revenue, house show, PPV, etc

The TV deals were just the icing on the cake, now they’re literally the entire revenue.

 

[Deezy]

No reliable ad revenue.....only have their biggest and most high profile sponsors they've ever had.....sorry you pine for the days when strident and 1 800 collect were sponsors.

PPV? Houseshows? LMAO how antiquated....their jump to a giant streaming platform is the future bud....

And guess what? Until people get their shit together and stop grabassing on this Covid thing....house shows will continue to be a non factor anyways.

 

[RLStern]

No reliable ad revenue.....only have their biggest and most high profile sponsors they've ever had.....sorry you pine for the days when strident and 1 800 collect were sponsors.

Uh oh Cricket & Hyundai lol

Back in the day we had Coca-Cola, AT&T, U.S. Army.

PPV? Houseshows? LMAO how antiquated....their jump to a giant streaming platform is the future bud....
PPV? Houseshows? LMAO how antiquated....their jump to a giant streaming platform is the future bud....

Their peacock deal exists in the Bubble... lol

They get 1.5 million subs, the bubble will burst as its overvalued for its price and they lose that platform, and they ain’t survive with their own platform.

 

[Deezy]

Ain't survive with their own platform? That platform performed so well it was bought by a bigger entity.

That's how getting MORE money for something works.....it means it's doing pretty.damn good.

 

[RLStern]

Ain't survive with their own platform? That platform performed so well it was bought by a bigger entity.

That's how getting MORE money for something works.....it means it's doing pretty.damn good.

No it did not, 1.5 million for $9.99 each subscribers is shit, they’re not surviving on 15 million dollars.

The peacock deal, just like the TV deals are overinflated, it’s in a bubble and the bubble will burst as its overvalued.

People made every excuse for the Dot Com bubble... it burst, the internet was overvalued just like WWE TV and streaming rights are right now.

 

[Sky]

While I'd love to see the day that WWE experiences actual hardship and has to rethink and win the fans back... I don't see a scenario where they aren't just able to keep coasting off ever-dwindling nostalgia

 

[Deezy]

The Internet was over valued....that's why it's gone. ...like the WWE will be

 

[RLStern]

The Internet was over valued....that's why it's gone. ...like the WWE will be

My bad meant Internet Market, not actual Internet, the interface wasn’t going anywhere. The websites/internet companies were.

 

[Deezy]

Companies like Microsoft, Ebay, Amazon etc survived the tech crash.....because they had the most money and could keep themselves afloat with it.....sound familiar?

You honestly think the WWE who itself went public just before the market crash, and stayed steady during the great recession will all of a sudden cease to exist because the streaming service boom will eventually hit it's own valley?

This company just boasted record.profits in a pandemic year.

Peacock is owned by one of the biggest conglomerates going.....

Nah fam.....it'll take like 2 lifetimes to squander the profits made by this company.

 

[RLStern]

Companies like Microsoft, Ebay, Amazon etc survived the tech crash.....because they had the most money and could keep themselves afloat with it.....sound familiar?

No, they kept themselves afloat because they actually made money from sales, they did not exist in a bubble.

Amazon & EBay had a slow growth, and spent reasonably, while their company was overvalued by the Bubble, they survived the bubble because they did in fact have value, it wasn’t over exaggerated to the extent of others like Pets.Com.

While Microsoft was extremely successful from sales and the bubble simply inflated them more than worth, hence when Bubble burst it was business as usual and they had Windows XP. Again it had value, even if Dot Com bubble overvalued it.

WWE exists entirely in a Bubble, they don’t make money from sales, they make money from overvalued deals, the company itself without the deals has zero value. They have poor ratings, poor live/house show sales, poor buyrates for PPV, poor subscriber count.

WWE literally has zero value as a business. They make money solely from the bubble of overvalued TV, saudi and streaming deals.

Ebay, Amazon, Microsoft had value and were a little bit in the bubble and a little overvalued, hence thrived. Whereas WWE is entirely in a bubble and is completely overvalued as they have zero value.

You honestly think the WWE who itself went public just before the market crash, and stayed steady during the great recession will all of a sudden cease to exist because the streaming service boom will eventually hit it's own valley?


WWE still drew during Great Recession. They still had value and drew in PPV, ratings ad revenue, and house shows.

They don’t have that value today and do not make money from PPV, ratings, and house shows anymore, they have zero value. They are kept going from TV deals, saudi deal, & streaming rights, they are in a literal bubble and are thereforovervalued.

This company just boasted record.profits in a pandemic year.

Peacock is owned by one of the biggest conglomerates going.....

Nah fam.....it'll take like 2 lifetimes to squander the profits made by this company.

They couldn’t survive CO-VID and made cuts last year, you take away their overvalued TV, Saudi and streaming deals and they have to make 100x the cuts, fold or sell the company, because they have zero way to make money, their revenue is from overvalued deals based on the previous value of the company.

Once that bubble bursts forget it.

 

[RLStern]

While I'd love to see the day that WWE experiences actual hardship and has to rethink and win the fans back... I don't see a scenario where they aren't just able to keep coasting off ever-dwindling nostalgia

They are either aware that they are in a bubble or too dense to not realize it.

The TV, Saudi and streaming deals are based on the prior value of the company, when they had huge ratings, PPV numbers, house show numbers etc

It’s inevitably gonna burst, they lost more than half their audience since the 2018 deal which was based on the prior 4-5 years, where they still got 5+ million viewers at times.

Now they can’t get over 2 million, the bubble is gonna burst unless they get ratings up, they’re not going to get those contracts again, they don’t have the 5 million + viewers, PPV records(two of the biggest ppvs they had WM 28 & 29), and the house show business that they stfrom 2012-2017 that got them that 2018 deal.

The next contract is going to be based on 2018-2022 numbers, and it’s going to burst the bubble.

This time they don’t have WM 28+29 to claim PPV buys, they don’t have house shows, they don’t have a FOTC like Cena or returning 2011-2013 Rock, they don’t have 5+ million viewer ratings they still did.

The TV deals are going to be significantly lowered or refused(I doubt that so they will take a lower deal), this will hurt their stock, the bubble will burst.