World Wrestling Entertainment (WWE) NewsBite - WWE Earnings Don't Impress Investors

Posted on Tuesday, May 06, 2008 10:44 AM
World Wrestling Entertainment Inc. (WWE) opened at 18.26. So far today, the stock has hit a low of 17.50 and a high of 18.75. WWE is now trading at 17.45, down 0.92 (-5.01%). The stock hit its 52 week high of 19.86 in April and set its 52 week low of 13.35 in January. WWE fell during 2007, but has shown signs of rebound this year. World Wrestling Entertainment announced this morning its first-quarter profit rose 295 to $19.5 million, helped by WrestleMania XXIV. The company posted earnings of 27 cents per share, matching analysts' predictions. Quarterly revenue also jumped 51% to $162.6 million, beating the $131 million that analysts predicted. Technical indicators for the stock are bullish but deteriorating. If you’re looking for a hedged play on this stock, consider an October bear-call credit spread above the $20 range. WWE stock could rise up to 14.6% before expiration and this position would still be profitable. [RHF - Seven Summits Strategic Investments NewsBite]
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