Vince McMahon’s primary argument for returning to the WWE board of directors is that he needs to ensure that the company’s shareholders get maximum value as a result of new media rights deals or a potential sale of the entire company.
News of his return today (January 6) certainly didn’t hurt the price of WWE’s publicly traded stock, though how much of that is debatable due to the excitement of McMahon’s return and how much due to the perception that his return meant an imminent sell-out.
WWE stock closed at $84.27 a share, up 16.98% from when the market opened this morning. The price peaked at $89.43 a share, a point it reached late in the morning after trading was paused due to a pending news update. There was speculation that it might be something definite regarding the sale, but it turned out to be the company’s confirmation of McMahon’s return and other changes in the composition of the board.
Both that peak and the closing price are 52-week highs, but the stock was in the $75-80 range for about six weeks in October and November last year — something Board McMahon mentioned in its return correspondence with him last month. There seems to be evidence that Wall Street is more interested in the potential sale of the company than Vince’s presence.
How the stock performs in the coming weeks should tell us more about that.