WWE stock dropped as much as 6.7 percent on Tuesday and at least one stock exchange analyst is blaming the Donald Trump storyline.
Maxwell Murphy of Dow Jones News Plus says: “For starters, public companies don’t announce mergers and acquisitions involving one of their most lucrative brands as part of staged, circus-like events. And if, heaven forbid, they do, they certainly must file with alacrity an 8-K with the Securities and Exchange Commission to announce and explain the pact, which WWE hasn’t done.”
Murphy also noted that he contacted USA Network, which issued a press release to trumpet the storyline sale. “A USA spokesman referred questions to WWE about whether the release could mislead WWE investors who don’t get the joke, or run afoul of Securities and Exchange Commission disclosure rules,” continued Maxell. “An SEC spokesman wasn’t familiar with the situation, but doubted the agency would have a comment one way or the other about the propriety of such a press release.”
A WWE spokesperson noted that the Trump sale “will make for great television,” but danced around directly admitting the sale was a storyline.
HUGE SPOILER: Trump bringing back HOGAN & SAVAGE NEXT WEEK in MAJOR ratings stunt [FULL REPORT >>]
