WWE has become a wildly successful brand. Top-ranked World Wrestling Entertainment is also one of the hottest stocks in a cold market. On Wednesday, the Relative Strength (RS) Rating for World Wrestling Entertainment stock hit a lofty 92 rating, up from 89 the day before.
The 92 RS Rating means WWE stock has outperformed all but 8% of all stocks over the past year. Market research shows that the best stocks typically have an 80 or higher RS Rating as they launch their biggest price moves. Stamford, Conn.-based WWE passed the 80 benchmark a while back and continues to push upward.
WWE Stock Has Outperformed Despite The Market Downturn
WWE stock is up 22% from a December 17 low of 46.91. It closed at 57.01 Wednesday, down 1.6% as the market retreat continues.
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In addition to its namesake sports matches, World Wrestling Entertainment is engaged in production and marketing of a variety of programs via TV, pay for view programs and live events. WWE stock is building a consolidation with a 70.82 entry. See if the stock can break out in heavy volume.
World Wrestling Entertainment showed 51% EPS growth in the latest quarterly report, to 77 cents. That came on the heels of a 192% surge in year-over-year quarterly profit growth. It reversed from a couple of weak quarters last year. WWE's revenue grew 27% last quarter to $333.4 million.
The company holds the No. 1 rank among its peers in the Media-Diversified industry group. Media companies Graham and Liberty Media Sr A are also among the group's highest-rated stocks.
When you're researching the best stocks to buy and watch, be sure to pay attention to relative price strength. IBD's unique rating identifies market leadership with a 1 (worst) to 99 (best) score. The score shows how a stock's price movement over the last 52 weeks holds up against all the other stocks in our database.
