WWE Stock Value Drops Following New Vince McMahon Allegations, Return Report
WWE had a rough day on Wall Street following news of Vince McMahon's latest allegations breaking.
Yesterday's news that Vince McMahon wants to return to WWE despite two new legal cases stemming from alleged sexual assaults had a detrimental impact on the company's stock value.
Wall Street reacted negatively to the new report, with WWE stock dropping to $73.73 by the time trading closed on Tuesday. It had opened at $76.01.
Given that WWE stock increased in the wake of McMahon's 22 July resignation, it stands to reason that news of a potential comeback would have a detrimental impact. Clearly, investors have reacted negatively to the prospect of Vince, who has been accused of sexual misconduct by multiple women, stepping back into the company.
The Wall Street Journal broke the news that McMahon feels he received poor advice to resign in July, believing the allegations would have blown over had he stayed in power. The 77-year-old currently faces new legal challenges from former WWE referee Rita Chatterton, who has accused McMahon of raping her in 1986 (allegations Vince has always denied), and a former spa manager who claims she was sexually assaulted by Vince in 2011.
WWE's backstage reaction to a potential return has been universally negative. Despite this - and despite his resignation as Chairman and CEO - the disgraced billionaire retains over 80% voting power in WWE.