What Makes World Wrestling Entertainment an Attractive Investment?

Baron Funds, an investment management company, released its “Baron Opportunity Fund” second quarter 2023 investor letter. A copy of the same can be downloaded here. In the second quarter, the fund increased by 16.31% (Institutional Shares) outperform in the under market including the Russell 3000 growth index and the S&P 500 index, which gained 12.47% and 8.74% respectively. The fund was up 37.21% year to date and 27.86% for the trailing 12 months, respectively, outperforming both indices. In addition, please check the fund’s top five holdings to know its best picks in 2023.

Baron Opportunity Fund highlighted stocks like World Wrestling Entertainment Inc. (NYSE: WWE) in the second quarter 2023 investor letter. Headquarter in Stamford Connecticut, World Wrestling Entertainment, Inc (NYSE:WWE) is a media and entertainment company. On August 21, 2023, World Wrestling Entertainment, Inc. (NYSE:WWE) stock closed at $113.88 per share. One-Month return of World Wrestling Entertainment, Inc. (NYSE:WWE) was 7.42% and its shares gained 65.43% of their value over the last 52 weeks. World Wrestling Entertainment, Inc. (NYSE:WWE) has a market capitalization of $9.47 billion.

Baron Opportunity Fund made the following comment about World Wrestling Entertainment, Inc. (NYSE:WWE) in its second quarter 2023 investor letter.

“During the quarter, our largest purchase was World Wrestling Entertainment, Inc. (NYSE:WWE) and our largest sale was Endeavor Group Holdings, Inc. We swapped one for the other upon the two companies’ announcements that they plan to merge Endeavor’s Ultimate Fighting Championship (UFC) asset with the WWE in a new publicly traded vehicle, with Endeavor maintaining majority control of the combined business. We’ve been shareholders in Endeavor since its IPO in April 2021 and have been studying the business since 2019. We think the company has an interesting collection of premium, hard-to-value assets, but the principal driver of our interest was its ownership of the UFC, the largest and most prestigious promoter of global combat sports”.

We discussed World Wrestling Entertainment, Inc. (NYSE:WWE) in another article and shared Merion Road Capital’s views on the company. In addition, please check out our hedge fund investor letters Q2 2023 page for the investor letters from hedge funds and other leading investors.