Longtime WWE board member Frank Riddick will become the company’s interim chief financial officer. WWE said that it is now looking for a permanent CFO as well as a new chief revenue officer.
Making matters worse, WWE also announced that its operating profit for 2019 would be lower than expected.
But WWE has been struggling for the past few months. Shares are down more than 40% in the past year.
“Television ratings have crumbled, while engagement metrics across the company’s other business units have followed linear TV ratings down. Fans have continuously complained about the quality of the company’s content,” said LightShed Partners analyst Brandon Ross in a report Friday.
Fans aren’t the only ones getting antsy. Analysts at Morgan Stanley, Evercore ISI and Loop Capital on Friday all lowered their price targets and ratings on WWE in light of the WWE shakeup.
WrestleMania, the company’s signature live event, is just two months away. McMahon needs to figure out a plan to get fans excited again or the stock price may remain pinned to the mat. The clock is ticking.
“Content needs to improve at WWE if the company is going to be investable,” Ross said in his report. ” And no matter who comes in to take the place of the former presidents, the burden of improving the content sits squarely on Vince, who has held tight control over the creative at WWE for decades.”