BofA notes that a company formed by Saudi Arabia’s sovereign wealth fund acquired a minority stake in the Professional Fighters League, or PFL, earlier this week. Shares of WWE (WWE), which are a proxy for TKO (TKO), and those of Endeavor Group (EDR) have both significantly underperformed over the past two days as a result of the Saudi investment in the competitor to UFC, added the analyst. While this introduces a new overhang for both Endeavor and the product of the UFC/WWE merger, the firm says it continues to view Endeavor as “a collection of highly compelling assets that each, individually, have exposure to favorable secular tailwinds” and it keeps a Buy rating and $32 price target on the shares.
Confident Investing Starts Here:
- Easily unpack a company's performance with TipRanks' new KPI Data for smart investment decisions
- Receive undervalued, market resilient stocks right to your inbox with TipRanks' Smart Value Newsletter
Published first on TheFly – the ultimate source for real-time, market-moving breaking financial news. Try Now>>
See Insiders’ Hot Stocks on TipRanks >>
Read More on EDR:
- Guggenheim says Saudi Arabia investment not ‘game changer’ for UFC
- Saudi Arabia investment new overhang on WWE shares, says Wolfe Research
- Elliott buys Seadrill, exits PayPal in Q2
- Endeavor Group price target raised to $35 from $33 at Deutsche Bank
- Endeavor Group reports Q2 EPS $1.29, consensus 30c
Looking for a trading platform? Check out TipRanks' Best Online Brokers , and find the ideal broker for your trades.
Report an Issue