- - Hulk Hogan leaves behind a thriving business at WWE: Opening Bid top takeaway

Brian SozziJuly 25, 2025 at 10:52 PM

It has been an attention-grabbing week for investors. Tesla (TSLA) had a far from electric quarter, while Alphabet (GOOG, GOOGL) bested expectations with impressive earnings numbers. And naturally, we had a fresh dose of Trump and Powell drama — playing out on live TV at a Federal Reserve construction site.

Now, attention will shift to a big week coming up.

Next week, we'll get earnings from tech heavyweights Microsoft (MSFT) and Amazon (AMZN). And Fed Chair Jerome Powell will be front and center with a decision on interest rates — one that probably won't do much to appease the president.

Lots on the docket and so little time to digest it all!

While yours truly always loves a good recession or S&P 500 (^GSPC) call from a pundit, it was the dot connecting we did on TKO Group (TKO) for Opening Bid that warrants a zoom in.

Zoom in: Hulk Hogan leaves behind a thriving business at WWE

Wrestling has lost its Babe Ruth, and the country has lost a sports icon.

Hulk Hogan died from cardiac arrest on Thursday at the age of 71. Hogan is being remembered for putting wrestling on the global mainstream stage in the 1980s with his fiery promos, overflowing charisma, and bulging physique. Simply put, before today's mainstream stars like John Cena, The Rock, and Roman Reigns, there was the Hulkster, brother.

Whatever I say here won't be anywhere close to enough in explaining what Hogan meant to many. That would include this '80s kid who used to watch his matches late on Saturday night with his dad.

But what the shocking news has done is remind everyone of the impressive WWE business Hogan helped build.

WWE merged with UFC in September 2023 to create the TKO Group, led by power agent and CEO Ari Emanuel.

Then, last fall, WWE landed a lucrative 10-year, $5 billion contract to exclusively stream its flagship "Raw" show on Netflix (NFLX). That deal began in January. Meanwhile, WWE's bread-and-butter live events business continues to hum as fresh storylines and stars cultivate the next generation of viewers.

Couple that with TKO streamlining the WWE operations, and you get the results achieved in the most recent quarter. WWE sales and operating profits rose 23% and 38%, respectively. All areas of WWE's top line increased in the quarter.

"He was important decades ago to establish the brand and its universal recognition," Jefferies analyst Randy Konik told me.

"But The Rock and others more recently have been more important to get the brand to where it is today," he said. "I also think Netflix deal actually took the brand into a higher gear as well given the global audience and ability to go back and view versus just watch live in a linear setting."

Konik has a Buy rating on TKO Group shares. The Street is broadly bullish on the stock as well. Yahoo Finance data shows 15 of 19 analysts who cover the TKO Group rate the stock a Buy or Strong Buy. Shares are up 57% in the past year.

Next up for WWE is a potential new deal for the WWE Network in 2026 and further international expansion. The company will report earnings on August 5.

More coverage of Hogan's passing can be found on Yahoo Sports.

Join top investors and newsmakers at Yahoo Finance Invest on November 12–13 in NYC as they discuss the agenda for success in 2026. Register to attend today.

Brian Sozzi is Yahoo Finance's Executive Editor and a member of Yahoo Finance's editorial leadership team. Follow Sozzi on X @BrianSozzi, Instagram, and LinkedIn. Tips on stories? Email [email protected].

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