Phases of COVID-19 crisis:
Early- to mid-March 2020:
Fear of the coronavirus outbreak spreading rapidly translates into
reality, with number of cases accelerating globallyLate-March 2020 onward:
Social distancing measures + lockdownsApril 2020:
Fed stimulus suppresses near-term survival anxietyMay/June 2020:
Recovery of demand, with gradual lifting of lockdowns - no panic anymore with cases within manageable capacity of hospitals and care providersJuly 2020:
Poor Q2 results, but continued
improvement in demand and
gradual increase in cases buoys expectations
Keeping in mind the fact that WWE stock fell 19% from the market peak on February 19 to the low on March 23 compared to the 30% decline during the 2008 recession, we believe it can potentially recover by 40% to around $62 once economic conditions begin to show signs of improving. This marks a recovery close to the $65 level WWE stock was at before the coronavirus outbreak gained global momentum.