Financial columnist advises his readers to "throw away" WWE stock, cites UFC/MMA popularity as one factor

Motley Fool financial columnist Rick Munarriz gave the WWE stock a big thumbs down in his latest "Throw This Stock Away" column after comparing the company's financial numbers from the first half of 2008 to the first half of 2009. "Revenue actually fell by 16 percent," he wrote. "Operating profits improved by 15 percent because of commendable cost-cutting, but you can slash overhead only so far if your format's popularity has peaked.

"Wrestling fans are moving on. The grittier -- and more realistic -- mixed-martial-arts leagues are taking over. You see it in the dwindling number of fans buying in to the annual WrestleMania event." To read the full column, visit MotleyFool.com.

Powell's POV: Ouch. Munarriz also pointed out that the company is paying out more in dividends than it's earning. Obviously, MMA is a factor even if WWE is catering to children. There are many people who enjoy both and some who enjoy only one or the other, but WWE should be frightened by the fact that so many teens feel that UFC and MMA is much cooler than the WWE product.