TKO, Netflix Stock Both See Significant Spikes Following Announcement Of WWE Raw Deal

Following the announcement of Netflix and WWE's broadcast deal for "WWE Raw," the share prices of both Netflix and TKO, WWE and UFC's parent company, grew significantly.

TKO's stock price rose by 15% to end the day at $89.63 on Tuesday, and the price increased to $92.00 in the after-hours trading. Netflix's stock price saw even higher gains on the back of the $5 billion deal with WWE, with the streaming company's stock price closing at $492.19, and rising to $534.80 in the after-hours trading. Netflix is set to surpass its 52-week high of $503.41 when markets open on Wednesday.

TKO made several announcements on Tuesday, apart from the 10-year broadcast deal with Netflix for a whopping $5 billion. WWE legend Dwayne "The Rock" Johnson was added to the Board of Directors of TKO, which was set up last year following Endeavor's acquisition of WWE. It was also announced that Johnson would get full ownership of the trademark of "The Rock" name. After the announcement, The Rock once again teased a potential match with the WWE Undisputed Universal Champion Roman Reigns, at WrestleMania.

"Raw's" move to Netflix will take place in January 2025, but the red brand will have to find a temporary home later this year as WWE's deal with USA Network expires in October. WWE President Nick Khan also stated that there's a possibility that "Raw" could move away from Monday nights, due to them vying with several other sports for eyeballs. "WWE SmackDown," meanwhile, is set to return to USA Network later this year, following the expiry of the blue brand's deal with Fox.