Highland Capital Management LLC Reduces Holdings in TKO Group Holdings, Inc. $TKO

Highland Capital Management LLC reduced its position in TKO Group Holdings, Inc. (NYSE:TKO) by 27.0% in the 3rd quarter, according to the company in its most recent 13F filing with the SEC. The fund owned 27,640 shares of the company’s stock after selling 10,237 shares during the quarter. Highland Capital Management LLC’s holdings in TKO Group were worth $5,582,000 at the end of the most recent reporting period.

A number of other hedge funds and other institutional investors also recently added to or reduced their stakes in the company. CWM LLC boosted its stake in TKO Group by 7.3% during the 3rd quarter. CWM LLC now owns 796 shares of the company’s stock worth $161,000 after purchasing an additional 54 shares during the last quarter. Pacer Advisors Inc. boosted its position in TKO Group by 2.7% during the third quarter. Pacer Advisors Inc. now owns 5,551 shares of the company’s stock worth $1,121,000 after acquiring an additional 146 shares during the last quarter. World Investment Advisors acquired a new position in TKO Group during the third quarter worth about $207,000. Founders Financial Securities LLC purchased a new stake in TKO Group during the 3rd quarter valued at about $205,000. Finally, Global X Japan Co. Ltd. raised its holdings in TKO Group by 5,328.6% in the 3rd quarter. Global X Japan Co. Ltd. now owns 380 shares of the company’s stock valued at $77,000 after acquiring an additional 373 shares during the last quarter. Hedge funds and other institutional investors own 89.79% of the company’s stock.

Analyst Upgrades and Downgrades

Several equities research analysts recently commented on TKO shares. Arete Research raised TKO Group to a “hold” rating in a report on Wednesday, October 15th. Guggenheim raised their target price on TKO Group from $205.00 to $225.00 and gave the stock a “buy” rating in a research note on Friday, October 3rd. Susquehanna lifted their price target on TKO Group from $229.00 to $230.00 and gave the stock a “positive” rating in a report on Wednesday, December 10th. Zacks Research lowered shares of TKO Group from a “strong-buy” rating to a “hold” rating in a report on Tuesday, November 4th. Finally, Sanford C. Bernstein raised their price objective on shares of TKO Group from $190.00 to $230.00 and gave the stock an “outperform” rating in a research report on Monday, October 6th. Two equities research analysts have rated the stock with a Strong Buy rating, fifteen have assigned a Buy rating and six have assigned a Hold rating to the company’s stock. According to data from MarketBeat, the company currently has a consensus rating of “Moderate Buy” and a consensus price target of $225.00.

Insider Activity at TKO Group

In other news, Director Nick Khan sold 9,519 shares of TKO Group stock in a transaction on Wednesday, December 3rd. The stock was sold at an average price of $195.16, for a total value of $1,857,728.04. Following the completion of the sale, the director directly owned 108,985 shares of the company’s stock, valued at approximately $21,269,512.60. The trade was a 8.03% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which can be accessed through this hyperlink. Also, CFO Shane Kapral sold 254 shares of the business’s stock in a transaction on Monday, December 15th. The shares were sold at an average price of $206.44, for a total value of $52,435.76. Following the completion of the sale, the chief financial officer owned 1,266 shares in the company, valued at $261,353.04. This represents a 16.71% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold a total of 29,827 shares of company stock valued at $5,777,565 in the last quarter. 61.30% of the stock is owned by insiders.

TKO Group Stock Performance

NYSE TKO opened at $217.33 on Friday. The stock has a fifty day simple moving average of $193.52 and a 200-day simple moving average of $186.12. The company has a current ratio of 1.46, a quick ratio of 1.46 and a debt-to-equity ratio of 0.42. The stock has a market cap of $42.40 billion, a PE ratio of 83.27 and a beta of 0.65. TKO Group Holdings, Inc. has a twelve month low of $133.07 and a twelve month high of $218.11.

TKO Group (NYSE:TKO) last issued its quarterly earnings data on Wednesday, November 5th. The company reported $0.47 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.58 by ($0.11). The company had revenue of $1.12 billion during the quarter, compared to analysts’ expectations of $1.12 billion. TKO Group had a net margin of 5.27% and a return on equity of 2.57%. The firm’s quarterly revenue was down 27.3% on a year-over-year basis. During the same quarter last year, the firm posted $0.28 earnings per share. Equities analysts anticipate that TKO Group Holdings, Inc. will post 3.88 earnings per share for the current year.

TKO Group Increases Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Tuesday, December 30th. Investors of record on Monday, December 15th will be given a dividend of $0.78 per share. This represents a $3.12 dividend on an annualized basis and a dividend yield of 1.4%. The ex-dividend date of this dividend is Monday, December 15th. This is an increase from TKO Group’s previous quarterly dividend of $0.76. TKO Group’s dividend payout ratio is 119.54%.

TKO Group announced that its Board of Directors has initiated a share buyback program on Monday, September 15th that allows the company to buyback $1.00 billion in outstanding shares. This buyback authorization allows the company to repurchase up to 2.5% of its stock through open market purchases. Stock buyback programs are usually a sign that the company’s board of directors believes its shares are undervalued.

TKO Group Profile

TKO Group Holdings (NYSE: TKO) is a global sports and entertainment company formed in 2023 through the combination of two major combat-sports businesses. The company brings together the mixed martial arts organization UFC and the sports entertainment business WWE under a single publicly traded holding company. TKO owns and manages a portfolio of live-event franchises, intellectual property, and media rights centered on combat and sports-entertainment content.

TKO’s core activities include the promotion and production of live events, the licensing and sale of broadcasting and streaming rights, and the development and commercialization of branded consumer products.