TKO Group (NYSE:TKO) Stock Breaks Above 50-Day Moving Average – What’s Next?

Shares of TKO Group Holdings, Inc. (NYSE:TKO) crossed above its 50 day moving average during trading on Monday. The stock has a 50 day moving average of $182.63 and traded as high as $186.70. TKO Group shares last traded at $185.1210, with a volume of 1,065,169 shares.

Analyst Upgrades and Downgrades

Several research analysts have recently weighed in on the company. Susquehanna reduced their price objective on TKO Group from $235.00 to $224.00 and set a “positive” rating for the company in a research report on Friday, October 16th. Guggenheim cut their target price on TKO Group from $235.00 to $228.00 and set a “buy” rating on the stock in a research note on Tuesday, October 20th. Morgan Stanley upped their price target on TKO Group from $225.00 to $230.00 and gave the stock an “overweight” rating in a research report on Tuesday, August 4th. Roth Capital reaffirmed a “buy” rating and set a $230.00 price target (up from $228.00) on shares of TKO Group in a research report on Tuesday, August 4th. Finally, The Goldman Sachs Group decreased their price target on shares of TKO Group from $220.00 to $215.00 and set a “buy” rating for the company in a research note on Tuesday, October 27th. Fourteen investment analysts have rated the stock with a Buy rating and five have given a Hold rating to the stock. According to MarketBeat.com, the company has a consensus rating of “Moderate Buy” and an average target price of $228.65.

TKO Group Stock Up 2.5%

The firm has a fifty day moving average of $182.63 and a 200-day moving average of $193.43. The company has a quick ratio of 1.28, a current ratio of 1.28 and a debt-to-equity ratio of 0.58. The firm has a market cap of $35.04 billion, a P/E ratio of 64.95 and a beta of 0.67.

TKO Group (NYSE:TKO) last posted its quarterly earnings results on Monday, August 3rd. The company reported $1.34 earnings per share for the quarter, missing analysts’ consensus estimates of $1.41 by ($0.07). The company had revenue of $1.55 billion during the quarter, compared to the consensus estimate of $1.54 billion. TKO Group had a net margin of 4.33% and a return on equity of 2.67%. The firm’s revenue for the quarter was up 18.2% compared to the same quarter last year. During the same quarter in the prior year, the business earned $1.17 earnings per share. On average, equities research analysts anticipate that TKO Group Holdings, Inc. will post 4.43 earnings per share for the current year.

TKO Group Announces Dividend

The business also recently disclosed a quarterly dividend, which was paid on Wednesday, September 30th. Stockholders of record on Tuesday, September 15th were paid a dividend of $0.79 per share. The ex-dividend date was Tuesday, September 15th. This represents a $3.16 dividend on an annualized basis and a dividend yield of 1.7%. TKO Group’s dividend payout ratio is currently 110.88%.

Insider Buying and Selling

In related news, Director Nick Khan sold 9,189 shares of the business’s stock in a transaction on Thursday, October 15th. The shares were sold at an average price of $175.19, for a total transaction of $1,609,820.91. Following the transaction, the director directly owned 20,162 shares in the company, valued at approximately $3,532,180.78. The trade was a 31.31% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, insider Mark S. Shapiro sold 19,120 shares of the business’s stock in a transaction on Tuesday, August 18th. The stock was sold at an average price of $194.39, for a total transaction of $3,716,736.80. Following the transaction, the insider owned 147,071 shares in the company, valued at approximately $28,589,131.69. The trade was a 11.50% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The sale was made to cover tax withholding obligations related to the vesting of equity awards. In the last 90 days, insiders sold 97,325 shares of company stock worth $18,798,012. 64.30% of the stock is owned by corporate insiders.

Institutional Trading of TKO Group

Large investors have recently added to or reduced their stakes in the company. Public Employees Retirement System of Ohio bought a new position in shares of TKO Group in the 2nd quarter valued at about $9,698,000. Hsbc Holdings PLC raised its holdings in shares of TKO Group by 38.1% in the 4th quarter. Hsbc Holdings PLC now owns 105,333 shares of the company’s stock valued at $22,115,000 after purchasing an additional 29,076 shares during the period. Fortis Capital Management LLC bought a new stake in shares of TKO Group in the 1st quarter valued at about $6,023,000. Cat Rock Capital Management LP raised its holdings in shares of TKO Group by 10.7% in the 2nd quarter. Cat Rock Capital Management LP now owns 339,211 shares of the company’s stock valued at $68,287,000 after purchasing an additional 32,700 shares during the period. Finally, Wellington Management Group LLP lifted its stake in TKO Group by 1,125.0% in the 2nd quarter. Wellington Management Group LLP now owns 28,150 shares of the company’s stock valued at $5,667,000 after purchasing an additional 25,852 shares during the last quarter. Institutional investors and hedge funds own 89.79% of the company’s stock.

About TKO Group

TKO Group Holdings, Inc is a sports and entertainment company that owns and operates UFC and WWE, two global combat-sports and sports-entertainment brands. UFC promotes mixed martial arts events, while WWE produces live and televised professional wrestling programming featuring its roster of performers, storylines and branded events.

In addition to its core properties, TKO provides related media, licensing, sponsorship, live-event and consumer-products opportunities. The company’s businesses serve audiences internationally through live events, broadcast and streaming distribution, digital content, merchandise and other commercial partnerships.

TKO was formed in 2023 through the combination of UFC and WWE under Endeavor Group Holdings.