TKO Group (NYSE:TKO) Stock Rating Lowered by Zacks Research

TKO Group (NYSE:TKO) was downgraded by analysts at Zacks Research from a “strong-buy” rating to a “hold” rating in a research report issued to clients and investors on Tuesday,Zacks.com reports.

Several other analysts have also recently commented on the company. Arete Research upgraded TKO Group to a “hold” rating in a report on Wednesday, October 15th. Robert W. Baird boosted their price target on TKO Group from $225.00 to $250.00 and gave the company an “outperform” rating in a research note on Tuesday, September 16th. Sanford C. Bernstein boosted their price target on TKO Group from $190.00 to $230.00 and gave the company an “outperform” rating in a research note on Monday, October 6th. UBS Group upped their target price on TKO Group from $200.00 to $235.00 and gave the stock a “buy” rating in a research report on Wednesday, September 17th. Finally, Baird R W raised TKO Group to a “strong-buy” rating in a research report on Friday, September 5th. Two analysts have rated the stock with a Strong Buy rating, twelve have issued a Buy rating and six have issued a Hold rating to the stock. According to data from MarketBeat, TKO Group presently has an average rating of “Moderate Buy” and an average target price of $215.38.

TKO Group Stock Performance

NYSE:TKO opened at $187.33 on Tuesday. The stock has a market cap of $37.15 billion, a P/E ratio of 77.41 and a beta of 0.72. The company has a current ratio of 1.30, a quick ratio of 1.30 and a debt-to-equity ratio of 0.28. The stock’s 50-day moving average is $193.42 and its 200-day moving average is $177.49. TKO Group has a 1-year low of $115.12 and a 1-year high of $212.49.

TKO Group (NYSE:TKO) last released its quarterly earnings results on Wednesday, November 5th. The company reported $0.47 earnings per share for the quarter, missing the consensus estimate of $0.58 by ($0.11). The firm had revenue of $1.12 billion for the quarter, compared to the consensus estimate of $1.12 billion. TKO Group had a return on equity of 2.82% and a net margin of 5.40%.The business’s revenue for the quarter was down 27.3% on a year-over-year basis. During the same quarter last year, the firm posted $0.28 earnings per share. TKO Group has set its FY 2025 guidance at EPS. Equities research analysts anticipate that TKO Group will post 3.88 earnings per share for the current year.

TKO Group announced that its Board of Directors has authorized a stock repurchase program on Monday, September 15th that permits the company to repurchase $1.00 billion in shares. This repurchase authorization permits the company to reacquire up to 2.5% of its shares through open market purchases. Shares repurchase programs are often an indication that the company’s board believes its stock is undervalued.

Insider Activity

In other news, Director Peter C. B. Bynoe acquired 740 shares of the firm’s stock in a transaction that occurred on Tuesday, September 16th. The shares were bought at an average cost of $203.00 per share, with a total value of $150,220.00. Following the acquisition, the director owned 5,187 shares in the company, valued at approximately $1,052,961. This represents a 16.64% increase in their position. The acquisition was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. Also, Director Nick Khan sold 9,519 shares of TKO Group stock in a transaction that occurred on Monday, November 3rd. The stock was sold at an average price of $188.26, for a total value of $1,792,046.94. Following the completion of the transaction, the director directly owned 118,504 shares in the company, valued at $22,309,563.04. This trade represents a 7.44% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. In the last three months, insiders sold 28,557 shares of company stock valued at $5,449,723. 53.80% of the stock is currently owned by insiders.

Institutional Investors Weigh In On TKO Group

Several hedge funds have recently made changes to their positions in TKO. Vanguard Group Inc. boosted its position in shares of TKO Group by 19.4% during the first quarter. Vanguard Group Inc. now owns 7,976,904 shares of the company’s stock valued at $1,218,951,000 after purchasing an additional 1,295,817 shares in the last quarter. Invesco Ltd. raised its stake in TKO Group by 569.7% during the first quarter. Invesco Ltd. now owns 1,423,052 shares of the company’s stock valued at $217,457,000 after buying an additional 1,210,563 shares during the last quarter. Price T Rowe Associates Inc. MD raised its stake in TKO Group by 242.6% during the first quarter. Price T Rowe Associates Inc. MD now owns 1,496,462 shares of the company’s stock valued at $228,675,000 after buying an additional 1,059,636 shares during the last quarter. Norges Bank purchased a new position in TKO Group during the second quarter valued at $132,441,000. Finally, Ninety One UK Ltd raised its stake in TKO Group by 14.4% during the second quarter. Ninety One UK Ltd now owns 4,850,006 shares of the company’s stock valued at $882,459,000 after buying an additional 611,233 shares during the last quarter. 89.79% of the stock is currently owned by institutional investors.

TKO Group Company Profile

TKO Group Holdings, Inc operates as a sports and entertainment company. The company produces and licenses live events, television programs, and long-form and short-form content, reality series, and other filmed entertainment on digital and linear channels and via pay-per-view. It is involved in the merchandising of video games, apparel, equipment, trading cards, memorabilia, digital goods, and toys, as well as sale of travel packages and tickets.