TKO Group (NYSE:TKO) Issues Quarterly Earnings Results

TKO Group (NYSE:TKO) posted its quarterly earnings data on Wednesday. The company reported $1.33 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $1.20 by $0.13, FiscalAI reports. The firm had revenue of $1.36 billion during the quarter, compared to analysts’ expectations of $1.38 billion. TKO Group had a return on equity of 2.67% and a net margin of 4.33%. The company’s revenue for the quarter was up 21.4% compared to the same quarter last year. During the same period in the prior year, the business earned $0.47 EPS.

Here are the key takeaways from TKO Group’s conference call:

• TKO reported third-quarter revenue of $1.36 billion, up 21%, and adjusted EBITDA of $556 million, up 54%. Management raised full-year 2026 guidance for the second consecutive quarter, to revenue of $5.79 billion–$5.83 billion and adjusted EBITDA of $2.295 billion–$2.315 billion.
• UFC delivered strong event and commercial results: live-events revenue rose 83%, and UFC 329 set a company record with a $26 million gate. WWE partnerships revenue grew 28% despite a lighter PLE calendar, while Raw continued to reach Netflix’s global top 10.
• On Location’s 2026 FIFA World Cup hospitality program generated $2.4 billion in sales and about $90 million of full-year adjusted EBITDA, exceeding the company’s estimate. Management said it is tracking ahead of plan for LA28, while emphasizing it will pursue future Olympic deals only if returns meet its investment thresholds.
• The outlook depends on scheduled Middle East events proceeding as planned; management said cancellations or relocations would affect current guidance. Looking ahead, management also noted that 2027 will lack the World Cup and other quadrennial-event contributions, while spending ramps for LA28.
• TKO intends to use cash on hand and new debt to aggressively repurchase shares under its remaining authorization. The company ended the quarter with net leverage of 2.0 times and said it returned more than $1.6 billion to shareholders year to date through dividends and buybacks.

TKO Group Trading Down 2.1%

Shares of NYSE TKO traded down $4.09 during midday trading on Thursday, reaching $189.38. The company had a trading volume of 1,783,541 shares, compared to its average volume of 1,219,291. TKO Group has a one year low of $170.14 and a one year high of $226.94. 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’s fifty day moving average price is $182.51 and its 200-day moving average price is $193.25. The stock has a market cap of $35.84 billion, a PE ratio of 66.46 and a beta of 0.66.

TKO Group Dividend Announcement

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

Key Headlines Impacting TKO Group

Here are the key news stories impacting TKO Group this week:

• Positive Sentiment: Third-quarter adjusted results topped expectations: earnings were $1.33 per share versus $1.20 expected, while revenue rose 21.4% year over year to $1.36 billion. TKO also raised its full-year guidance. TKO Reports Third Quarter 2026 Results
• Positive Sentiment: UFC was the main growth engine: revenue surged 60% year over year, reaching $519.2 million. That strength helped TKO beat Wall Street’s earnings forecast. Killer Q3 For UFC Helps TKO Beat Wall Street Earnings Forecasts
• Positive Sentiment: Susquehanna trimmed its price target slightly, from $224 to $223, but maintained a positive rating, implying about 18.5% upside from the cited share price. Susquehanna stock recommendations
• Neutral Sentiment: TKO’s president said the company expects WWE and UFC events in the Middle East, including WrestleMania 43 in Saudi Arabia, to proceed as planned; he noted that half of the event payment has already been received. Geopolitical developments remain a risk to execution. TKO expects Middle East events to proceed
• Negative Sentiment: Revenue of $1.36 billion fell short of the $1.38 billion consensus, with a slowdown at WWE offsetting some of UFC’s gains. The modest top-line miss may temper the impact of the earnings beat. TKO Q3 earnings coverage

Analyst Ratings Changes

A number of equities analysts recently weighed in on TKO shares. BTIG Research reissued a “buy” rating and set a $237.00 price objective on shares of TKO Group in a report on Wednesday, October 21st. Citigroup reaffirmed a “market outperform” rating on shares of TKO Group in a research note on Tuesday, October 27th. Weiss Ratings reiterated a “hold (c+)” rating on shares of TKO Group in a research report on Monday. Rothschild & Co Redburn lifted their price target on shares of TKO Group from $220.00 to $225.00 in a research note on Wednesday, August 5th. Finally, JPMorgan Chase & Co. lowered their price objective on shares of TKO Group from $225.00 to $222.00 and set an “overweight” rating for the company in a report on Tuesday, July 21st. Fourteen investment analysts have rated the stock with a Buy rating and five have given a Hold rating to the company. Based on data from MarketBeat.com, TKO Group presently has an average rating of “Moderate Buy” and an average price target of $229.29.

Insider Buying and Selling

In other TKO Group news, CFO Andrew M. Schleimer sold 9,942 shares of the business’s stock in a transaction that occurred on Tuesday, August 18th. The stock was sold at an average price of $194.39, for a total value of $1,932,625.38. Following the completion of the sale, the chief financial officer owned 38,051 shares in the company, valued at approximately $7,396,733.89. The trade was a 20.72% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, Director Nick Khan sold 9,189 shares of the stock in a transaction that occurred on Thursday, October 15th. The shares were sold at an average price of $175.19, for a total value of $1,609,820.91. Following the sale, the director directly owned 20,162 shares of the company’s stock, valued at approximately $3,532,180.78. This trade represents a 31.31% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Over the last quarter, insiders have sold 97,325 shares of company stock valued at $18,798,012. 64.30% of the stock is owned by insiders.

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.