TKO Group Holdings, Inc. $TKO Stock: CenterBook Partners LP Boosts Stake

CenterBook Partners LP grew its stake in shares of TKO Group Holdings, Inc. (NYSE:TKO) by 235.8% during the 3rd quarter, according to its most recent 13F filing with the Securities & Exchange Commission. The fund owned 111,589 shares of the company’s stock after purchasing an additional 78,359 shares during the quarter. TKO Group comprises about 0.9% of CenterBook Partners LP’s portfolio, making the stock its 12th biggest holding. CenterBook Partners LP’s holdings in TKO Group were worth $20,055,000 as of its most recent filing with the Securities & Exchange Commission.

A number of other institutional investors and hedge funds also recently made changes to their positions in the stock. Heritage Family Offices LLP acquired a new position in TKO Group during the third quarter worth $44,000. Argonautica Private Wealth Management Inc. raised its position in TKO Group by 12.2% during the third quarter. Argonautica Private Wealth Management Inc. now owns 2,944 shares of the company’s stock worth $529,000 after acquiring an additional 320 shares in the last quarter. Inscription Capital LLC acquired a new stake in TKO Group in the third quarter valued at $226,000. Commonwealth Equity Services LLC lifted its stake in TKO Group by 213.3% in the third quarter. Commonwealth Equity Services LLC now owns 23,688 shares of the company’s stock valued at $4,257,000 after acquiring an additional 16,126 shares during the last quarter. Finally, Jmac Enterprises LLC bought a new position in shares of TKO Group in the 3rd quarter valued at about $701,000. Institutional investors own 89.79% of the company’s stock.

Analyst Ratings Changes

TKO has been the topic of several recent analyst reports. Seaport Research Partners restated a “buy” rating on shares of TKO Group in a research note on Friday, October 9th. Citigroup reiterated a “market outperform” rating on shares of TKO Group in a research note on Tuesday, October 27th. Benchmark reiterated a “hold” rating on shares of TKO Group in a report on Tuesday, August 4th. The Goldman Sachs Group lowered their price target on TKO Group from $220.00 to $215.00 and set a “buy” rating on the stock in a research report on Tuesday, October 27th. Finally, Susquehanna dropped their price objective on TKO Group from $224.00 to $223.00 and set a “positive” rating on the stock in a research note on Thursday. Fourteen investment analysts have rated the stock with a Buy rating and five have given a Hold rating to the stock. According to MarketBeat, the stock presently has a consensus rating of “Moderate Buy” and an average price target of $229.29.

TKO Group Stock Performance

TKO Group stock traded up $1.06 during mid-day trading on Friday, hitting $190.20. 1,670,246 shares of the company’s stock traded hands, compared to its average volume of 920,042. The company has a debt-to-equity ratio of 0.58, a current ratio of 1.28 and a quick ratio of 1.28. The firm has a 50 day simple moving average of $182.63 and a two-hundred day simple moving average of $193.10. TKO Group Holdings, Inc. has a fifty-two week low of $170.14 and a fifty-two week high of $226.94. The stock has a market cap of $36.00 billion, a price-to-earnings ratio of 51.27 and a beta of 0.66.

TKO Group (NYSE:TKO) last released its quarterly earnings data on Wednesday, November 4th. The company reported $1.33 EPS for the quarter, beating the consensus estimate of $1.20 by $0.13. The firm had revenue of $1.36 billion for the quarter, compared to the consensus estimate of $1.38 billion. TKO Group had a net margin of 4.33% and a return on equity of 2.67%. The company’s quarterly revenue was up 21.4% on a year-over-year basis. During the same period in the previous year, the company earned $0.47 earnings per share. On average, research analysts expect that TKO Group Holdings, Inc. will post 4.51 EPS for the current fiscal year.

TKO Group Announces Dividend

The business also recently announced a quarterly dividend, which was paid on Wednesday, September 30th. Investors of record on Tuesday, September 15th were issued a dividend of $0.79 per share. The ex-dividend date of this dividend was Tuesday, September 15th. This represents a $3.16 annualized dividend and a dividend yield of 1.7%. TKO Group’s payout ratio is presently 85.18%.

Insider Activity at TKO Group

In related news, insider Mark Shapiro sold 19,120 shares of the company’s stock in a transaction dated Tuesday, August 18th. The shares were sold at an average price of $194.39, for a total value of $3,716,736.80. Following the transaction, the insider owned 147,071 shares in the company, valued at approximately $28,589,131.69. This represents a 11.50% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, CFO Andrew Schleimer sold 9,942 shares of the stock in a transaction dated Tuesday, August 18th. The shares were sold at an average price of $194.39, for a total transaction of $1,932,625.38. Following the completion of the transaction, the chief financial officer directly owned 38,051 shares in the company, valued at approximately $7,396,733.89. This represents a 20.72% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Over the last 90 days, insiders sold 97,325 shares of company stock worth $18,798,012. 64.30% of the stock is currently owned by corporate insiders.

TKO Group News Roundup

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

• Positive Sentiment: TKO reported third-quarter adjusted earnings of $1.33 per share, above the $1.20 consensus estimate, while revenue rose 21.4% year over year. The company also increased its projections, supporting the growth outlook. TKO reports over $1.3 billion in Q3 revenue
• Positive Sentiment: Management is discussing ways to expand distribution beyond Paramount+, with HBO mentioned as a possible outlet for UFC content. Additional platforms could broaden audience reach and create new media revenue opportunities, though no deal was announced. TKO discusses expanding distribution
• Positive Sentiment: Susquehanna lowered its price target slightly, from $224 to $223, but retained a positive rating, signaling continued analyst confidence in potential upside. Susquehanna price-target update
• Neutral Sentiment: TKO says WWE and UFC events in the Middle East, including WWE’s Saudi Arabia event, remain planned despite the Iran war. The events could support revenue if they proceed, but regional uncertainty creates execution risk. TKO executive on WWE Crown Jewel in Saudi Arabia
• Negative Sentiment: Third-quarter revenue of $1.36 billion fell short of the $1.38 billion analyst estimate, and reports noted a dip in WWE revenue. These results temper the strong earnings-per-share and year-over-year growth figures. TKO Q3 results and WWE revenue
• Negative Sentiment: TKO priced a $1 billion offering of 6.5% senior secured notes due 2031. The financing provides capital but adds debt and interest costs. TKO announces senior secured notes offering

About TKO Group

TKO Group Holdings, Inc is a global sports and entertainment company whose principal properties are UFC, the mixed martial arts organization, and WWE, the professional wrestling and sports entertainment company. TKO was formed in 2023 when Endeavor combined UFC and WWE under a single publicly traded company.

The company generates business through live events and ticket sales, media and streaming rights, sponsorships, licensing, and consumer products. UFC and WWE produce programming and events for audiences worldwide, alongside related digital content and merchandise.

TKO serves markets around the world through its events, broadcast and streaming partnerships, and commercial activities.