TKO Group (NYSE:TKO) Sets New 1-Year Low – Should You Sell?

TKO Group Holdings, Inc. (NYSE:TKO) shares reached a new 52-week low on Wednesday. The company traded as low as $174.58 and last traded at $175.82, with a volume of 45183 shares. The stock had previously closed at $177.58.

Wall Street Analyst Weigh In

TKO has been the topic of a number of recent research reports. Guggenheim boosted their price objective on TKO Group from $230.00 to $235.00 and gave the stock a “buy” rating in a research note on Wednesday, August 5th. Morgan Stanley raised their target price on TKO Group from $225.00 to $230.00 and gave the stock an “overweight” rating in a research note on Tuesday, August 4th. Weiss Ratings reiterated a “hold (c+)” rating on shares of TKO Group in a report on Tuesday, August 4th. Roth Capital reissued a “buy” rating and set a $230.00 price target on shares of TKO Group in a research report on Tuesday, August 4th. Finally, BTIG Research reissued a “buy” rating and issued a $237.00 price objective on shares of TKO Group in a report on Tuesday, August 4th. Ten investment analysts have rated the stock with a Buy rating and six have given a Hold rating to the stock. Based on data from MarketBeat.com, the company has a consensus rating of “Moderate Buy” and a consensus price target of $237.50.

TKO Group Stock Up 0.9%

The business has a 50 day simple moving average of $188.54 and a 200 day simple moving average of $192.37. The company has a market capitalization of $33.93 billion, a price-to-earnings ratio of 62.92 and a beta of 0.62. The company has a debt-to-equity ratio of 0.58, a current ratio of 1.28 and a quick ratio of 1.28.

TKO Group (NYSE:TKO) last posted its quarterly earnings data on Monday, August 3rd. The company reported $1.34 earnings per share (EPS) for the quarter, missing the consensus estimate of $1.41 by ($0.07). TKO Group had a net margin of 4.33% and a return on equity of 2.67%. The firm had revenue of $1.55 billion during the quarter, compared to analysts’ expectations of $1.54 billion. During the same quarter in the prior year, the firm posted $1.17 EPS. TKO Group’s quarterly revenue was up 18.2% compared to the same quarter last year. As a group, equities analysts predict that TKO Group Holdings, Inc. will post 5.18 earnings per share for the current fiscal year.

TKO Group Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Wednesday, September 30th. Stockholders of record on Tuesday, September 15th will be given a dividend of $0.79 per share. This represents a $3.16 annualized dividend and a dividend yield of 1.8%. The ex-dividend date of this dividend is Tuesday, September 15th. TKO Group’s dividend payout ratio is currently 110.88%.

Insider Buying and Selling at TKO Group

In other TKO Group news, insider Mark S. Shapiro sold 19,120 shares of the stock in a transaction that occurred on Tuesday, August 18th. The shares were sold at an average price of $194.39, for a total transaction of $3,716,736.80. Following the sale, the insider directly owned 147,071 shares in the company, valued at $28,589,131.69. This represents a 11.50% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this link. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, Director Nick Khan sold 12,998 shares of the firm’s stock in a transaction that occurred on Tuesday, July 21st. The shares were sold at an average price of $181.11, for a total transaction of $2,354,067.78. Following the completion of the transaction, the director directly owned 48,933 shares of the company’s stock, valued at $8,862,255.63. This represents a 20.99% decrease in their position. 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 three months, insiders sold 120,404 shares of company stock worth $23,073,938. 64.30% of the stock is owned by company insiders.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently bought and sold shares of the stock. QRG Capital Management Inc. grew its stake in TKO Group by 5.8% during the 2nd quarter. QRG Capital Management Inc. now owns 2,812 shares of the company’s stock worth $566,000 after purchasing an additional 155 shares in the last quarter. Sequoia Financial Advisors LLC raised its position in TKO Group by 26.7% in the 2nd quarter. Sequoia Financial Advisors LLC now owns 2,797 shares of the company’s stock valued at $563,000 after purchasing an additional 590 shares in the last quarter. Integrated Wealth Concepts LLC raised its position in TKO Group by 19.5% in the 2nd quarter. Integrated Wealth Concepts LLC now owns 1,983 shares of the company’s stock valued at $399,000 after purchasing an additional 324 shares in the last quarter. NewEdge Advisors LLC boosted its stake in shares of TKO Group by 12.5% in the 2nd quarter. NewEdge Advisors LLC now owns 2,390 shares of the company’s stock valued at $481,000 after buying an additional 265 shares during the period. Finally, IFP Advisors Inc boosted its stake in shares of TKO Group by 1.9% in the 2nd quarter. IFP Advisors Inc now owns 8,699 shares of the company’s stock valued at $1,751,000 after buying an additional 163 shares during the period. 89.79% of the stock is currently owned by hedge funds and other institutional investors.

TKO Group Company Profile

TKO Group Holdings, Inc is a sports and entertainment company that owns and operates Ultimate Fighting Championship (UFC) and World Wrestling Entertainment (WWE). The company was formed in 2023 through the combination of UFC and WWE under Endeavor Group Holdings, creating a platform focused on live sports and entertainment properties.

UFC organizes and promotes mixed martial arts events, distributes related media content, and manages sponsorship, licensing, and consumer products. WWE produces professional wrestling programming and live events, including its flagship brands and premium events, while also generating revenue through media rights, sponsorships, licensing, merchandise, and digital content.

TKO serves audiences and commercial partners internationally through televised and streaming programming, live events, and licensed products.