Exchange Traded Concepts LLC Decreases Stake in TKO Group Holdings, Inc. $TKO

Exchange Traded Concepts LLC reduced its holdings in shares of TKO Group Holdings, Inc. (NYSE:TKO) by 74.1% during the third quarter, HoldingsChannel reports. The firm owned 2,045 shares of the company’s stock after selling 5,851 shares during the period. Exchange Traded Concepts LLC’s holdings in TKO Group were worth $413,000 as of its most recent filing with the Securities and Exchange Commission (SEC).

Other institutional investors also recently modified their holdings of the company. Somerset Trust Co raised its position in TKO Group by 2.5% in the 3rd quarter. Somerset Trust Co now owns 2,155 shares of the company’s stock worth $435,000 after buying an additional 53 shares during the last quarter. Howe & Rusling Inc. grew its stake in shares of TKO Group by 4.7% in the second quarter. Howe & Rusling Inc. now owns 1,603 shares of the company’s stock worth $292,000 after acquiring an additional 72 shares during the period. Geneos Wealth Management Inc. raised its holdings in shares of TKO Group by 14.1% during the second quarter. Geneos Wealth Management Inc. now owns 582 shares of the company’s stock valued at $106,000 after purchasing an additional 72 shares during the last quarter. CreativeOne Wealth LLC raised its holdings in shares of TKO Group by 3.0% during the second quarter. CreativeOne Wealth LLC now owns 2,503 shares of the company’s stock valued at $455,000 after purchasing an additional 73 shares during the last quarter. Finally, Retirement Systems of Alabama lifted its position in TKO Group by 0.5% during the second quarter. Retirement Systems of Alabama now owns 14,385 shares of the company’s stock valued at $2,617,000 after purchasing an additional 77 shares during the period. 89.79% of the stock is owned by hedge funds and other institutional investors.

TKO Group Price Performance

NYSE TKO opened at $214.41 on Wednesday. The business’s fifty day moving average is $195.24 and its 200 day moving average is $187.53. TKO Group Holdings, Inc. has a fifty-two week low of $133.07 and a fifty-two week high of $218.11. The company has a debt-to-equity ratio of 0.42, a quick ratio of 1.46 and a current ratio of 1.46. The company has a market capitalization of $41.83 billion, a PE ratio of 82.15 and a beta of 0.65.

TKO Group (NYSE:TKO) last issued its quarterly earnings results on Wednesday, November 5th. The company reported $0.47 EPS for the quarter, missing analysts’ consensus estimates of $0.58 by ($0.11). TKO Group had a return on equity of 2.57% and a net margin of 5.27%.The company had revenue of $1.12 billion during the quarter, compared to analysts’ expectations of $1.12 billion. During the same quarter in the previous year, the company earned $0.28 EPS. The business’s quarterly revenue was down 27.3% compared to the same quarter last year. Sell-side analysts predict that TKO Group Holdings, Inc. will post 3.88 earnings per share for the current year.

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

TKO Group Increases Dividend

The company also recently declared a quarterly dividend, which was paid on Tuesday, December 30th. Shareholders of record on Monday, December 15th were issued a dividend of $0.78 per share. This is an increase from TKO Group’s previous quarterly dividend of $0.76. This represents a $3.12 annualized dividend and a yield of 1.5%. The ex-dividend date of this dividend was Monday, December 15th. TKO Group’s payout ratio is presently 119.54%.

Insider Buying and Selling

In related news, CFO Shane Kapral sold 254 shares of the company’s stock in a transaction on Monday, December 22nd. The shares were sold at an average price of $214.08, for a total value of $54,376.32. Following the completion of the transaction, the chief financial officer owned 1,012 shares of the company’s stock, valued at approximately $216,648.96. This represents a 20.06% decrease in their position. The sale was disclosed in a filing with the SEC, which is accessible through this link. Also, Director Nick Khan sold 9,519 shares of the stock in a transaction on Wednesday, December 3rd. The stock was sold at an average price of $195.16, for a total value of $1,857,728.04. Following the completion of the sale, the director owned 108,985 shares of the company’s stock, valued at $21,269,512.60. The trade was a 8.03% decrease in their position. The disclosure for this sale is available in the SEC filing. Over the last quarter, insiders sold 30,334 shares of company stock valued at $5,886,681. Company insiders own 53.80% of the company’s stock.

Analysts Set New Price Targets

A number of equities research analysts have commented on TKO shares. Cowen reaffirmed a “buy” rating on shares of TKO Group in a research report on Monday, December 8th. BTIG Research reaffirmed a “buy” rating on shares of TKO Group in a report on Thursday, December 18th. JPMorgan Chase & Co. upped their price objective on TKO Group from $218.00 to $220.00 and gave the company an “overweight” rating in a research report on Tuesday, December 2nd. Robert W. Baird raised their target price on TKO Group from $225.00 to $250.00 and gave the stock an “outperform” rating in a research report on Tuesday, September 16th. Finally, Guggenheim upped their price target on shares of TKO Group from $205.00 to $225.00 and gave the company a “buy” rating in a research report on Friday, October 3rd. Two equities research analysts have rated the stock with a Strong Buy rating, fifteen have assigned a Buy rating and six have given a Hold rating to the company’s stock. According to data from MarketBeat, the company currently has a consensus rating of “Moderate Buy” and an average target price of $225.00.

TKO Group Profile

TKO Group Holdings (NYSE: TKO) is a global sports and entertainment company formed in 2023 through the combination of two major combat-sports businesses. The company brings together the mixed martial arts organization UFC and the sports entertainment business WWE under a single publicly traded holding company. TKO owns and manages a portfolio of live-event franchises, intellectual property, and media rights centered on combat and sports-entertainment content.

TKO’s core activities include the promotion and production of live events, the licensing and sale of broadcasting and streaming rights, and the development and commercialization of branded consumer products.