Wall Street Zen Downgrades TKO Group (NYSE:TKO) to Sell

TKO Group (NYSE:TKO) was downgraded by analysts at Wall Street Zen from a “hold” rating to a “sell” rating in a note issued to investors on Saturday.

A number of other research analysts have also commented on TKO. TD Cowen reiterated a “buy” rating on shares of TKO Group in a research note on Monday, December 8th. Pivotal Research raised their price objective on shares of TKO Group from $235.00 to $250.00 and gave the stock a “buy” rating in a research report on Thursday, February 26th. Roth Mkm restated a “buy” rating and set a $240.00 price objective on shares of TKO Group in a report on Thursday, February 12th. Susquehanna reaffirmed a “positive” rating and issued a $251.00 target price on shares of TKO Group in a research report on Monday, January 19th. Finally, Weiss Ratings reiterated a “hold (c)” rating on shares of TKO Group in a research note on Monday, December 29th. Thirteen equities research analysts have rated the stock with a Buy rating and six have issued a Hold rating to the company’s stock. According to data from MarketBeat.com, TKO Group currently has an average rating of “Moderate Buy” and a consensus target price of $231.40.

TKO Group Trading Down 4.2%

Shares of TKO Group stock opened at $202.90 on Friday. The company has a debt-to-equity ratio of 0.43, a current ratio of 1.26 and a quick ratio of 1.26. The business has a fifty day simple moving average of $207.55 and a two-hundred day simple moving average of $198.89. TKO Group has a 1 year low of $133.07 and a 1 year high of $226.94. The company has a market capitalization of $39.39 billion, a price-to-earnings ratio of 90.18 and a beta of 0.66.

TKO Group (NYSE:TKO) last released its quarterly earnings data on Wednesday, February 25th. The company reported ($0.08) EPS for the quarter, missing the consensus estimate of $0.12 by ($0.20). The company had revenue of $1.04 billion during the quarter, compared to analyst estimates of $1.02 billion. TKO Group had a net margin of 4.13% and a return on equity of 2.07%. TKO Group’s revenue for the quarter was up 11.9% on a year-over-year basis. During the same quarter in the prior year, the firm earned $0.28 earnings per share. Research analysts forecast that TKO Group will post 3.88 EPS for the current year.

Insider Buying and Selling at TKO Group

In other news, insider Seth D. Krauss sold 14,016 shares of the firm’s stock in a transaction that occurred on Wednesday, January 21st. The shares were sold at an average price of $201.22, for a total transaction of $2,820,299.52. Following the transaction, the insider directly owned 2,271 shares of the company’s stock, valued at approximately $456,970.62. This trade represents a 86.06% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, Director Nick Khan sold 37,425 shares of TKO Group stock in a transaction that occurred on Monday, January 5th. The shares were sold at an average price of $204.01, for a total transaction of $7,635,074.25. Following the completion of the sale, the director owned 122,868 shares of the company’s stock, valued at approximately $25,066,300.68. The trade was a 23.35% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. In the last quarter, insiders have sold 169,309 shares of company stock worth $34,591,333. 53.80% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On TKO Group

Several hedge funds and other institutional investors have recently added to or reduced their stakes in TKO. Vontobel Holding Ltd. grew its holdings in shares of TKO Group by 108,668.4% during the 4th quarter. Vontobel Holding Ltd. now owns 1,268,239 shares of the company’s stock worth $265,062,000 after purchasing an additional 1,267,073 shares in the last quarter. Massachusetts Financial Services Co. MA raised its stake in TKO Group by 54.9% in the fourth quarter. Massachusetts Financial Services Co. MA now owns 3,185,769 shares of the company’s stock valued at $665,826,000 after purchasing an additional 1,128,749 shares in the last quarter. State Street Corp raised its stake in TKO Group by 20.3% in the third quarter. State Street Corp now owns 5,249,091 shares of the company’s stock valued at $1,060,106,000 after purchasing an additional 887,401 shares in the last quarter. Norges Bank bought a new stake in TKO Group during the second quarter worth about $132,441,000. Finally, Alliancebernstein L.P. grew its stake in TKO Group by 551.8% during the second quarter. Alliancebernstein L.P. now owns 494,964 shares of the company’s stock worth $90,059,000 after buying an additional 419,021 shares in the last quarter. 89.79% of the stock is owned by institutional investors and hedge funds.

TKO Group Company 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.