TKO Group (NYSE:TKO) Stock Price Expected to Rise, UBS Group Analyst Says

TKO Group (NYSE:TKO) had its target price lifted by UBS Group from $200.00 to $235.00 in a research report report published on Wednesday morning, Marketbeat.com reports. The brokerage currently has a buy rating on the stock.

A number of other research analysts have also weighed in on TKO. Zacks Research raised TKO Group from a “strong sell” rating to a “hold” rating in a research report on Tuesday, September 2nd. Roth Capital raised their price objective on TKO Group from $208.00 to $210.00 and gave the company a “buy” rating in a research report on Tuesday, August 12th. Baird R W raised TKO Group to a “strong-buy” rating in a research report on Friday, September 5th. JPMorgan Chase & Co. raised their price objective on TKO Group from $182.00 to $212.00 and gave the company an “overweight” rating in a research report on Thursday, August 21st. Finally, Citigroup raised their price objective on TKO Group from $200.00 to $225.00 and gave the company a “buy” rating in a research report on Friday, August 15th. One equities research analyst has rated the stock with a Strong Buy rating, fourteen have assigned a Buy rating and four have issued a Hold rating to the company. According to data from MarketBeat, the stock has an average rating of “Moderate Buy” and an average target price of $196.50.

TKO Group Stock Down 0.7%

Shares of NYSE:TKO opened at $201.28 on Wednesday. TKO Group has a 52-week low of $114.01 and a 52-week high of $212.49. The firm has a market capitalization of $39.91 billion, a P/E ratio of 83.17 and a beta of 0.79. The stock has a 50 day moving average price of $181.83 and a 200-day moving average price of $166.97. The company has a debt-to-equity ratio of 0.28, a quick ratio of 1.30 and a current ratio of 1.30.

TKO Group (NYSE:TKO) last announced its earnings results on Wednesday, August 6th. The company reported $1.17 earnings per share (EPS) for the quarter, missing the consensus estimate of $1.23 by ($0.06). TKO Group had a return on equity of 2.82% and a net margin of 5.40%.The firm had revenue of $1.31 billion during the quarter, compared to the consensus estimate of $1.23 billion. During the same period in the prior year, the company posted $0.72 EPS. The firm’s revenue was up 53.7% on a year-over-year basis. As a group, equities research analysts anticipate that TKO Group will post 3.88 EPS for the current fiscal year.

TKO Group declared that its board has initiated a share buyback program on Monday, September 15th that permits the company to repurchase $1.00 billion in outstanding shares. This repurchase authorization permits the company to purchase up to 2.5% of its stock through open market purchases. Stock repurchase programs are often an indication that the company’s board of directors believes its stock is undervalued.

TKO Group Increases Dividend

The firm also recently announced a quarterly dividend, which will be paid on Tuesday, September 30th. Shareholders of record on Monday, September 15th will be issued a $0.76 dividend. This represents a $3.04 dividend on an annualized basis and a dividend yield of 1.5%. The ex-dividend date of this dividend is Monday, September 15th. This is a positive change from TKO Group’s previous quarterly dividend of $0.38. TKO Group’s dividend payout ratio is 125.62%.

Insider Buying and Selling at TKO Group

In related news, Director Nick Khan sold 9,519 shares of TKO Group stock in a transaction on Wednesday, September 3rd. The stock was sold at an average price of $186.43, for a total value of $1,774,627.17. Following the completion of the sale, the director owned 137,456 shares of the company’s stock, valued at $25,625,922.08. The trade was a 6.48% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available at this link. Also, Director Peter C. B. Bynoe acquired 740 shares of the business’s stock in a transaction that occurred on Tuesday, September 16th. The stock was purchased at an average cost of $203.00 per share, with a total value of $150,220.00. Following the acquisition, the director directly owned 5,187 shares of the company’s stock, valued at $1,052,961. This trade represents a 16.64% increase in their ownership of the stock. The disclosure for this purchase can be found here. Insiders sold 73,725 shares of company stock valued at $12,767,807 in the last ninety days. 61.30% of the stock is currently owned by corporate insiders.

Institutional Trading of TKO Group

Several large investors have recently modified their holdings of TKO. Cetera Investment Advisers grew its holdings in shares of TKO Group by 13.7% in the fourth quarter. Cetera Investment Advisers now owns 9,074 shares of the company’s stock worth $1,290,000 after acquiring an additional 1,095 shares during the period. ProShare Advisors LLC grew its holdings in shares of TKO Group by 7.5% in the fourth quarter. ProShare Advisors LLC now owns 3,113 shares of the company’s stock worth $442,000 after acquiring an additional 217 shares during the period. Rafferty Asset Management LLC bought a new stake in shares of TKO Group in the fourth quarter worth $216,000. Toronto Dominion Bank purchased a new position in TKO Group during the fourth quarter valued at $1,258,000. Finally, Two Sigma Advisers LP lifted its position in TKO Group by 26.2% during the fourth quarter. Two Sigma Advisers LP now owns 96,300 shares of the company’s stock valued at $13,685,000 after purchasing an additional 20,000 shares in the last quarter. Institutional investors own 89.79% of the company’s stock.

About TKO Group

TKO Group Holdings, Inc operates as a sports and entertainment company. The company produces and licenses live events, television programs, and long-form and short-form content, reality series, and other filmed entertainment on digital and linear channels and via pay-per-view. It is involved in the merchandising of video games, apparel, equipment, trading cards, memorabilia, digital goods, and toys, as well as sale of travel packages and tickets.