Allspring Global Investments Holdings LLC Lowers Holdings in TKO Group Holdings, Inc. $TKO

Key Points

• Allspring Global Investments has decreased its holdings in TKO Group Holdings by 3.7%, now owning 787,564 shares worth approximately $138 million.
• Analysts have mixed ratings on TKO Group, with Citigroup raising its price target from $200 to $225 while Northcoast Research downgraded the stock from a "buy" to a "neutral" rating.
• TKO Group's quarterly dividend was recently increased to $0.76, with the Board approving a share buyback plan of $1 billion, indicating a belief that the stock is undervalued.

Allspring Global Investments Holdings LLC decreased its holdings in TKO Group Holdings, Inc. (NYSE:TKO - Free Report) by 3.7% in the 2nd quarter, according to the company in its most recent Form 13F filing with the SEC. The firm owned 787,564 shares of the company's stock after selling 30,405 shares during the quarter. Allspring Global Investments Holdings LLC owned 0.40% of TKO Group worth $138,304,000 at the end of the most recent reporting period.

Several other hedge funds and other institutional investors have also made changes to their positions in TKO. Vanguard Group Inc. boosted its stake in shares of TKO Group by 19.4% in the first quarter. Vanguard Group Inc. now owns 7,976,904 shares of the company's stock valued at $1,218,951,000 after purchasing an additional 1,295,817 shares during the period. Invesco Ltd. boosted its stake in shares of TKO Group by 569.7% in the first quarter. Invesco Ltd. now owns 1,423,052 shares of the company's stock valued at $217,457,000 after purchasing an additional 1,210,563 shares during the period. Price T Rowe Associates Inc. MD boosted its stake in shares of TKO Group by 242.6% in the first quarter. Price T Rowe Associates Inc. MD now owns 1,496,462 shares of the company's stock valued at $228,675,000 after purchasing an additional 1,059,636 shares during the period. Ninety One UK Ltd boosted its stake in shares of TKO Group by 14.4% in the second quarter. Ninety One UK Ltd now owns 4,850,006 shares of the company's stock valued at $882,459,000 after purchasing an additional 611,233 shares during the period. Finally, Sequoia Financial Advisors LLC purchased a new position in shares of TKO Group in the first quarter valued at approximately $71,834,000. Hedge funds and other institutional investors own 89.79% of the company's stock.

Analyst Ratings Changes

A number of research analysts recently issued reports on TKO shares. Morgan Stanley lifted their price target on shares of TKO Group from $165.00 to $205.00 and gave the stock an "equal weight" rating in a research note on Thursday, September 25th. Northcoast Research downgraded shares of TKO Group from a "buy" rating to a "neutral" rating in a research note on Thursday, July 10th. Citigroup lifted their price target on shares of TKO Group from $200.00 to $225.00 and gave the stock a "buy" rating in a research note on Friday, August 15th. Roth Capital lifted their price target on shares of TKO Group from $208.00 to $210.00 and gave the stock a "buy" rating in a research note on Tuesday, August 12th. Finally, Weiss Ratings reiterated a "hold (c)" rating on shares of TKO Group in a research note on Saturday, September 27th. Two analysts have rated the stock with a Strong Buy rating, fourteen have issued a Buy rating and five have issued a Hold rating to the company. According to MarketBeat.com, TKO Group presently has a consensus rating of "Moderate Buy" and an average target price of $206.07.

Insiders Place Their Bets

In other TKO Group news, Director Peter C. B. Bynoe bought 740 shares of the business's stock in a transaction dated Tuesday, September 16th. The shares were acquired 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. The trade was a 16.64% increase in their position. The purchase was disclosed in a legal filing with the SEC, which is accessible through this link. Also, Director Nick Khan sold 45,168 shares of TKO Group stock in a transaction on Monday, July 21st. The shares were sold at an average price of $170.82, for a total transaction of $7,715,597.76. Following the completion of the transaction, the director directly owned 156,494 shares in the company, valued at $26,732,305.08. The trade was a 22.40% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold a total of 73,725 shares of company stock worth $12,966,373 over the last ninety days. Corporate insiders own 53.80% of the company's stock.

TKO Group Stock Up 0.1%

TKO stock opened at $186.72 on Monday. The company has a current ratio of 1.30, a quick ratio of 1.30 and a debt-to-equity ratio of 0.28. TKO Group Holdings, Inc. has a twelve month low of $114.01 and a twelve month high of $212.49. The company's 50 day moving average is $190.27 and its two-hundred day moving average is $172.41. The stock has a market cap of $37.03 billion, a P/E ratio of 77.16 and a beta of 0.76.

TKO Group (NYSE:TKO - Get Free Report) last released its quarterly earnings data on Wednesday, August 6th. The company reported $1.17 earnings per share for the quarter, missing analysts' consensus estimates of $1.23 by ($0.06). TKO Group had a return on equity of 2.82% and a net margin of 5.40%.The company had revenue of $1.31 billion for the quarter, compared to analyst estimates of $1.23 billion. During the same period in the previous year, the business posted $0.72 EPS. The firm's revenue for the quarter was up 53.7% compared to the same quarter last year. Research analysts expect that TKO Group Holdings, Inc. will post 3.88 earnings per share for the current fiscal year.

TKO Group Increases Dividend

The firm also recently announced a quarterly dividend, which was paid on Tuesday, September 30th. Stockholders of record on Monday, September 15th were issued a $0.76 dividend. This represents a $3.04 dividend on an annualized basis and a dividend yield of 1.6%. The ex-dividend date of this dividend was 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 presently 125.62%.

TKO Group declared that its Board of Directors has approved a share repurchase plan on Monday, September 15th that allows the company to repurchase $1.00 billion in outstanding shares. This repurchase authorization allows the company to purchase up to 2.5% of its shares through open market purchases. Shares repurchase plans are often a sign that the company's board of directors believes its stock is undervalued.

TKO Group Company Profile

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.

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