Atika Capital Management LLC Invests $4.78 Million in TKO Group Holdings, Inc. $TKO

Key Points

• Atika Capital Management LLC has invested approximately $4.78 million in TKO Group Holdings, acquiring 31,300 shares in the first quarter.
• Several major institutional investors are increasing their stakes in TKO Group, with Vanguard Group increasing theirs by 19.4% during the first quarter.
• TKO Group reported earnings of $1.17 per share, missing expectations, but revenue grew by 53.7% compared to the same quarter last year, reaching $1.31 billion.

Atika Capital Management LLC purchased a new stake in TKO Group Holdings, Inc. (NYSE:TKO - Free Report) during the first quarter, according to its most recent 13F filing with the Securities & Exchange Commission. The fund purchased 31,300 shares of the company's stock, valued at approximately $4,783,000.

A number of other institutional investors also recently modified their holdings of the company. Focus Partners Advisor Solutions LLC raised its holdings in TKO Group by 3.6% during the fourth quarter. Focus Partners Advisor Solutions LLC now owns 1,835 shares of the company's stock worth $261,000 after acquiring an additional 63 shares in the last quarter. Simon Quick Advisors LLC increased its position in TKO Group by 1.1% during the first quarter. Simon Quick Advisors LLC now owns 7,558 shares of the company's stock worth $1,155,000 after buying an additional 82 shares during the last quarter. Coldstream Capital Management Inc. increased its position in TKO Group by 2.9% during the fourth quarter. Coldstream Capital Management Inc. now owns 3,160 shares of the company's stock worth $449,000 after buying an additional 90 shares during the last quarter. Utah Retirement Systems increased its position in TKO Group by 2.4% during the fourth quarter. Utah Retirement Systems now owns 4,300 shares of the company's stock worth $611,000 after buying an additional 100 shares during the last quarter. Finally, Pekin Hardy Strauss Inc. increased its position in TKO Group by 3.2% during the first quarter. Pekin Hardy Strauss Inc. now owns 3,210 shares of the company's stock worth $491,000 after buying an additional 100 shares during the last quarter. 89.79% of the stock is currently owned by institutional investors.

Wall Street Analyst Weigh In

A number of brokerages have weighed in on TKO. Northcoast Research downgraded TKO Group from a "buy" rating to a "neutral" rating in a research report on Thursday, July 10th. Sanford C. Bernstein started coverage on TKO Group in a research report on Wednesday, June 4th. They issued an "outperform" rating and a $190.00 target price on the stock. Guggenheim upped their target price on TKO Group from $200.00 to $205.00 and gave the company a "buy" rating in a research report on Wednesday, August 13th. UBS Group upped their target price on TKO Group from $195.00 to $200.00 and gave the company a "buy" rating in a research report on Thursday, August 7th. Finally, The Goldman Sachs Group boosted their price target on TKO Group from $170.00 to $188.00 and gave the company a "buy" rating in a research note on Monday, May 12th. One analyst has rated the stock with a Strong Buy rating, thirteen have issued a Buy rating and two have given a Hold rating to the company's stock. Based on data from MarketBeat.com, the company currently has a consensus rating of "Moderate Buy" and an average target price of $189.69.

Insider Activity

In related news, Director Peter C. B. Bynoe purchased 980 shares of the business's stock in a transaction on Thursday, June 5th. The stock was acquired at an average price of $169.59 per share, for a total transaction of $166,198.20. Following the purchase, the director owned 2,747 shares of the company's stock, valued at approximately $465,863.73. This trade represents a 55.46% increase in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which can be accessed through this hyperlink. Also, major shareholder Lake West Voteco L.L.C Silver purchased 1,579,080 shares of the business's stock in a transaction on Tuesday, June 3rd. The shares were bought at an average price of $158.32 per share, with a total value of $249,999,945.60. Following the purchase, the insider directly owned 4,158,517 shares in the company, valued at approximately $658,376,411.44. The trade was a 61.22% increase in their position. The disclosure for this purchase can be found here. Insiders sold a total of 73,725 shares of company stock worth $12,501,561 in the last three months. Company insiders own 61.30% of the company's stock.

TKO Group Price Performance

NYSE TKO traded up $1.4070 on Friday, hitting $185.6470. 774,225 shares of the company's stock were exchanged, compared to its average volume of 1,036,918. The stock has a 50-day moving average of $174.08 and a 200-day moving average of $162.76. 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 52 week low of $113.16 and a 52 week high of $194.76. The stock has a market cap of $36.81 billion, a price-to-earnings ratio of 76.71 and a beta of 0.72.

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

TKO Group Announces Dividend

The company also recently announced a quarterly dividend, which was paid on Monday, June 30th. Stockholders of record on Friday, June 13th were paid a $0.38 dividend. The ex-dividend date was Friday, June 13th. This represents a $1.52 annualized dividend and a dividend yield of 0.8%. TKO Group's dividend payout ratio (DPR) is currently 62.81%.

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.