TKO Group (NYSE:TKO) Given New $250.00 Price Target at TD Cowen

Key Points

• TD Cowen raised its price target on TKO from $245 to $250 and kept a "buy" rating, implying roughly a 23.4% upside from the prior close.
• Analyst coverage is mixed but tilted positive—13 Buys, 5 Holds and 1 Sell—giving TKO a MarketBeat consensus of "Moderate Buy" and an average price target of $231.73, below TD Cowen's target.
• TKO missed EPS estimates for the quarter (‑$0.08 vs. $0.12 expected) despite revenue of $1.04B, insiders have sold material shares recently, and the stock traded near $202.54 (about 1.5% down) in the report.

TKO Group (NYSE:TKO - Get Free Report) had its target price boosted by research analysts at TD Cowen from $245.00 to $250.00 in a research report issued to clients and investors on Wednesday,Benzinga reports. The firm currently has a "buy" rating on the stock. TD Cowen's price objective suggests a potential upside of 23.43% from the company's previous close.

A number of other brokerages also recently commented on TKO. Zacks Research downgraded shares of TKO Group from a "hold" rating to a "strong sell" rating in a research note on Friday, March 6th. Weiss Ratings reaffirmed a "hold (c)" rating on shares of TKO Group in a research report on Monday, December 29th. UBS Group increased their price objective on TKO Group from $235.00 to $238.00 and gave the stock a "buy" rating in a research report on Thursday, February 26th. Morgan Stanley set a $210.00 target price on TKO Group in a research report on Thursday, December 18th. Finally, Susquehanna reiterated a "positive" rating and set a $251.00 price target on shares of TKO Group in a report on Monday, January 19th. Thirteen investment analysts have rated the stock with a Buy rating, five have given a Hold rating and one has issued a Sell rating to the company. According to data from MarketBeat, TKO Group has a consensus rating of "Moderate Buy" and an average price target of $231.73.

TKO Group Trading Down 1.5%

NYSE:TKO traded down $3.04 during trading hours on Wednesday, hitting $202.54. The company had a trading volume of 150,278 shares, compared to its average volume of 921,992. The company has a current ratio of 1.26, a quick ratio of 1.26 and a debt-to-equity ratio of 0.43. The company has a 50-day moving average of $207.14 and a 200 day moving average of $199.17. The company has a market cap of $39.32 billion, a P/E ratio of 89.75 and a beta of 0.66. TKO Group has a 1 year low of $133.07 and a 1 year high of $226.94.

TKO Group (NYSE:TKO - Get Free Report) last posted its quarterly earnings results 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 for the quarter, compared to analysts' expectations of $1.02 billion. TKO Group had a return on equity of 2.07% and a net margin of 4.13%.The firm's revenue was up 11.9% on a year-over-year basis. During the same quarter in the prior year, the firm earned $0.28 EPS. Sell-side analysts expect that TKO Group will post 3.88 earnings per share for the current year.

Insider Activity

In related news, Director Nick Khan sold 9,518 shares of the firm's stock in a transaction dated Tuesday, March 3rd. The stock was sold at an average price of $220.29, for a total transaction of $2,096,720.22. Following the completion of the transaction, the director directly owned 110,048 shares in the company, valued at $24,242,473.92. This trade represents a 7.96% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available through this link. Also, CFO Shane Kapral sold 254 shares of TKO Group stock in a transaction dated Monday, March 9th. The shares were sold at an average price of $199.15, for a total value of $50,584.10. Following the completion of the transaction, the chief financial officer directly owned 99 shares of the company's stock, valued at approximately $19,715.85. This represents a 71.95% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Over the last ninety days, insiders sold 169,563 shares of company stock valued at $34,641,917. 53.80% of the stock is currently owned by corporate insiders.

Institutional Trading of TKO Group

Hedge funds have recently made changes to their positions in the business. Somerset Trust Co lifted its position in shares of TKO Group by 2.5% during the 3rd quarter. Somerset Trust Co now owns 2,155 shares of the company's stock worth $435,000 after purchasing an additional 53 shares during the last quarter. CWM LLC increased its holdings in TKO Group by 7.3% in the third quarter. CWM LLC now owns 796 shares of the company's stock valued at $161,000 after buying an additional 54 shares during the last quarter. CreativeOne Wealth LLC increased its holdings in TKO Group by 2.1% in the fourth quarter. CreativeOne Wealth LLC now owns 2,586 shares of the company's stock valued at $541,000 after buying an additional 54 shares during the last quarter. Frank Rimerman Advisors LLC raised its stake in TKO Group by 3.2% in the fourth quarter. Frank Rimerman Advisors LLC now owns 1,783 shares of the company's stock valued at $373,000 after buying an additional 56 shares in the last quarter. Finally, Stephens Inc. AR lifted its holdings in TKO Group by 2.7% during the 4th quarter. Stephens Inc. AR now owns 2,160 shares of the company's stock worth $451,000 after buying an additional 56 shares during the last quarter. Institutional investors and hedge funds own 89.79% of the company's stock.

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.

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