Rakuten Investment Management Inc. Makes New Investment in TKO Group Holdings, Inc. $TKO

Rakuten Investment Management Inc. purchased a new position in shares of TKO Group Holdings, Inc. (NYSE:TKO) during the 3rd quarter, according to the company in its most recent Form 13F filing with the Securities & Exchange Commission. The institutional investor purchased 13,259 shares of the company’s stock, valued at approximately $2,678,000.

Other hedge funds and other institutional investors have also made changes to their positions in the company. Norges Bank purchased a new stake in TKO Group during the 2nd quarter worth approximately $132,441,000. Ninety One UK Ltd grew 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 worth $882,459,000 after acquiring an additional 611,233 shares in the last quarter. Congress Asset Management Co. purchased a new stake in shares of TKO Group during the second quarter worth $82,056,000. Alliancebernstein L.P. raised its stake in shares of TKO Group by 551.8% in the second quarter. Alliancebernstein L.P. now owns 494,964 shares of the company’s stock valued at $90,059,000 after acquiring an additional 419,021 shares in the last quarter. Finally, Invesco Ltd. boosted its holdings in TKO Group by 26.9% in the second quarter. Invesco Ltd. now owns 1,806,377 shares of the company’s stock valued at $328,670,000 after purchasing an additional 383,325 shares during the period. Hedge funds and other institutional investors own 89.79% of the company’s stock.

Analyst Ratings Changes

TKO has been the topic of a number of analyst reports. Pivotal Research increased their price target on TKO Group from $225.00 to $235.00 and gave the company a “buy” rating in a research report on Thursday, November 6th. TD Cowen reaffirmed a “buy” rating on shares of TKO Group in a report on Monday, December 8th. Zacks Research downgraded shares of TKO Group from a “strong-buy” rating to a “hold” rating in a research note on Tuesday, November 4th. Wolfe Research reissued an “outperform” rating and issued a $227.00 price objective on shares of TKO Group in a research report on Monday, December 15th. Finally, Morgan Stanley set a $210.00 price objective on shares of TKO Group in a research report on Thursday, December 18th. Fourteen equities research analysts have rated the stock with a Buy rating and six have issued a Hold rating to the company. According to MarketBeat, the company presently has an average rating of “Moderate Buy” and a consensus price target of $227.73.

TKO Group News Roundup

Here are the key news stories impacting TKO Group this week:

• Positive Sentiment: JPMorgan upgraded its view and raised its price target to $225 with an “overweight” rating — a strong institutional endorsement that can attract buyers and support upside. Read More.
• Positive Sentiment: Industry commentary from Zacks highlights film & TV production/distribution names (including TKO) as beneficiaries of elevated digital content consumption, supporting longer‑term revenue tailwinds for content owners. Read More.
• Neutral Sentiment: UFC renewed a multiyear partnership with Skilled Trades College (STC) — positive for brand engagement but unlikely to move the stock materially by itself. Read More.
• Neutral Sentiment: Pre‑earnings coverage is circulating (earnings can increase near‑term volatility); these previews do not change fundamentals but may amplify moves around the report. Read More.
• Negative Sentiment: Large, concentrated insider selling reported this week — multiple executives and directors sold shares (including Director Nick Khan and several senior insiders). The scale and clustering of these disposals can increase supply pressure and explain near‑term weakness or increased volatility. SEC filings: Read More., Read More., Read More., Read More., Read More.

TKO Group Stock Up 2.8%

TKO stock opened at $205.76 on Friday. The stock has a market cap of $40.14 billion, a P/E ratio of 78.84 and a beta of 0.62. The company has a current ratio of 1.46, a quick ratio of 1.46 and a debt-to-equity ratio of 0.42. TKO Group Holdings, Inc. has a twelve month low of $133.07 and a twelve month high of $218.11. The company’s 50 day moving average is $202.22 and its two-hundred day moving average is $190.98.

TKO Group (NYSE:TKO) last posted its earnings results on Wednesday, November 5th. The company reported $0.47 EPS for the quarter, missing analysts’ consensus estimates of $0.58 by ($0.11). TKO Group had a net margin of 5.27% and a return on equity of 2.57%. The company had revenue of $1.12 billion during the quarter, compared to analysts’ expectations of $1.12 billion. During the same period last year, the business earned $0.28 earnings per share. The company’s quarterly revenue was down 27.3% on a year-over-year basis. 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 company also recently announced a quarterly dividend, which was paid on Tuesday, December 30th. Stockholders of record on Monday, December 15th were given a dividend of $0.78 per share. This represents a $3.12 dividend on an annualized basis and a dividend yield of 1.5%. This is an increase from TKO Group’s previous quarterly dividend of $0.76. The ex-dividend date was Monday, December 15th. TKO Group’s payout ratio is presently 119.54%.

Insiders Place Their Bets

In related news, CFO Shane Kapral sold 1,238 shares of the company’s stock in a transaction dated Thursday, January 22nd. The stock was sold at an average price of $201.98, for a total value of $250,051.24. Following the completion of the sale, the chief financial officer directly owned 4,048 shares of the company’s stock, valued at $817,615.04. This represents a 23.42% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. Also, Director Nick Khan sold 7,744 shares of the firm’s stock in a transaction that occurred on Thursday, January 22nd. The stock was sold at an average price of $201.98, for a total value of $1,564,133.12. Following the transaction, the director owned 129,084 shares in the company, valued at $26,072,386.32. This represents a 5.66% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. In the last three months, insiders sold 164,361 shares of company stock worth $33,191,184. Corporate insiders own 61.30% of the company’s stock.

TKO Group 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.