Investors Purchase Large Volume of TKO Group Call Options (NYSE:TKO)

TKO Group Holdings, Inc. (NYSE:TKO) was the target of unusually large options trading on Wednesday. Stock investors purchased 11,320 call options on the company. This is an increase of 427% compared to the typical daily volume of 2,148 call options.

Wall Street Analysts Forecast Growth

A number of research analysts have issued reports on the stock. Morgan Stanley raised their price target on shares of TKO Group from $100.00 to $115.00 and gave the stock an “equal weight” rating in a report on Monday, July 15th. JPMorgan Chase & Co. raised their target price on TKO Group from $103.00 to $126.00 and gave the stock an “overweight” rating in a research note on Wednesday, May 29th. Roth Mkm boosted their price target on TKO Group from $121.00 to $130.00 and gave the company a “buy” rating in a research note on Monday, July 22nd. TD Cowen upgraded TKO Group from a “hold” rating to a “buy” rating and raised their price objective for the stock from $92.00 to $127.00 in a research note on Wednesday, May 15th. Finally, Jefferies Financial Group upped their target price on TKO Group from $120.00 to $131.00 and gave the company a “buy” rating in a research report on Friday, April 12th. Two research analysts have rated the stock with a hold rating and thirteen have issued a buy rating to the company. Based on data from MarketBeat.com, TKO Group has an average rating of “Moderate Buy” and a consensus price target of $116.64.

TKO Group Price Performance

TKO stock traded down $2.18 during mid-day trading on Wednesday, reaching $107.56. 502,834 shares of the company’s stock were exchanged, compared to its average volume of 1,135,274. The company has a debt-to-equity ratio of 0.34, a current ratio of 0.99 and a quick ratio of 0.99. TKO Group has a 12-month low of $72.33 and a 12-month high of $113.30. The stock’s 50 day moving average is $107.74 and its 200 day moving average is $95.82. The company has a market cap of $18.32 billion, a price-to-earnings ratio of -108.64 and a beta of 1.04.

TKO Group (NYSE:TKO) last posted its quarterly earnings data on Wednesday, May 8th. The company reported $2.14 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.51 by $1.63. TKO Group had a negative net margin of 4.14% and a positive return on equity of 4.15%. The business had revenue of $629.70 million for the quarter, compared to the consensus estimate of $609.28 million. On average, research analysts expect that TKO Group will post 4.03 EPS for the current year.

Insider Transactions at TKO Group

In related news, Director Nick Khan sold 22,693 shares of the business’s stock in a transaction on Monday, July 22nd. The stock was sold at an average price of $105.53, for a total transaction of $2,394,792.29. Following the transaction, the director now directly owns 220,018 shares in the company, valued at approximately $23,218,499.54. The sale was disclosed in a document filed with the SEC, which can be accessed through this link. Insiders own 53.80% of the company’s stock.

Institutional Investors Weigh In On TKO Group

Several institutional investors have recently bought and sold shares of the company. Vanguard Group Inc. raised its stake in TKO Group by 1.3% in the 1st quarter. Vanguard Group Inc. now owns 6,074,522 shares of the company’s stock valued at $524,899,000 after purchasing an additional 79,166 shares during the last quarter. Ninety One UK Ltd grew its stake in TKO Group by 12.7% during the 4th quarter. Ninety One UK Ltd now owns 4,303,375 shares of the company’s stock valued at $351,069,000 after acquiring an additional 485,105 shares in the last quarter. Darlington Partners Capital Management LP raised its holdings in TKO Group by 17.9% in the 4th quarter. Darlington Partners Capital Management LP now owns 2,120,406 shares of the company’s stock valued at $172,983,000 after acquiring an additional 322,126 shares during the last quarter. XN LP lifted its stake in TKO Group by 100.9% in the 1st quarter. XN LP now owns 1,983,346 shares of the company’s stock worth $171,381,000 after purchasing an additional 996,161 shares in the last quarter. Finally, Clearbridge Investments LLC lifted its stake in TKO Group by 17.8% in the 1st quarter. Clearbridge Investments LLC now owns 1,644,844 shares of the company’s stock worth $142,131,000 after purchasing an additional 247,987 shares in the last quarter. 89.79% of the stock is currently owned by institutional investors and hedge funds.

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.