FMP
Feb 12, 2024 1:18 PM - Davit Kirakosyan
Jefferies analysts started covering TKO Group Holdings (NYSE:TKO), assigning a Buy rating and a target price of $120, suggesting a potential 40% increase from TKO’s closing price on Friday.
TKO Holdings emerged from the merger of the Ultimate Fighting Championship (UFC) and World Wrestling Entertainment (WWE) in September 2023, a deal valued at $21.4 billion, creating a major entity in fighting sports and entertainment. The company was subsequently listed on the New York Stock Exchange.
Jefferies anticipates that the unified operation of these entities will drive significant revenue growth (approximately low double digits on average) and EBITDA growth (high teens percentage on average). They cite potential from rights renewals, synergistic benefits including improved gate performance, fan base cross-pollination, sponsorships, and cost savings of around $100 million annually.
Highlighting the UFC as a top-tier entertainment asset, the analysts argue that TKO Holdings is primed for strong growth and impressive margin expansion.
Oct 31, 2023 8:03 AM - Parth Sanghvi
Free cash flow to the firm (FCFF) and free cash flow to equity (FCFE) are two of the most important metrics used in financial modeling. Both metrics measure the amount of cash that is available to a company's shareholders and creditors, but there is a key difference between the two. FCFF measures...
Nov 25, 2023 6:39 AM - Parth Sanghvi
Choosing the Right Valuation Method: DCF vs. Comparable Companies Analysis Introduction: Valuation methods play a pivotal role in determining the fair value of a company, aiding investors in making informed investment decisions. Two commonly used methods, DCF Valuation and Comparable Companies A...
Dec 23, 2023 2:19 AM - Parth Sanghvi
Introduction: Discounted Cash Flow (DCF) analysis stands as a cornerstone in valuing investments, yet its efficacy is contingent upon various assumptions and methodologies. While a powerful tool, DCF analysis comes with inherent limitations and challenges that investors must acknowledge to make i...