TKO Group Holdings (NYSE:TKO) Dropped From Multiple Indices But Shows 3% Price Uptick

On March 24, 2025, TKO Group Holdings (NYSE:TKO) was removed from several key indices, including the S&P 400 and the S&P 1000, which coincided with the company's stock price moving 3% over the last quarter. Despite the index changes, TKO Group reported stronger financial results, with Q4 sales rising to USD 642 million and positive net income, a reversal from the previous year's loss, potentially supporting the stock's performance. Additionally, a dividend affirmation and positive future guidance may have offset some negative sentiment from its index exclusion. Broader market trends, such as ongoing economic uncertainties and tech sector rallies, also likely played a role.

Buy, Hold or Sell TKO Group Holdings? View our complete analysis and fair value estimate and you decide.

Rare earth metals are an input to most high-tech devices, military and defence systems and electric vehicles. The global race is on to secure supply of these critical minerals. Beat the pack to uncover the 20 best rare earth metal stocks of the very few that mine this essential strategic resource.

The past year has seen TKO Group achieve a remarkable total shareholder return of 75.14%, significantly outpacing both the US market's 8.1% and the US Entertainment industry's 33.9%. This robust performance is attributable to several key factors. Notably, the company returned to profitability over the year, with full-year 2024 sales reaching US$2.80 billion, a substantial rise from the previous year, along with a positive net income of US$9.41 million, compared to a net loss the year before. This financial revival likely provided a solid foundation for investor confidence.

Furthermore, TKO Group demonstrated its commitment to growth through corporate activities such as a raised revenue guidance issued in November 2024 and its ongoing exploration of mergers and acquisitions, including a discussed acquisition of Professional Bull Riders. The company's inclusion in several Russell indices in July 2024 possibly enhanced its visibility among investors, reinforcing its market position and contributing to the impressive shareholder returns over the year.

Understand TKO Group Holdings' earnings outlook by examining our growth report.

This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com