We recently published a list of 10 Stocks Insiders Spent The Most Money On Recently. In this article, we are going to take a look at where TKO Group Holdings, Inc. (NYSE:TKO) stands against other stocks insiders spent the most money on recently.
As the broader market continues to rise this year, we thought it would be interesting to highlight some stocks that have seen significant insider buying recently. Insiders—such as executives and directors—often have valuable insights into a company’s strategy, plans, and future initiatives. For instance, when a CEO or CFO invests their own money to purchase company shares, it can be seen as a strong vote of confidence in the company’s prospects. When an insider makes a substantial financial commitment, it often signals an even higher level of confidence in the company’s future performance.
Why should we be interested in insider trading activity? While both insider selling and buying can be driven by various motives, it is important to consider these moves within the broader context of the company’s fundamentals, industry trends, and overall market conditions. That’s why due diligence before any investment is of the utmost importance. However, insider trading activity in combination with other relevant determinants can offer valuable insights into a company’s capabilities, helping investors make more informed investment decisions.
What are some of the stocks that have seen the most insider investment recently? To find out, we used Insider Monkey’s insider trading stock screener, focusing only on stocks where each individual insider purchase was valued at $2 million or more. This means the total value of insider purchases over the same period (last 60 days) could be higher, but only larger purchases were considered in the search.
Our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds, focusing on insider trading and stock picks from hedge fund investor newsletters and conferences. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 275% since May 2014, beating its benchmark by 150 percentage points (see more details here).
With each stock, we note the value of acquired shares, which refers to the value of shares acquired through individual insider purchases worth at least $2 million each.
TKO Group Holdings, Inc. (NYSE:TKO)
Value Of Shares Acquired: $805,295,312.70
Market Cap: $14.25 billion
The first among 10 stocks insiders spent the most money on recently is a global sports and entertainment company – TKO Group Holdings, Inc. (NYSE:TKO). It was created by Endeavor (NYSE:EDR) as part of a merger between World Wrestling Entertainment and Zuffa, LLC, the parent company of the Ultimate Fighting Championship.
TKO Group (NYSE:TKO) produces and licenses live events, TV programs, long- and short-form content, reality series, etc. Its content reaches more than 1 billion households across around 210 countries and territories. Each year, the company organizes more than 300 live events, attracting more than two million fans. The stock is also one of the 10 Top Insider Stock Buys And Sells In January.
Over the last 60 days, three insiders, including the company’s CEO, bought a total of around $805.3 million (considering only transactions worth more than $2 million) at an average price of $159.59 per share. The stock is currently trading at $166.05, having gained 16.85% since the beginning of the year. Over the past 12 months, TKO Group shares gained 93.62%.
In February, the company announced that UFC and Monster Energy have signed a multiyear renewal of their long-standing partnership, under which Monster will continue as the exclusive global Offical Energy Drink of UFC. TKO Group (NYSE:TKO) will release its earnings report for the fourth quarter of 2024 on February 26.
As many as 14 analysts have an average “Strong Buy” rating on the stock, with a 12-month price target of $146.46, reveals data from StockAnalysis.
Overall, TKO ranks 1st on our list of stocks insiders spent the most money on recently. While we acknowledge the potential of TKO our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns, and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than TKO but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.
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Disclosure: None. This article is originally published at Insider Monkey.
