TKO dividend: cash coverage and yield
MyStockButler's October 2026 analysis: TKO’s declared dividend is $0.79 per share each quarter, or $3.16 annualized. In 2025, TKO generated $1.2 billion of free cash flow, but its payouts exceeded free cash flow after dividends, minority-owner payments and share buybacks.
How much does TKO pay in dividends?
The base dividend rises from $3.16 per share to $3.48. The bear keeps $3.16 for the first year before falling to $2.37, while the bull reaches $4.20. The starting point is the declared $0.79 quarterly rate, which annualizes to $3.16. The bear reflects $4,300.552M of net debt and heavy first-half payouts; the base assumes 5% annual growth, while the bull assumes 15% growth.
| 2025 | 2024 | 2023 | 2022 | |
|---|---|---|---|---|
| − Paid to minority owners, per share | 2.35 | 0.40 | 0.45 | |
| − Dividends paid, per share | 0.95 | 0.00 | 0.00 | |
| − Share buybacks, per share | 4.47 | 0.96 | 1.21 | |
| = FCF not paid out, per share | 1.36 | 0.42 | ||
| = Paid out more than FCF, per share | 1.80 |
What this means. The company's own free cash flow per share is higher because its count does not subtract the value of shares given to employees as pay; our real count does.
Does TKO’s dividend come from free cash flow?
Free cash flow means cash from operations less capital spending. In 2025, operations generated $1.3 billion and capital spending used $127.0 million. Free cash flow was $1.2 billion, compared with a conversion rate of 73% from adjusted EBITDA. That was a major improvement from 20% in 2023, although the changing business perimeter makes the five-year series imperfect.
The 2025 pattern was clearer. TKO paid minority owners, began regular dividends and repurchased shares. Those payments exceeded free cash flow, so debt supplied part of the funding. Endeavor owns operating-company units directly, which means it can receive distributions even when it does not receive dividends on TKO’s public shares.
| 2025 | 2024 | 2023 | 2022 | 2021 | |
|---|---|---|---|---|---|
| Free cash flow | 1,158,772 | 467,266 | 172,406 | 351,658 | 430,104 |
| − Paid to minority owners | 455,640 | 68,493 | 37,528 | 632 | 0 |
| − Dividends paid | 185,155 | 0 | 0 | 0 | 0 |
| − Share buybacks | 866,846 | 165,000 | 100,000 | 0 | 0 |
| = Free cash flow not paid out | 233,773 | 34,878 | 351,026 | 430,104 | |
| = Paid out more than the free cash flow | 348,869 |
What this means. The company's own net debt is lower because it leaves out finance lease obligations that we include as debt.
What could change TKO’s dividend?
The base or bull case would gain support when 2026 results are reported in 2027 and revenue and operating earnings confirm the raised targets. Analyst EPS growth, normalized cash conversion and the release of World Cup obligations would support dividends and measured buybacks. Strong distributor results, sponsor packages and host relationships would justify a higher multiple through 2029.
What is TKO’s dividend yield at today’s price?
The 1.8% dividend yield is cash returned to shareholders, not proof of operating quality. Compared with the 3.5% free-cash-flow yield, it suggests substantial apparent coverage, but only if both figures use the same ownership basis and sustainable cash.
| Today (Oct 24, 2026) | |
|---|---|
| Share price | 173.07 |
| Free cash flow yield (calculated) | 3.5% |
| Real free cash flow yield (calculated) | 3.2% |
| Dividend yield (calculated) | 1.8% |
What this means. The next twelve months price-to-earnings figure uses analysts' expected profit, not profit the company has already earned.