TKO Group Holdings secures a $7.7 billion media rights deal with Paramount to stream UFC events, alongside a WWE agreement with Disney’s ESPN. Stock surges 10% post-announcement, up 26% in 2025 and 50% in the past year. Analysts predict higher financial gains and brand growth, setting a price target of $220.

The seven-year deal with Paramount gives exclusive US streaming rights for UFC events starting in 2026, moving away from the traditional pay-per-view model. CEO Dana White aims to make fights more affordable and accessible. TKO retains international media rights and gains additional ad inventory per hour for monetization.

Paramount’s aggressive sports rights strategy is evident in the TKO deal, reflecting competition among streaming platforms for premium live sports content. TKO, resulting from a UFC-WWE merger in 2023, secures big deals including a $1.6 billion agreement with ESPN for WWE rights and a $5 billion Netflix deal for WWE’s Monday Night Raw.

In Q2, TKO’s total revenue rises 10% year over year to $1.3 billion, surpassing estimates. Net income climbs to $273.1 million. UFC revenue increases 5.5% to $415 million, WWE revenue rises 22% to $556 million, but International Management Group sales decline 4% to $306 million. Full-year revenue guidance raised to $4.63-$4.69 billion.

Read more at Yahoo Finance: TKO delivers a ‘knockout’ with UFC and WWE deals as Wall Street sees more upside ahead