With a market cap of $32.7 billion, Live Nation Entertainment, Inc. (LYV) is a global leader in live entertainment, operating through its Concerts, Ticketing, and Sponsorship & Advertising segments. The company promotes live music events, manages ticketing services through platforms like Ticketmaster, and develops advertising and sponsorship opportunities across its venues and digital platforms. The Beverly Hills, California-based company is expected to release its fiscal Q4 earnings results on Thursday, Feb. 27.
Ahead of this event, analysts expect the ticket seller and concert promoter to report a loss of $1.18 per share, up 3.3% from the loss of $1.22 per share in the year-ago quarter. The company has surpassed Wall Street's bottom-line estimates in two of the last four quarters while missing on two other occasions. LYV exceeded the consensus EPS estimate by 5.1% in the most recent quarter.
For fiscal 2024, analysts expect LYV to report EPS of $1.02, down 25.6% from $1.37 in fiscal 2023. However, EPS is expected to rebound strongly in fiscal 2025, with an anticipated growth of 142.2%, reaching $2.47.
Live Nation Entertainment has surged 57.5% over the past 52 weeks, outperforming both the S&P 500 Index's ($SPX) 25.3% gain and the Communication Services Select Sector SPDR ETF Fund's (XLC) 31.8% increase over the same period.
Despite reporting lower-than-expected Q3 revenue of $7.7 billion on Nov. 11, shares of Live Nation Entertainment climbed 4.7% the next day as its adjusted EPS of $1.66 surpassed the consensus estimate. The company's positive outlook, driven by a record-breaking summer concert season and an expanding show pipeline, boosted investor confidence. Additionally, the Concerts segment's revenues totaled $6.6 billion with a 39% increase in AOI to $474.1 million, offsetting the decline in the Ticketing segment. The company's cost controls and continued momentum in brand sponsorships also contributed to the upbeat market reaction.
Overall, analysts' consensus view on Live Nation Entertainment stock is bullish, with a "Strong Buy" rating. Out of 19 analysts covering the stock, 17 recommend a "Strong Buy," one suggests a "Moderate Buy," and one gives a "Hold" rating. As of writing, LYV is trading below the average analyst price target of $151.28.
